Skip to main content
Text Resize

You are at: Planned Giving > Gift Options > What to Give > Stocks

Print This
Email This
Calculate Plan
eBrochure
Contact Us
View Video

Gifts of Stocks and Bonds

How giving away $10,000 in stock can benefit you

The table demonstrates how much you may be able to save in taxes by gifting securities versus making a cash gift. The chart below assumes you wish to donate shares of stock worth $10,000 that you purchased for $2,000 several years ago.

Donation of Cash

Donation of Cash from Sold Securities

Donation of Appreciated Securities

Charitable Deduction
$10,000
$10,000
$10,000
Oridinary Income Tax Savings (35% rate)
$3,500
$3,500
$3,500
Capital Gains Tax (15% tax rate on $8,000 gain)
N/A
$1,200 paid
$1,200 saved
Net Tax Savings
$3,500
$2,300
$4,700

How giving away $10,000 in stock can benefit you

The table demonstrates how much you may be able to save in taxes by gifting securities versus making a cash gift. The chart below assumes you wish to donate shares of stock worth $10,000 that you purchased for $2,000 several years ago.

Donation of Cash

Charitable Deduction
Oridinary Income Tax Savings (35% rate)
Capital Gains Tax (15% tax rate on $8,000 gain)
Net Tax Savings
$10,000
$3,500
N/A
$3,500

Donation of Cash from Sold Securities

Charitable Deduction
Oridinary Income Tax Savings (35% rate)
Capital Gains Tax (15% tax rate on $8,000 gain)
Net Tax Savings
$10,000
$3,500
$1,200 paid
$2,300

Donation of Appreciated Securities

Charitable Deduction
Oridinary Income Tax Savings (35% rate)
Capital Gains Tax (15% tax rate on $8,000 gain)
Net Tax Savings
$10,000
$3,500
$1,200 saved
$4,700

Donating appreciated securities, including stocks or bonds, is an easy and tax-effective way for you to make a gift to The Music Center.

Flowchart: Donor makes a gift of stocks or bonds to Music Center.

Benefits of gifts of stocks and bonds

  • Avoid paying capital gains tax on the sale of appreciated stock;
  • Receive a charitable income tax deduction; and
  • Further our mission today.

How to make a gift of stocks and bonds

By electronic transfer - Please contact us for instructions on how you can transfer stock or bonds from your brokerage or investment account to The Music Center.

By certified mail - If you hold securities in certificate form, you will need to mail us two envelopes separately to complete your gift. In the first envelope, place the unsigned stock certificate(s). In the other envelope, include a signed stock power for each certificate. You may obtain this power from your broker or bank. Please remember to use certified mail.

More on gifts of stocks and bonds

There are special rules for valuing a gift of stock. The value of a charitable gift of stock is determined by taking the mean between the high and low stock price on the date of the gift. Mutual fund shares are valued using the closing price for the fund on the date of the gift.

Contact us

If you have any questions about gifts of stocks and bonds, please contact us. We would be happy to assist you and answer any questions that you have.

scriptsknown