Maximize Your Charitable Giving in 2022
Franciscan missionaries to Jamaica pose for a photo, Back row, L-R: Blaine Grein, Jim Bok, Saleem Amir, Louie Zant, Mark Gehret and Tom Gerchak. Front row, L-R: Max Langenderfer, Joe Hund, and Henry Beck.
Support the Franciscan Friars
Consider these strategies to maximize the benefits of your charitable giving in 2022 – for your family and for your favorite charities:
- Give Appreciated Securities to Avoid Capital Gains. If you have significant unrealized gains in your investment portfolio, consider giving appreciated securities to charity. You will avoid the capital gains you would incur if you sold the shares and may receive a tax deduction for the full fair market value of the shares you give away.
- If You Are 72 or Older, Give From Your IRA. If you are 72 or older, you can give up to $100,000 per year directly from your IRA to charity, tax free. You won’t receive a tax deduction, but your IRA gift will not be included in your gross income. And your IRA gift will count toward your required minimum distribution.
- Name a Charity as the Beneficiary of Your Retirement Plan. If you plan to leave money to charity through your estate plan, you should always consider having the funds paid out of your IRA or other tax-deferred retirement plan. Your heirs will typically need to pay income tax on withdrawals from inherited IRAs or 401(k)s. A charity, however, is not subject to estate or income tax and will receive 100% of your gift.
- Give During Life, Too. While many people choose to include one or more favorite charities in their will or trust, giving during your lifetime can bring personal and financial benefits. And you can still provide for charity through your estate plan without sacrificing the income tax benefit by leaving a bequest to your spouse with a request that they make the gift according to your wishes.
For more information about smart ways to support your favorite charities in 2022, including the Franciscan Friars of St. John the Baptist Province, contact Colleen Cushard, Co-Director, Friar Works, at ccushard@franciscan.org or (513) 721-4700.
Posted in: Support the Friars
