finance / Generous Fellowship

Giving Year End Stock and IRA Gifts: A Tax Beneficial Way to Support Your Church

As we near the end of 2021, members of your congregations are thinking about making charitable gifts to their churches and other charitable causes. While tax deductions are not the primary reason that people of faith give, it is a factor that most people do consider.

We want to share two ways that members of your church can give that not only help the church but also have important tax benefits!

Stock Gifts

Donating stock is one of the smartest ways to make an impact — you can save significantly on two types of taxes, and your donation will make a bigger difference for the church at a lower cost for you! When you donate your appreciated assets, you avoid paying the capital gains tax. Additionally, if you itemize deductions, you can also take a charitable deduction for the entire donation amount. 

To make this process simple for members of your church, and to make stock giving accessible to our partner churches, CBF and the CBF Foundation offer a free online tool that allows members of your congregation to make this gift more quickly and easily than ever. After providing some brief details about the assets you wish to transfer and information about your church, you have the option to either print and mail your forms or donate electronically. CBF receives the donation and then passes it through to your church. 

IRA Rollover Gifts

Another way many individuals in your church can give to support the work of your church is through IRA gifts. If you are 72 or older, gifts from your retirement savings come with a myriad of benefits — in addition to supporting your church, they also reduce your future tax burden and can help you to meet your Required Minimum Distribution (RMD). This latter point is especially important this year. RMDs (the legal amount you must withdraw from your retirement assets) have returned this year after a brief suspension in 2020. If you are eligible, you must withdraw money from your IRA this year — and for some, your contribution may be larger than in previous years.

To help you get started, CBF and CBF Foundation offer a free tool to help you calculate your RMD, learn more about your potential savings, and create a gift that will have an eternal impact. 

It is important to note that to receive the tax benefits your gift must be received and processed before December 31, 2021.

Should you have any questions about how your church can utilize these free tools to receive stock and IRA gifts for your church, please contact Shauw Chin Capps, CBF’s Chief Development Officer and CBF Foundation’s President, at scapps@cbf.net

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