Ways to Give
There can be significant advantages to donating assets other than cash to the League of American Orchestras.
Gifts of Stock
Did you know that a direct donation of appreciated stock to the League may increase your deduction and gift by 20%?
If you donate stock that has increased in value since you bought it more than a year ago—and you itemize deductions—you can take a charitable deduction for the stock’s fair market value on the day you give it away. You’ll also avoid capital-gains taxes on the increase in value over time, which you would have to pay if you sold the stock and then donated the cash proceeds.
In other words: The League gets a larger gift, and you get a larger tax-deduction!
Contributing from an IRA Account
If you are over the age of 70 ½ years old, you may contribute directly from a qualified IRA account to the League and reduce your taxable income immediately.
One of the key benefits of the direct charitable contribution from your IRA is that the distribution counts towards your Required Minimum Distribution (RMD). You can contribute more than your RMD to charity as long as you do not exceed $100,000 in a calendar year. It’s money the IRS requires you to withdraw, and by transferring it directly to the League of American Orchestras, you won’t be forced to pay income tax on it.
In other words: The League gets a generous gift and you lower your tax liability!
Contributing from a Donor Advised Fund
Did you know that a donor-advised fund could allow you to make contributions to the League on your preferred schedule while also maximizing the tax benefit of your donations?
By front-loading several years of charitable donations into a single tax year gift to your donor-advised fund, you can realize the tax benefits from itemized deductions while also maintaining the freedom to make charitable gifts as you see fit. With the increase in standard deductions, 2018 may be the right time to consider opening a donor-advised fund.
In other words: Planning ahead allows the League to benefit from your generosity for years to come and you become eligible for a larger tax-deduction!