Donor-Advised Fund (DAF) and Stock Giving
Found as a stray and adopted from SPCA Tampa Bay in 2016 at just two months old, sweet Lillie (right) now has four feline siblings at home. They include Little Boy, who’s posing with her in this photo. Lillie’s owners, Andrea and Mark, have supported SPCA Tampa Bay for the past 10 years to help animals like her.
Rather than making a cash donation, they give a gift of stock each year. By transferring shares of appreciated stock directly to SPCA Tampa Bay, Andrea and Mark don’t have to pay taxes on the gain and they get the full charitable deduction.
Thanks to donors like Andrea and Mark, we’re able to care for animals at our shelter in Largo until they find a home. We can also support pet owners struggling to pay their bill at our St. Petersburg Veterinary Center through our Caldwell Keeping Families Together Fund.
Not every gift to SPCA Tampa Bay involves a cash, check or credit card transaction. Some donors choose to take advantage of the tax benefits offered by giving from a donor-advised fund (DAF) or transferring shares of appreciated stock. Often, it allows them to make a more meaningful gift because it’s not coming directly out of their bank account.
A donor-advised fund (DAF) is a fund set up with a third party, often a public charity, that allows a donor to make a lump sum deposit and then make charitable grants from the fund over time. A DAF can be set up with a community foundation or other financial institution that manages this type of fund. The donor receives a tax deduction from that institution when the lump sum deposit is made. Funds in the account are restricted to charitable giving, which then allows the donor to recommend grants to charitable organizations they support.
Donors may also choose to transfer shares of appreciated stock directly to SPCA Tampa Bay. Stock gifts can help donors avoid the tax burden of cashing out the stock and then using those funds to make a gift. Brainstorm with your financial advisor to determine if it could help you rebalance your portfolio in a period of market volatility or if a stock gift could offer you tax benefits this year!
A financial advisor can help you better understand the benefits and implications of a donor-advised fund or stock gift.
For more information on making a DAF or stock gift to SPCA Tampa Bay, visit our website at https://spcatampabay.org/what-you-can-give/ or contact our Director of Philanthropy at (727) 581-3249 or GiftPlanning@SPCATampaBay.org.