Ways to Support College of the Mainland
Gifts of Cash
Gifts of cash and by check are the most popular methods of giving. Such gifts are convenient and can be tax deductible. Checks should be made out to College of the Mainland Foundation with a memo on the check stating your donation’s designation or that it is an unrestricted gift.
Credit Card Gifts
Donors who like the ease and convenience of making regular gifts using a credit card may make donations through their VISA or MasterCard. For many credit card owners, this is a sensible way to make sustained, regular gifts to the Foundation, receive frequent flyer miles and other company incentives in return.
The company for which you or your spouse work may have a corporate matching gifts program and the Foundation qualifies for most matching gifts programs. Taking advantage of this wonderful gift option through your company’s personnel benefits office may allow you to double or even triple the impact of your gifts.
Appreciated or Depreciated Property
Appreciated stock, which is stock that is held for more than one year, can make an excellent gift. Not only do you avoid capital gains taxes on the gifted amount, but you also receive a tax deduction for the full fair-market value of your gift.
If you own an investment that has decreased in value since you have owned it, consider selling it and making a charitable gift of all or a portion of the cash proceeds. In addition to an income tax deduction for the cash contribution, this creates a loss you may be able to deduct from other taxable income.
Bonds and Mutual Funds
Bonds and mutual funds are similar to stocks in their tax treatment. A tax deduction for the full value of the gift is possible if you have held the bonds or mutual funds for more than one year. Corporate, state, municipal and U.S. government bonds are excellent sources of gifts.
CDs, Savings Accounts, Brokerage Accounts and Checking Accounts with POD Provisions
By adding payable-on-death (POD) provisions to an existing account, you retain full ownership and full control of the account during your lifetime. At your death, the account balance is immediately paid to your named beneficiary. The Foundation can receive this benefit without going through the probate process.
Bequest through Your Will
One of the simplest ways to give is through your estate. You can make a gift bequest in your will to the Foundation for a specific dollar amount, a percentage of your estate or the reminder of your estate after you have provided for others.
You can make a significant life insurance gift by naming the Foundation as a beneficiary of all or a portion of the proceeds of an existing policy. With this method of giving, a major gift may be made with only a modest annual payment.
Retirement account funds, whether individual retirement accounts or employee’s company plans, may be given to the Foundation by a simple beneficiary designation. Because a gift from one of these plans during your lifetime would trigger an income tax liability for you and because these plans operate outside of your will, this gift is best made through a beneficiary designation with your company or individual plan which becomes effective after your death, similar to a bequest in your will.
Unrelated Use/Personal Property
Gifts of tangible personal property are always welcome. Charitable tax deductions are available in the year in which your gift is given and for up to five more tax years in order that a deduction may be fully used. For gifts which exceed $5,000 in value, the Internal Revenue Service requires the donor to provide a "qualified appraisal" to substantiate the deduction. The Foundation staff can help guide you in the process of giving personal property that is not related to the Foundation’s charitable exempt status.
Related Use Gifts-in-Kind
Many gifts of goods or services are readily accepted by the Foundation. In-kind gifts enable you to be a part of the mission and help meet specific College and Foundation needs. The Foundation staff will be happy to help you determine the availability of potential income tax deductions for gifts given in-kind
One of the most overlooked methods of giving involves gifts of real estate. The Foundation can discuss the possible gift of land, a home or a vacation home. In most cases, you will receive a tax deduction based on the full fair-market value of the gift while avoiding capital gains tax.
Depending upon your financial planning and gift objectives, you may use one or several giving ideas in combination to achieve your charitable goals. The Foundation Office will be happy to work with you and your professional advisors to explain the benefits of each of the plans listed and how they can work for you.
Charitable income tax deductions are subject to limitations determined by the level of your adjusted gross income and the type of asset given. Please review your particular situation with a Foundation representative and your tax advisor to determine how your circumstances relate to these limits.
Neither the author nor this organization is engaged in rendering legal or tax advisory service. For advice and assistance in your specific case, you should obtain the services of a qualified attorney or other professional advisor. The purpose of this publication is to provide accurate information of a general nature only. Tax revisions occur often, as do changes in state laws, which govern wills, trusts and charitable gifts. Please seek advice from your legal and tax advisor when considering these types of contracts. A College of the Mainland Foundation, Inc. representative is available to help serve as an advocate and liaison for you in these matters.