When it’s hot outside, the last thing you might be thinking about is year-end giving. But a few smart moves now could really pay off later – with more impact for the charities you love and more calm during a season that is anything but.
So, do year-end you a favor and put these items on your September to-do list.
- Get ready with a Giving Fund (donor-advised fund) – Smart givers know that a Giving Fund at the National Christian Foundation (NCF) is the best way to take the pressure off the December 31 deadline for this year’s charitable contributions. With a Giving Fund, you qualify for a charitable deduction when cash or assets are contributed, and then you can take your time to prayerfully decide what grants to recommend on your timetable. Meanwhile, the funds can be invested for potentially tax-free growth while you decide. Open a Giving Fund in minutes or learn more in this two-minute video.
- Clarify your causes – Before the year-end appeals start pouring in, take some time to prayerfully consider where God is calling you to give this coming season. By narrowing your focus and setting up your grant-making strategy ahead of time, you could increase your impact and avoid some of the decision paralysis that often occurs when faced with endless asks. If you need help clarifying your causes, carve out some time now to do this causes exercise from NCF’s Giving Strategy experience.
- Consider a non-cash gift – You may have heard by now that cash is often the least-efficient way to fund your giving. It’s surprising but true. Gifting appreciated non-cash assets – like securities, business interests, and real estate – is often the wiser choice. You may enjoy a fair-market-value deduction with us, then, potentially not being required to pay the capital gains tax upon our sale of the asset, allowing you to give more to charity than you ever thought possible. But these gifts take time. Contact your NCF team now to explore your options for non-cash giving before the year-end rush kicks in.
- Ask your advisor – Before fourth quarter kicks in, schedule a sit-down with your financial advisor to discuss potential tax implications and strategies for maximizing your giving. If you wait until year-end, you could miss valuable opportunities to save taxes and give more. For example, if you anticipate having a high-income year, your advisor can suggest strategies to help you plan ahead, such as tax-smart “bunching” by making multiple years’ worth of charitable gifts in a single year to potentially increase your tax savings (and your giving). To find a professional who shares your Christian values, search for a Certified Kingdom Advisor.
- Plan a new family giving tradition – What better time than the holidays to engage your family in greater generosity? Take some time to plan now so you can coordinate busy schedules and hectic year-end calendars. For a detailed how-to of a real family who used Zoom to create a new multi-generational family giving tradition one Christmas, read this inspiring story. With a little planning, this could be the year you start your own generosity tradition that continues for years to come.
For help with any of these smart giving moves, contact your NCF team today.
