1. Increased Giving with Increased Income
2. Commit Unexpected Cash
3. Give from Your Excess
4. Redirect Present Expenditures
5. Practice Priority Budgeting
6. Appreciated Stock
7. Appreciated Property
8. Contribution from Your IRA
9. Sacrifice Your Extra Time
As a general rule, a gift of appreciated property (long-term capital gain property) is deductible up to 30% of your adjusted gross income, and a gift of cash is deductible up to 50% of your adjusted gross income, with a five-year carryover for any “excess.” In all cases, consult your tax advisor regarding the tax, financial, and practical implications of your gift.
If you need assistance with a planned gift to the stewardship campaign, professional counsel is available to you via the Assemblies of God Financial Solutions by calling 1-800-962-7499. There is no charge to you or Cedar Valley for this service.
For further assistance, please contact the Cedar Valley Church accounting office at 952-854-1100.
Increase Giving with Increased Income
Some people receive periodic increases in salary or bonuses from their employers. The temptation for many of us is to increase our lifestyle to fit the higher income. In many instances, families have decided that they will commit to giving the full amount of their salary increases to the church.
Commit Unexpected Cash
Often, people ask God to show them a way they can give beyond what they can presently see or afford. Sometimes, the answers come unexpectedly. For example, acouple in Alabama had been praying for weeks about their commitment to the church stewardship campaign. Much to their surprise, they received an inheritance of several thousand dollars. They gave the entire amount to their church as part of their three-year commitment, along with a commitment from their regular income.
Give from Your Excess
Some families save money over a period of years for a special project. A couple in Louisiana had saved $80,000 to build a lake cabin, but when their church entered a stewardship campaign, they decided the needs of the church were greater than their need for a second home. One young man decided that two collector’s baseball cards worth over $20,000 would be the most appropriate means of touching sacrifice for his family.
Redirect Present Expenditures
Often, families have significant short-term expenditures for special needs. One example is the large expenditure a family incurs for a child to attend college. A family in Georgia realized that their daughters would be graduating from college during the three years of the stewardship campaign. They were able to increase their commitment to the second and third years of the campaign by thousands of dollars by giving what they had been spending on their daughters’ tuition. Another example would be the cash flow that is freed up when a loan is paid.
Practice Priority Budgeting
Many families will choose to rearrange their priorities and give up something in order to give more to a stewardship campaign. Priority budgeting may mean postponing a planned expenditure such as a new car, vacation, home remodeling, or other major purchase. Many Christians giving to stewardship campaigns find a way to give through sacrificial commitments made in faith and coupled with priority budgeting.
When you donate stock you own, either public or private, you can avoid the capital gains tax. Example: Stock that cost you $1,000 is now valued at $5,000. By donating this stock to your church, you avoid paying any capital gains tax on the $4,000 that would have been a gain if you sold the stock outright. In addition, if you have held the stock for more than one year, you will receive a charitable tax deduction for the full value of the stock donated, that is, $5,000.
You can donate vacant land, which you have inherited or purchased, or a vacation house to the church. If you have owned the property for more than one year and choose to donate it to the church, you will receive a tax deduction for the full fair market value of the property.
Contribution from Your IRA
If you are over 70 ½, you can gift a portion of your IRA to your church and not have to pay income tax on the portion you withdraw. If you do not need these funds to live on, this could be an excellent way to bless the ministry of your church or give to its stewardship campaign. There are tax advantages to this kind of gift and the Assemblies of God Financial Solutions has representatives who can assist you in your planning.
Sacrifice Your Extra Time
Some family members have extra time they would be willing to use in a part-time job to be able to give more to the church. This is particularly true for families whose children are grown and away from home, and for semi-retired or retired couples. A man in New Mexico was in the process of retiring when his church entered a campaign. He and his wife secured new jobs and gave the first three years of their retirement income to the stewardship campaign.
Assemblies of God Financial Solutions offers many other planned giving methods that will help Cedar Valley Church and can provide significant tax advantages to you. These methods may include: charitable gift annuities, charitable remainder trusts and others. We encourage you to visit the AG Financial Solutions website at agfinancial.org/planned-giving/ and review options available at no cost to you or Cedar Valley Church.