Giving Tuesday

November 28, 2023

Giving Tuesday is coming up and I’d really like to help those in need. The holidays can be a difficult time for many, and I think this is a great time to consider the ways I can
give back. My question is, are there any strategies I should be using when it comes to charitable giving?

First, let me say I appreciate your kindness and your desire to help those in need. There are several giving strategies that can benefit not only the recipient but also the giver. One strategy is to consider gifting highly appreciated investments (such as stocks or mutual funds) to avoid capital gains you would normally incur if you sold the shares. Another strategy for those age 70 ½ (or older) is to consider gifting IRA assets to charity. Each year, up to $100,000 can be transferred directly from your IRA to a qualified charity. This is a tax-free IRA distribution, and the amount donated can count toward a required minimum distribution that must be taken each year for IRA owners age 72 or older. Finally, there are various charitable trusts or even donor advised funds that can implemented as a part of your estate and gifting plans. We recommend you discuss these and any other options with your financial, tax and/or legal advisors as appropriate before acting! To learn more or get additional advice on how to give back this Giving Tuesday, American Trust is here to help you make a difference in the most effective way possible.

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