Stock and Mutual Fund Securities Donations

You Can Have More to Give with This SMART GIVING Tip

When you’re deciding how to give to the UU Saratoga Capital Campaign, there may be a better choice than just using cash. Here’s how to reduce your taxes and increase the value of your charitable contribution. That’s a great double benefit!

By donating stock or mutual fund securities that have increased in value since you bought them more than a year ago, you can realize several advantages.

Here’s a hypothetical example for Mary, who purchased stock years ago for $500. Despite a rollercoaster stock market, her original investment has increased in value and now is worth $5,500—growing $5,000 in long-term capital gains over the years.

If Mary directly contributes this stock to UUCSS, her income tax may be reduced by an additional $370 along with avoiding capital gains tax of $1,000. At the same time, our congregation receives an extra $1,000. Plus, the Federal Government gets nothing!

Mary’s Math

By transferring ownership of appreciated securities to the UUCSS (as a gift or part of your pledge), you are able to claim a charitable income tax deduction for its current full market value, but you avoid the incurrence of capital gain tax that you would owe if the stock were sold.

The UUA will provide you with a letter for your records confirming your gift, including the amount and date of the gift.

Please click on the following links if you wish to donate stock to the congregation:

Securities Notification Form
US Bank Securities Transfer Instructions

On the UUA gift form you should clearly state the Gift Purpose, e.g., gift to Unitarian Universalist Congregation of Saratoga Springs.

Ask your financial professional or tax preparer about the best way to make your Capital Campaign contribution to UU Saratoga. To learn more, visit https://www.irs.gov/pub/irs-pdf/p526.pdf or contact Capital Campaign team member and UUCSS Treasurer, Mike Goodwin at jmgoodwin55@gmail.com or team member Kathleen Rehl at KathleenRehl@gmail.com.


[1] Assumes cost basis of $500 on investment held for over a year and that realized gains are subject to 20% federal long-term capital gains tax rate. Mary may also owe more tax as a NY state resident. [1] Federal income tax deductions depend on your circumstances. Mary itemizes deductions, including her charitable gifts.