Gift Wrap Idea 1
Give Directly from Your IRA (if you’re at least 70 1⁄2)
By taking a distribution from your IRA this year, you will likely pay more in taxes and may even reach a higher tax bracket. Rolling over part of your IRA’s “required minimum distribution” or “RMD” to the Catholic Foundation of Eastern Montana, for the benefit of your parish or a favorite Catholic ministry, can help reduce your tax bill while building the Catholic Church in our diocese. If you are 701⁄2 or older and don’t need your required minimum distribution, you can transfer a gift of up to $100,000 from your IRA this year, free from federal income tax, in support of the Church. Contact your IRA administrator to get started with your gift. While you will not receive an income tax deduction, you will not pay taxes on any distributions made to the Foundation. Please inform us of your plans, so that we may watch for your gift and ensure it is applied exactly as you wish.
Gift Wrap Idea 2
Make a Gift of Appreciated Assets (If they’re up in value, they’re a more valuable gift for you to make)
People with investments in stocks, bonds and other securities they’ve held for at least one year can donate those that have appreciated in value. This will result in significant income-tax savings. In fact, donating appreciated assets saves even more taxes than donating cash, since there is no capital gains tax when appreciated securities are given to a nonprofit, such as the Church. Gifts of an appreciated asset can also be used to fund a Charitable Gift Annuity, and other life-income gifts that pay the donor income (which can be used to purchase the same asset again, at a higher cost basis, if the donor wishes).
Tax Reform on the Horizon? Tax law changes could affect the charitable deduction in 2018, making this year especially important for deducting gifts. While tax considerations are rarely (if ever!) our main motivation for making charitable contributions to benefit the Church, they certainly can influence a donor’s decision about not only what to give but when and how much. Keep an eye on Washington and visit with your tax advisor about potential changes. You can always contact the Catholic Foundation of Eastern Montana for information, as well.
Gift Wrap Idea 3
Put Life Insurance to Work for the Church
Life insurance is one of the most widely-held assets in America. It also makes an excellent charitable gift:
• NametheChurchasabeneficiary of a current or new policy.
• Gift an existing policy that you no longer need.
• Purchaseanewpolicyandname the Church as the owner.
Gift Wrap Idea 4
A Present You Get to Unwrap, too!
With a Charitable Gift Annuity (or Charitable Deferred Payment Gift Annuity), you make a charitable gift to the Catholic Foundation of Eastern Montana, in support of your parish or favorite Catholic ministry/ organization, and the Foundation will pay you a fixed, guaranteed income for the rest of your life! This income amount is partly tax-free to you, and is based on the amount of your charitable gift and your age when you make the gift. These gifts qualify for federal and state tax benefits and can be funded with cash or non-cash assets.
Reminder. Complete your gifts by December 31 to enjoy tax savings for 2017. Please give yourself, and your financial advisors who may be helping you, plenty of time to make a non-cash gift. Postmark gifts of cash (checks) by December 31, 2017.
Gift Wrap Idea 5
Make Your Gift for More But Have it Cost You Less
You can do this simply by employing the Montana Endowment Tax Credit in your gift planning. Montanans can qualify for this 40% tax credit by making a qualified gift to a qualified endowment of a qualified charity. That’s a lot of qualifying! Rest assured – the Catholic Foundation of Eastern Montana qualifies on all three counts. And we make it simple for our donors to understand and obtain this amazing state tax benefit! We would be happy to tell you more about this excellent way to make your charitable giving for the Church go even farther by utilizing this giving incentive.
Let us help you maximize your charitable support of the Catholic Church this year:
Catholic Foundation of Eastern Montana
PO Box 1345
Great Falls, MT 59403
(406) 727-6683, ext. 120 judy@catholicfoundationmt.org
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