Ways to Give
It doesn't matter how you give, it simply matters that you give. At the Montana Community Foundation, we make giving easy with options to fit your goals as a philanthropist and your needs for financial planning.
This is a simple and common way to make a gift by check or credit card. Donations of cash are deductible if you itemize in the year of contribution.
Stocks, Bonds, Mutual Funds
Many gifts of appreciated securities such as stocks, bonds and mutual funds provide a charitable deduction for the full fair market value of the donated asset. If you have owned them longer than one year, you will pay no capital gains tax on the transaction and you can deduct the full fair market value.
Bank Accounts and CDs
Name a charitable organization the “payable-on-death beneficiary” of your bank accounts or on certificates of deposit. You own the assets for your lifetime and have them available for your use. Upon your death, the assets pass directly to the organization without going through probate.
This is a simple donation if you own property that is not mortgaged, has appreciated in value, and you no longer need or use. You can deduct the fair market value of your gift and eliminate all capital gains taxes. Plus, you have removed that asset from your taxable estate.
Crops and Livestock
You can transfer legal ownership of a commodity to a charity before it is sold and not have taxable income from the sale. We make arrangements to sell the livestock or grain and you still deduct production costs on income taxes. Tax savings may be realized on federal income tax, state income tax and self-employment tax, depending on your specific circumstances.
Retirement Account Assets
Your most efficient estate planning option may be leaving all or a portion of your retirement plan to charity, because tax laws often subject these assets to income and estate taxes upon death. With our help, income taxes as high as 39.6 percent can be avoided. At the same time, you can pass more tax-favored assets to your family.
Many people find that the protection offered by life insurance policies is no longer needed later in life. Thus a life insurance policy can become an ideal tool for charitable giving. Name us or another charity irrevocably as the sole beneficiary. You can make annual tax-deductible contributions to cover the policy's annual premium. Or, if the policy is paid up, you will receive an immediate tax deduction in an amount equal to the policy's cash surrender value.
Leave a designated amount, percentage, or the remainder of your estate to charity in your will. You can also leave a particular piece of property.
Charitable Gift Annuity
This is the most common type of planned gift. You make a charitable gift and you and/or someone you designate can receive lifetime income. The remainder goes to charity upon your passing, potentially reducing and deferring capital gains tax and reducing probate costs and estate taxes.
Charitable Remainder Trust
A charitable remainder trust pays you a fixed or variable income. The payments are made either for life or a period of time not to exceed 20 years. At the end of the trust’s term, the balance in the trust goes to support the charity you designate. You’ll also receive a partial income tax deduction.
Charitable Lead Trust
This type of charitable trust pays income to one or more charitable organizations, typically for a period of years, after which the remaining trust assets pass to family members.
Give your personal residence, ranch or farm as a gift, occupy and use the residence or land for the rest of your life. You will receive a current charitable deduction in an amount based on your life expectancy and the value of the property.