For many people, the end of the year is a time for making gifts – not only to family and friends but also to valued organizations such as MUSC. December is also your last chance to obtain charitable deductions you can claim next April.

As you plan your year-end giving, keep in mind that contributing cash is just one way to support MUSC and preserve and optimize human life in South Carolina and beyond. Consider the following tax-smart techniques before the end of the year.

Give appreciated securities

Despite fluctuations in the stock market, recent years have been good for investments in general. Even if you have suffered losses, you have probably seen your investments grow significantly over the last few years. However, selling appreciated securities will trigger a capital gains tax of 15% for most taxpayers. By transferring your appreciated securities directly to the MUSC Foundation instead of selling you avoid the capital gains and receive a tax deduction for the full value of the securities.

Help the MUSCFoundation and yourself

You may hesitate to give an asset you depend on for income. With a “life income gift,” you can donate your asset and still receive income or payments, perhaps even increasing your cash flow. In return, you’ll obtain a current income tax deduction. In addition, if you give appreciated property, you can reduce or delay the capital gain tax. When your life income gift ends, what remains from your gift benefits MUSC and continues our mission through education, research and heath care.

Consider a “charitable rollover” gift from your IRA

If you are over age 70½ and have an IRA, you can direct your plan administrator to make a “qualified charitable distribution,” or QCD, to MUSC. While you will not receive a tax deduction, the amount transferred (up to a total of $100,000 per year) will not be added to your taxable income, as it would if you made a withdrawal from your IRA. Even better: your QCD will count against your required minimum distribution (RMD) for the year.

Start planning now

As always, your own advisors are in the best position to help you decide what is most appropriate, whether now or in the new year. Our planned giving team is available to work with you and your advisors to explore options or provide additional information.