Securities and Mutual Funds as Donations
Receive a Tax Deduction for Using These as Gifts
Securities and mutual funds that have increased in value and been held for more than one year are a very tax efficient way of donating assets to Cambridge in America. Making a gift of securities or mutual funds to CAm offers you the chance to support Collegiate Cambridge while realizing important benefits for yourself.
When you donate appreciated securities or mutual funds you have held more than one year to CAm, you can reduce or even eliminate federal capital gains taxes on the transfer. You may also be entitled to a federal income tax charitable deduction based on the fair market value of the securities at the time of the transfer.
Securities are most often donated in the form of:
An outright gift
When you donate securities to CAm, you receive the same income tax savings that you would if you wrote CAm a check, but with the added benefit of eliminating capital gains taxes on the transfer, which can be as high as 20 percent.
A transfer on death (TOD) account*
By placing a TOD designation on your brokerage or investment account, that account will be paid over to one or more persons or charities after your lifetime.
Click on the links below to see the additional ways to fund your gift:
- A gift in your will or living trust
- A donor advised fund
- A memorial gift
- An endowed gift
- A charitable gift annuity
- A charitable remainder trust
- A charitable lead trust
*State laws govern payable on death accounts. Please consult with your bank representative or investment advisor if you are considering this gift.