Cash, checks, or money orders made payable to Kitsap Community Foundation are common donations. These contributions are deductible up to 50% of your adjusted gross income with a five-year carryover for any excess.
Securities – Stocks, Bonds, Mutual Funds, etc.
You pay no capital gains, and receive the maximum allowable tax deduction under the law, for the full-market value of appreciated securities given to the Foundation. Donating highly-appreciated securities is one of the best ways to donate to your fund at the Community Foundation because you (A) avoid income tax on your capital gains and (B) receive a tax-deduction for the full market value of the security.
Transfer the Assets of a Private Foundation
The expense and time of administering a private foundation can become an unwanted burden. Transferring the assets of a private foundation to a family foundation at the Community Foundation provides significant tax and administrative benefits. We will administer your family foundation using the structure of a donor-advised fund.
Bequests – Gifts Through Your Will or Trust
A bequest in your will, naming KCF as a beneficiary, is another ideal way to create a fund. Estate taxes may be significantly reduced, and the fund will continue to work as a living symbol of your interests.
If the protection of a life insurance policy is no longer needed, it may prove a practical, tax-deductible gift. Or you may retain ownership of a policy naming the Community Foundation or your "fund" at the Community Foundation as a beneficiary, resulting in an estate tax reduction, but no deduction for income tax purposes.
IRA or Qualified Retirement Plans
You can name the Community Foundation or your "fund" at the Foundation as the beneficiary of an IRA or qualified retirement plan. Depending upon accumulations, retirement plan assets can be subject to multiple taxation if left to heirs. A gift of retirement plan assets can even be used to establish a charitable remainder trust to provide income to a spouse or family members.
Appreciated Property – Real Property & Securities
Gifts of appreciated securities or real estate often allow you to make a substantial contribution while receiving valuable income tax advantages. Generally, a donor may deduct the fair market value of the gift up to 30% of their adjusted gross income with a five-year carryover for any excess. Most importantly, the capital gain from the donated asset passes tax free to the Community Foundation or your "fund" at the Community Foundation.
Other Gift Types
Additional gifting choices include stock in privately held companies, limited partnerships and company stock options, with the exclusion of employee stock options. Personal property and other assets may also be excellent contributions.
When considering what type of deferred giving tools to use, you also need to consider what types of assets you can actually donate to charity. That list is below.
At the time you set up the deferred gift, we will help you establish a "charitable fund" at the Foundation that will accept and hold your future gift. Learn about the different types of "funds" that you can set up the at the Community Foundation. You can set up a "fund" now and then put money into it through your deferred gift.