What is Overflow and why is donating stocks better than cash?
Overflow is the modern philanthropic platform for today that enables you to give to your favorite 501(c)3 nonprofit from your stock portfolio(s). Learn more about us here.
CASH IS NO LONGER KING.
Bye bye ? ? capital gains tax...
- Donating stock after it has appreciated in value for a year allows you to deduct the full appreciation value from your taxes and protects your realized gains from being subjected to long-term capital gains tax, which can be up to 20% of the gains.
- If you donate stock for less than a year that has appreciated in value, you can avoid up to 37% in short-term capital gains taxes by donating that stock.
- Nonprofits are exempt from capital gains taxes, so your stock donation allows the nonprofit to utilize the full amount of the donated funds.
- Plus, you can deduct the fair market value of the stock just like you would a cash donation when you itemize deductions in your next tax filing.
This means you can save up to 20% in long-term capital gains taxes and 37% in short-term capital gains by donating your appreciated publicly traded stock directly to your favorite nonprofit.
DONATING FROM THE OVERFLOW FEELS DIFFERENT.
What would you be willing to give if you knew that your donation wasn't coming out of your monthly grocery, rent, or childcare budget? What if it came from The Overflow- your stock portfolio? While a $2500 donation from your checking account may feel significant, there is a reframing that occurs when donating from your stock portfolio. Are you giving a $2500 donation or are you giving (1) share of GOOG that you've had for at least a year, on which you can avoid paying capital gains taxes?
Overflow makes it easy to donate appreciated stock and save on taxes, all while supporting the causes near and dear to your heart and making a difference in your community.
OKAY, I BELIEVE YOU. WHY SHOULD I DONATE STOCKS VIA OVERFLOW?
- Donating stock has previously been a time-consuming, difficult process only actualized through outdated technology (We're talking: fax machines ? and snail mail ?).
- Donating publicly traded stock is now just as straightforward as other methods of donating online.
- Overflow enables donors to initiate a stock gift through an intuitive and innovative online donor flow in less than 5 minutes.
- Need more convincing? Donating through Overflow. Why should I do it?
I WIN ✅ AND MY FAVORITE NONPROFIT WINS ✅ ? EPIC! ? GOT ANY MORE TIPS FOR ME AS A DONOR?
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Overflow's mission is to make generosity frictionless across every major asset class. That means we are working to tackle additional areas sure as giving from retirement accounts and planned giving. Stay tuned!
Overflow does not provide tax, legal, compliance, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, compliance, or accounting advice. Your organization should consult its own tax, legal, compliance, and accounting advisors before sending or concluding any transaction, communication, or otherwise.