July 4, 2008 Tips on Giving Wisely Ways to Give Start an Account Philanthropic Services Investment Programs Professional Fees Young Professionals Outright Gifts Memorial Gifts Remainder Gifts Life Income Plans Lead Trusts Charitable IRA Outright Gifts Outright gifts can include cash, public securities, mutual funds, closely held stock, real estate, life insurance, and other assets. Gifts of cash A cash gift is the simplest way to establish a named account or add to an existing account.  Cash gifts are fully deductible up to 50% of your adjusted gross income in any one year.  Deduction amounts exceeding this limit may be carried forward for up to five additional years. Public securities, mutual funds, and closely held stock Gifts of appreciated securities (bonds and stock, including stock in closely held companies, as well as mutual and index funds) may also be used to establish an account or add to an existing account.  Such gifts often provide important tax advantages.  Their full fair market value is deductible as a charitable contribution up to 30% of your adjusted gross income.  As with gifts of cash, deduction amounts exceeding this limit may be carried forward for up to five additional years.  The added benefit of giving appreciated securities is the avoidance of the capital gains tax on the appreciated portion of the gift.  Gifts of mutual funds and closely held stock enjoy the same tax benefits as publicly traded stock. Real estate Gifts of real estate may be used to establish or add to an existing account.  These gifts also provide important tax advantages, and are deductible as a charitable contribution up to 30% of your adjusted gross income.  As with gifts of cash, deduction amounts exceeding this limit may be carried forward for up to five additional years.  The added benefit of giving appreciated real estate is the avoidance of capital gains tax on the appreciated portion of the gift. Life insurance Life insurance policies can also be used as charitable gifts.  If you name the Omaha Community Foundation as the owner and beneficiary of an existing or new life insurance policy, you receive an immediate tax deduction, which usually approximates the cash surrender value of the policy.  All premium payments made by you thereafter will be deductible as charitable contributions. Other assets One of the great benefits of using the services of the Omaha Community Foundation is donor clients are provided the ability to convert appreciated property into charitable cash.  We are happy to work with you to accommodate gifts of assets not listed above.  For more information about outright gifts of other assets, please call (402) 342-3458. If you have questions about outright gifts that have not been answered in this section, please click here to Contact Us for more information.