This is the time of year when many of us think about charitable giving as a part of our busy holiday to-do list. Your year-end charitable contributions can bring tax benefits,so now is a good time to review some of the tax-smart options available.

Outright Giving – The simplest way to contribute to New College is to write a check or use your credit card. Your gift is tax deductible if you itemize deductions. If you do not expect to itemize this year, you may be able to strategically “bunch” your contributions – for example, making both this year’s and next year’s contributions in the same year.

Giving Appreciated Securities – You can double your tax benefits by contributing stocks, bonds, or mutual funds that have increased in value. You will receive an income tax charitable deduction for the share price at the time of your gift, and you avoid the capital gains tax that you would have owed if you sold them. Most gifts of securities can be made via electronic transfer but be sure to direct that the securities themselves be transferred to New College.

IRA “Charitable Rollover” – If you are age 70½ or older, a Qualified Charitable Distribution (“QCD”) allows you to contribute up to $100,000 from your IRA directly to New College with no tax on the withdrawal. If you are subject to Required Minimum Distributions (“RMD”), your QCD can help meet your required distribution without increasing your income taxable income.

As always, your own advisors can help you determine what is most appropriate for you. We are ready to work with you and your advisors as you consider charitable gift options this year-end. Remember that some gifts can take longer to accomplish, so please consider timing to be sure you meet the year-end deadline. Our last business day of the year is December 23.