Donate Stock or Give Through Your IRA

A gift through your appreciated investments can maximize your ability to nourish children today! These gifts are simple to set up and can often provide considerable tax savings.  

Stocks, Securities and Mutual Funds 
By donating stock that has appreciated for more than a year, you may be able to give up to 20 percent more than if you sold the stock and then made a cash donation!
Here’s how: If you have held a stock for more than a year and it is worth more today than what you paid for it, you will owe capital gains tax (currently up to 20%) on the appreciation when you sell it. However, if you donate appreciated stock to Kids’ Food Basket, you can avoid paying capital gains taxes on the appreciation. Kids’ Food Basket will receive the whole value. Plus, you are still eligible to deduct the full fair-market value of the asset you donated from your income taxes, up to the overall amount allowed by the IRS.  This makes the benefits of donating appreciated stock substantially more advantageous than giving cash.

Give from a Donor-Advised Fund (DAF) 
For some donors, creating a Donor Advised Fund can be advantageous for tax planning purposes. A DAF is like a charitable checking account. First, you donate cash or other assets (securities, retirement plans, real estate, personal property, etc.) to a sponsoring organization such as a public foundation. You are then an advisor for the fund and can recommend how much and how often money is granted from the balance of the DAF to nonprofits of your choice.    

Give From your Individual Retirement Account (IRA)
At the age of 73, you are required to make a minimum annual withdrawal from your IRA, whether you need the income or not. This is called your Required Minimum Distribution (RMD). When you withdraw this income, the full amount is taxed based on the tax bracket you’re in during that year. However, you can avoid these taxes by making a Qualified Charitable Distribution (QCD) directly from your IRA to Kids’ Food Basket. The amount distributed directly to Kids’ Food Basket will not be taxed. You can start making Qualified Charitable Distributions at age 70 ½. 

How Do I Get Started? 
We encourage you to seek the advice of your financial, tax or legal advisor about whether donating stocks, from your IRA, or setting up a DAF is right for you.
Please contact philanthropy@kidsfoodbasket.org to inform Kids’ Food Basket of your plans for a distribution. 

Legal Name: Kids’ Food Basket 
Address: 1300 Plymouth Ave NE 
Grand Rapids, MI 49505 
Federal Tax ID Number: # 04-3760991