Giving Gifts of Stocks in 2024

Donating stock directly to charity (like Holy Family) is one of the most tax-smart ways to give.

If you have appreciated securities (stocks, bonds, mutual funds, etc.) you’ve owned for more than a year, you may have a significant opportunity to give more than you thought possible.

There are two important things to remember when giving stock to charity:

1. Give them after a year: To get the most out of this strategy, you must have held the stock for more than one year. With stocks owned long-term, you can potentially deduct the fair market value of the donation from your taxes, which can mean more for charity.

2. Give your winners: When you donate appreciated securities, you avoid paying capital gains taxes and can claim the full fair market value as a charitable deduction for 2024. That means more impact for your favorite charity and potential tax savings for you.

If your stocks have appreciated, donating them is a great way to increase your support for the causes close to your heart. Though stocks that have not appreciated aren’t good candidates for this strategy, you may still choose to sell them and give from the proceeds.