Innovative Ways to Give
| Your Gift | How You Make the Gift | Your Benefits |
|---|---|---|
| IRA Charitable Rollover— Qualified Charitable Distribution (QCD) | If you are 70.5 years old or older, transfer any amount up to $100,000 per year directly from your IRA to a qualified charitable organization such as MIU. See our QCD gift tool. | You pay no income taxes on your required minimum distribution. For those 72 and older, satisfy all or part of your required minimum distribution for the year. |
| Stock or Other Securities | Give stock or securities that have increased in value directly to MIU. See our Stock gift tool. | Avoid capital gains taxes on assets that have increased in value. |
| Donor-Advised Funds | Create a donor-advised fund with the charitable arm of an investment firm or sponsoring nonprofit organization. Transfer cash or other assets, which are invested based on your preferences. You recommend distributions be made to nonprofits of your choice. | Qualify for an income tax deduction in the year you make a gift to your fund. Centralize your giving and record- keeping in one location. Start a legacy of giving by letting your loved ones help decide which grants to recommend. |
More About Donor-Advised Funds
Donor-Advised Funds (DAF) allow donors to make a charitable contribution to a private fund administered by a third party, such as Schwab or Fidelity Charitable. The donor receives an immediate tax deduction for the entire amount, and then recommends grants from the fund over time to qualifying nonprofits of the donor’s choice..
- In the situation of a liquid event or large influx of cash or assets, establishing a DAF can be a very effective means to save on taxes.
- Donors should designate a beneficiary for their DAF to ensure their wishes are fulfilled.
- Annual income tax deduction limits for gifts to a DAF, are 30% of adjusted gross income (AGI) for contributions of non-cash assets held more than one year or 60% of AGI for contributions of cash.
- Donors wanting to itemize deductions can bundle several years’ planned gifts into one tax year with the convenience of spreading the gifts over several years.
- A DAF contribution is an irrevocable commitment to charity; the funds cannot be returned to the donor or any other individual or used for any purpose other than grant-making to charities.
- Almost 70% of funds going into a DAF are non-cash gifts, mostly in the form of appreciated stock.
- Donors can establish a DAF with a minimum contribution of $5,000 or more.