29% of all giving to non-profits happens in December. Why? Because savvy donors give before the clock strikes midnight on New Year’s Eve to make sure that they can deduct their gift in the current tax year. This is very important for donors who itemize their taxes. In order to take deductions when you prepare your 2016 taxes in the coming months, you must give by December 31st.
No one knows for sure what changes to tax policy will happen in 2016. Many donors, anticipating the President-elect’s tax proposals are choosing to give more in 2016, for the certainty of the deduction at the level they’ll get it this year versus the uncertainty of next year. If you have not yet, you should consult your financial advisors on what these changes could mean for you, and if it may be wise for you to accelerate your giving this year.
A Donor Advised Fund (DAF) is a great way to give and get your tax deduction this year, and choose what non-profit you will contribute to in the future. It’s a smart solution if you decide to accelerate your giving now, and want to give over many years to come. You can potentially realize additional tax benefits if you donate appreciated securities (which should be done now, so that the stock transfer can complete before the end of the year).
At The Women’s Foundation, we provide a DAF that offers you all the tax benefits of other DAFs and the opportunity for you to show your commitment to women and girls in the region. Through our Philanthropic Services, we can consult with you on the organizations that create the greatest impact in our community and that align with your giving priorities.
If you are interested in opening a DAF, do not hesitate to call me at 202-347-7737 or email me at email@example.com . We require a minimum opening gift of $50,000.
How to give before the end of the year:
Many donors choose to give appreciated stocks for the tax benefits. Stocks owned for a year or more are eligible for tax deductions for the full current value of the donated securities, not the lesser amount paid for them. In addition, they are not subject to the capital gains tax like they would be if the securities were sold and proceeds were donated as cash.
Stock gifts must be initiated by your broker in sufficient time to clear before the close of business on December 30th. To you decide to give a gift of stock to The Women’s Foundation, your broker will need the following:
Account Custodian: Capital One*
Account number: JZ1046633
DTC number: 0443
*Please note that this account is for direct gifts and NOT to open a DAF. For information to open a DAF please contact me directly.
Please be sure your check is dated and your envelope is postmarked on or before December 31.
Kindly send checks to:
Washington Area Women’s Foundation
1331 H Street NW, Suite 1000
Washington DC, 20005
Give online before at thewomensfoundation.org/give. Donations made by 11:59 p.m. ET on December 31, 2016 will count in the 2016 tax year.
We appreciate all you do to help all women and girls achieve economic security in our community. We wish you and yours a great holiday season and a happy new year!