Outright Gift of Securities: Publicly traded securities with an appreciated value should not be sold and then used to fund a gift to the Boys & Girls Clubs. A well-meaning donor would have to pay a capital gains tax on the gain from the sale of the stock. Instead we recommend giving the stock directly to the Boys & Girls Clubs and let us sell it. We are exempt from paying the capital gains tax. You would get the deduction based on the fair market value of the securities and you would not owe any capital gains tax.

Stocks & Bonds as a Bequest: Specific issues of securities may be named as a bequest to the Boys & Girls Clubs. For example, “I leave all my XYZ stock to the “Boys & Girls Clubs” or “I bequeath to the Boys & Girls Clubs the bond portfolio”. Consult your tax advisor before designating a bequest to charity of closely held stock (not publicly traded) or “S” corporation stock.

Guaranteed fixed lifetime payments with gift of Stocks, Bonds or Cash: Appreciated securities and cash may be given to the Boys & Girls Clubs and you would receive a guaranteed fixed payment for the rest of your life. You would get an income tax deduction. Part of your payment would be tax-free for a number of years. If cash is used to fund the gift, the entire payment to you is tax-free for a number of years. Cash would also increase how quickly you could use the income tax deduction. This is called a charitable gift annuity and the payment is guaranteed. Gift annuities are registered with the State of California.

Stocks & Bonds a gift in trust with an income: You set the percent of income and you set the income payment as a fixed amount or a percentage of the trust value. You pick the investments, and the trustee. You can even hire and fire the trustee. You will by-pass all the capital gains tax and you will get an income tax deduction. This gift is a charitable remainder trust and there are two categories to best fit you. The annuity trust will pay a fixed income and the unitrust you get to set the payment to be a percentage of the trust value. The unitrust is also flexible enough to readily accept gifts of real property.

To make a bequest of stocks or bonds, or to request a brochure please contact:
Jeff Miller
jmiller@sdyouth.org
760-746-3315