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Charitable Gifting - Appreciated Securities vs. Cash

| April 01, 2020
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Giving appreciated securities can be more beneficial than giving cash. One simple strategy to increase your gift to charity and your tax deduction is to give appreciated securities, such as stock, bonds or mutual funds.

Donors who give appreciated securities that have been held more than one year may realize a charitable tax deduction for the full fair market value of the securities AND avoid capital gains taxes on the securities donated. When you factor in the 20% federal long-term capital gains tax plus a 3.8% Medicare surtax, this leads to a potential increase of 23.8% of both your tax deduction and your charitable contribution.  

This information is not intended to be a substitute for specific individualized tax or legal advice. We suggest that you discuss your specific situation with a qualified tax or legal advisor.

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