Advancement » Year End Giving Strategies

Year End Giving Strategies

A DONOR-ADVISED FUND 

A donor advised fund (DAF), which is like a charitable savings account, may be the right choice for you. Here's how it works. You transfer cash or other assets to a tax-exempt sponsoring organization such as a public foundation. You can then recommend—but not direct—how much and how often money is granted to Mater Dei High School or other charities—sometimes as easily as using a Web portal. And you avoid the cost and complexities of managing a private foundation.

In return, you receive an immediate federal income tax charitable deduction at the time you contribute to the account, and the power to make recommendations on which charities to support whenever you want. 

APPRECIATED SECURITIES
 
The IRS allows you one of its most significant tax breaks for gifts of appreciated securities. 
 
  • You transfer securities to Mater Dei.  
  • MD sells your securities and uses the proceeds for its programs.
  • You receive gift credit and an immediate income tax deduction for the fair market value of the securities on the date of transfer, no matter what you originally paid for them.
  • You pay no capital gains tax on the securities you donate.
  • You can direct your gift to a specific fund or purpose.
  • You have the satisfaction of making a significant gift now or funding a life income gift that benefits Mater Dei later.
 
CLICK HERE for our stock transfer instructions. 
 
AN IRA CHARITABLE ROLLOVER 
When you turn 70 1/2, the IRS requires you to take a minimum taxable amount annually from your tax-sheltered accounts (like an IRA) called a Required Minimum Distribution (RMD). If you're in the fortunate position of not needing your distribution, did you know you can satisfy your RMD through a qualified charitable distribution (up to $100,000) to an eligible charity? 

UPDATE FOR 2020! 
The new law temporarily suspends the requirements for required minimum distributions (RMD) for the 2020 tax year. This probably comes as a relief to many of you who would have had to withdraw from your retirement accounts. Many of our donors use their RMD to make a gift from their IRA. Despite the RMD suspension, remember that if you are 70½ or older, you can still make a gift from your IRA or name Mater Dei High School as a beneficiary.

Why a Gift From Your IRA in 2020 May Still Be a Good Idea
  • Your gift will be put to use today, allowing you to see the difference your donation is making.
  • You pay no income taxes on the gift. The transfer generates neither taxable income nor a tax deduction, so you benefit even if you do not itemize your deductions.
  • Since the gift doesn’t count as income, it can reduce your annual income level. This may help lower your Medicare premiums and decrease the amount of Social Security that is subject to tax. 


Of course, CASH, CHECKS AND MULTI-YEAR PLEDGES are always appreciated. Visit www.materdei.org/donate to make your gift online today. 

Our Advancement Giving Team is here to help if you have questions or need assistance.

Gratefully in Mater Dei,

Erica Adams, VP of Advancement - (714) 850-9533
Allison Bergeron '96, Director of Estate & Alumni Giving - (714) 850-9532
Kathleen Kelly '94, Director of Alumni Giving & Relations - (714) 850-9536
Whitney Pavlik '02, Coordinator of Estate & Alumni Giving - (714) 850-9535