Stock Gifts

Gifts of stock can sometimes be more advantageous for you than gifts of cash. When you give appreciated securities to Un Mundo, you benefit in three ways:

  • Your gift may be worth more than what you paid for it.
  • You avoid paying capital gains taxes.
  • If the stock has gained in value since it was acquired and it has been held long term, you may deduct the full fair market value of the stock from the current year’s taxable income.

Here is how it works:

item Gift of Stock, Value: $5,000 Gift of $5,000 in Cash
Original cost of gift $3,000 $5,000
After-tax value of capital gain (@20% tax rate) $1600 N/A
Total value to donor of gift given $4,600 $5000
Savings from tax deduction @ 33% minimum tax rate (1,650) (1,650)
Net cost of gift $2,950 $3,350

If you have any questions about gifts of stock, or other ways you can help, please email Tim Watson, Un Mundo board member and Financial Director.

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info@unmundo.org