Tips for Holy Blossom Charitable Giving
Giving with Efficiency: Gifts of Publicly Traded Securities
You’ve probably heard that “cash is king,” but when it comes to your Holy Blossom Renewal payments, that may not always be true. Did you know that gifts of appreciated stocks are often the most efficient way for donors to have impact while garnering major savings at tax time? “Many people have benefited from the strong stock market over the past eight years,” explains David Baskin, Holy Blossom Past President and President of Baskin Wealth Management. “Shares of companies like BCE and the major Canadian banks have all doubled in price. With that profit, however, comes the need to pay capital gains tax upon sale, and that can eat up more than one-quarter of the entire gain. By making a gift of securities the donor avoids that capital gains tax in full, and still gets a tax credit for the entire value of the gift.”
The power of monthly payments
Many donors choose to set up payments in regular installments, to more easily create a predictable cash-flow schedule. Payments can be made quarterly, monthly or bi-weekly. Congregants who choose this payment method often remark on how small, regular payments can add up to very large cumulative amounts. “I never thought of myself as a $100,000.00 prospect,” says one donor, who did choose to set up monthly payments. “But I realized that paying monthly, over a number of years, allows me to have impact I’d never imagined for myself and my family. I would recommend to others to think of a monthly gift that is manageable for their family over time – and then to set it up with the Development Office. This is a wonderful way to leave a legacy for our family.”
Is quicker better? YES! (when paying your Renewal pledge)
Often, our donors ask how they can help even more with Renewal. One very popular and effective option is the acceleration of pledge payments. Said a donor who recently paid off a $100,000.00 pledge in one year, rather than five: “I had a pledge of $100,000 over 5 years, but I realized that the Temple needs the money now. I reviewed my situation and decided I could manage paying the whole commitment at once. Imagine how much the Congregation would save if everyone did that. I hope they do.” In addition to accelerated payments, donors can also choose to cover the charges associated with using credit cards to make pledge payments. For more information on either of these options, please contact the Development Office.