The Countdown Is On: Tax-Savvy Year-End Giving 

 

This is the time of year when many of us think about charitable giving as a part of our busy holiday to-do list. Your year-end charitable contributions can bring tax benefits for you, but timing can be important. Here are some of the tax-smart options available to you.  

Outright Giving – The simplest way to contribute to the Y is to write a check or use your credit card. Your cash gift is fully tax deductible to the extent allowed by law. If you do not expect to itemize your deductions this year, you may be able to strategically “bunch” your contributions – for example, making both this year’s and next year’s contributions in the same year to maximize your tax benefits.  

Giving from Your IRA – If you are age 70½ or older, a Qualified Charitable Distribution allows you to contribute directly from your IRA to the Y with no tax on the withdrawal. If you are subject to a Required Minimum Distribution, your Qualified Charitable Distribution contribution can help meet your required distribution without increasing your taxable income. 

Giving from a Donor Advised Fund – Donor Advised Funds are the fastest growing charitable giving vehicle in the United States. A Donor Advised Fund distribution is a quick and easy way to support the Y at year end. 

Giving Appreciated Securities – You may be able to double your tax benefits by contributing shares of stock or mutual funds that are now worth more than you paid for them. You will receive an income tax deduction for the full share value and avoid the capital gains tax that you would have owed if you sold them. Most gifts of securities can be electronically transferred, just be sure to direct that the securities themselves be transferred to the Y. To make a gift of securities to the Y, please notify your broker and provide the following information:

  • Andrew Crowell at D.A. Davidson, 213 620 1850 (our broker)
  • Identifying #: DTC 0361
  • Account #: 70994751 – AD01
  • Account Name: YMCA of Metropolitan Los Angeles
  • Tax ID#: 95-1644052

To ensure your gift is credited to you correctly, please email LisaVanIngenPope@ymcaLA.org to let us know WHICH STOCK you are giving and any branch or program designation to be noted.

Of course, your own financial and tax advisors are in the best position to help you determine what is most appropriate for you. We stand ready to work with you and your advisors as you consider gift options. Remember that some contributions can take time to complete, so please be aware of timing if you are interested in meeting a year-end deadline. Our last business day of the year is Friday, December 30, 2022.

Please contact LisaVanIngenPope@ymcaLA.org or 310 713 3119 with any questions or for more information. And thank you for your support of the YMCA this year-end!