In this challenging year, many of you have supported those in need through nonprofits like the Native American Rights Fund (NARF). As always, thank you for everything you do.
As you consider your charitable year-end giving and tax preparation for next year, a gift of cash may not be practical. You may want to consider options that will allow you to receive tax benefits from your charitable giving:
- Gifts-in-kind: Traditionally, gifts of cash are a most welcome way to support your favorite charity. For those who itemize their deductions, they may deduct their cash gifts up to 60% of their contribution base, (usually your AGI or adjusted gross income). For example, a couple with $100,000 in income may give and deduct up to $60,000 this year. Should you wish to give more than 60% of your AGI, you may be able to carry forward and deduct the excess gift amounts during the next five years. From a tax perspective, giving an outright gift of appreciated assets (like stocks and real estate ) makes sense. You can avoid paying capital gains tax on the asset transfer and receive a tax saving charitable deduction while supporting our work.
- IRA Rollover: If you are 70.5 or older, you can rollover funds from an IRA (up to $100,000) to a charity, potentially reducing your income and taxes.
- Bequest Intention: Maybe you would like to help tribes, but are not in a position to make a cash gift right now. You might want to consider a future gift through a bequest made in your will or trust, ornaming NARF as a beneficiary in your insurance policy.
To explore the options above, please visit: https://plannedgiving.narf.org. If you would like more information on any of these end-of-year planning strategies, please contact firstname.lastname@example.org to discuss ways to meet your needs and goals.More blog posts