IRA, Stock or Legacy Gifts

Direct an IRA Distribution

If you have reached 72 years of age, you may be facing a requirement to draw down from your Individual Retirement Account (IRA). You can make this a win-win situation by making a Qualified Charitable Distribution to a charity (or charities) of your choice, like Ada First UM Church. Doing so avoids having to claim the amount as taxable income and also gives you a tax benefit for making a charitable donation.  

Donating Stock Just Got Easier

The West Ohio Conference of the United Methodist Church has a Foundation office in Columbus, OH that guides churches, individuals, and the conference in financial gift matters.  If you are considering a charitable contribution to Ada First United Methodist Church, check out how the Foundation can help.  Fee-free!  Gifting appreciated stock is one of the most effective means of tax savings available.

The Benefits of Gifting Appreciated Stock!

The satisfaction of knowing your money is invested in a cause important to you. Capital gains taxes on the stock are avoided. You will be eligible to receive an income tax charitable deduction for the full fair-market-value of the stock at the time of the gift.

To qualify for these special tax advantages, the security must have been held for at least one year.  A gift of stock in certificate form should be postmarked by December 31 or your financial advisor can arrange for a year-end gift of stock from your account.

Your gift of appreciated stock is fully deductible up to 30% of your adjusted gross income.  For example, if your adjusted gross income is $100,000, up to $30,000 of long-term appreciated stock and other capital gain property may generally be deducted, although high-income donors may be subject to a partial phase-out of itemized donations.  Any excess can generally be carried forward and deducted over as many as five subsequent years.

How Donating $10,000 in Stock Can Benefit You!

Look at the tax savings of donating securities versus a cash gift.  The chart below assumes you wish to donate shares of stock worth $10,000 that you purchased for $2,000 several years ago.

Contact the Council on Development Office and they will provide fee-free instructions to make your donation to Ada First UM Church. You may reach the Council via email through Stan Ling or Cat Lyle at or by phone at 614-844-6200 Ext. 222.  Feel free to also direct questions to the church treasurer, Julie Hurtig.

  Donate appreciated security outright Donate $10,000 cash Sell securities and donate cash
Charitable Deduction $10,000 $10,000 $10,000
Tax Savings (35% rate) $3,500 $3,500 $3,500
Capital Gains tax paid (15% rate on $8,000 gain) $1,200 saved N/A $1,200 paid
Net tax savings $4,700 $3,500 $2,300