Giving Options
When to Give
You may create your fund now, establish it through your will, or construct it through a current or future trust arrangement.
You may give in honor of an anniversary, to memorialize a loved one, celebrate a special event, or support a cause. Tax deductions are earned at the time of your gift, while grants awarded from your fund can continue far into the future.
What to Give
Cash/Check
Gifts of cash are deductible at their value up to 50% of the Contribution Base (Adjusted Gross Income). The deduction can be carried over for five years.
Real Estate
Similar to appreciated stock, when you give real estate that is more valuable today than when acquired, your tax deduction is your present market value, and there is no tax on the gain. When giving real estate, the proceeds are used to open a fund at The Community Foundation Sonoma County.
Qualified Retirement Funds
Retirement plan assets, such as IRAs, can make some of the best charitable gifts at death. You can designate a charity as a beneficiary of the plan, thereby avoiding both income and estate taxes on the amount distributed to the charitable beneficiary at the time of transfer.
Publicly Traded Stock
Long-term stock provides a two-fold tax savings: one from an itemized charitable deduction, the other from capital gains avoidance. If you wish to maintain a particular stock position, you may still want to consider giving the stock versus cash. Cash can be used to purchase shares at a higher cost basis, thus reducing the capital gain tax on a subsequent sale.
Closely-Held Stock
Closely-held stock contributions will be allowed a charitable deduction for the fair market value of the stock. You will also avoid the capital gains tax on any appreciation in the value of the stock if it is held long term. Subsequent to the gift, the corporation or other shareholders may purchase the stock for cash, as long as there was no prior agreement compelling the sale of the stock. Stock worth more than $10,000 must be valued by a qualified appraiser.
Life Insurance
You can make Sonoma Valley Fund and its parent, Community Foundation Sonoma County the owner and beneficiary of your old policy or a new one. If annual premiums are due, you may make gifts to The Foundation in the amount of the premium and qualify for an income tax deduction.
How to Give
Outright Gift
As the name implies, an outright gift is transferred immediately and provides an immediate tax deduction.
Wills/Trusts
All gifts to The Community Foundation Sonoma County are excluded from estate taxation. The full value of the amount assigned will be available to support charities or causes you care about. Making a contribution through your will or trust results in no alteration of your current lifestyle.
Charitable Lead Trust
Transferring assets to family members is subject to gift and estate taxes, perhaps as much as 55%. Through a Charitable Lead Trust you can reduce or even eliminate those taxes. In this vehicle, you select an annual amount to be distributed to
When to Give
You may create your fund now, establish it through your will, or construct it through a current or future trust arrangement.
You may give in honor of an anniversary, to memorialize a loved one, celebrate a special event, or support a cause. Tax deductions are earned at the time of your gift, while grants awarded from your fund can continue far into the future.
