Non cash assets in gift box
Contribution options:

Don't forget non-cash contributions

When deciding what to contribute to your account, consider appreciated non-cash assets. You can always contribute cash, but appreciated non-cash assets held more than a year can help you achieve maximum philanthropic impact and help you reduce your taxes.

How can you have more to give to charity?

If you itemize deductions on your tax return instead of taking the standard deduction, donating non-cash assets can help you unlock additional funds for charity in two ways. First, you potentially eliminate the capital gains tax you would incur if you sold the assets yourself and donated the proceeds, which may increase the amount available for charity by up to 20%. Second, you may claim a fair market value charitable deduction for the tax year in which the gift is made and may choose to pass on that savings in the form of more giving.

Let's say you own XYZ stock with a current fair market value of $50,000. The stock has gained $45,000 in value over the years since you purchased it for $5,000. A direct contribution of the stock to a donor-advised fund or other charity (option 2), in comparison to a sale and donation of after-tax proceeds (option 1), may free up an additional $6,750 to grant to charities and potentially provide additional tax savings of $8,370.

Contributing the $50,000 of XYZ stock directly to a donor-advised fund or other public charity – instead of selling the asset and donating the after-tax proceeds – provides Jane with an additional $6,750 available to grant to charities and an additional $8,750 saved on taxes.

This hypothetical example is only for illustrative purposes.

The example does not take into account any state or local taxes or the Medicare net investment income surtax. The tax savings shown is the tax deduction, multiplied by the donor's income tax rate (24% in this example), minus the long-term capital gains taxes paid.

Are you interested in a specific type of non-cash asset?

Learn more by reading our overview article or select any of the choices below to see asset-specific guidelines.

  • Icon showing a bar chart with fluctuating results

    Publicly traded securities

  • Icon of Lock

    Restricted stock

  • Icon of bar chart with lock symbol

    Privately held business interests

  • Icon showing a line drawing of residential and commercial buildings

    Real estate

  • Icon showing the symbol for cryptocurrency

    Cryptocurrency

  • Icon of a piece of artwork in a frame

    Fine art and collectibles

  • life-insurance-icon

    Life insurance

  • Icon of a certificate

    Equity compensation awards

  • Icon of a light bulb

    Post-IPO stock

  • Icon showing a briefcase

    Private equity fund interests

Dynamic Content

Non-cash Asset infographic

Would you like more information?

Review our infographic to better understand the benefits and process of donating non-cash assets.

 
Contribution Options
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Disclosure

Please be aware that gifts of appreciated non-cash assets can involve complicated tax analysis and advanced planning. 

A donor's ability to claim itemized deductions is subject to a variety of limitations depending on the donor's specific tax situation. Consult a tax advisor for more information. 

Contributions of certain real estate, private equity, or other illiquid assets may be accepted via a charitable intermediary, with proceeds transferred to a Schwab Charitable donor-advised account upon liquidation. Call Schwab Charitable for more information at 800-746-6216.

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