Gifts of Appreciated Securities

Gifts of Appreciated Securities
Other than cash, gifts of publicly traded securities may be the single most type of asset used for charitable giving. Significant tax benefits can be received for gifts of appreciated assets. When appreciated securities, held for 1 year or more, are donated to UMC Red Bank the donor generally enjoys an income tax charitable deduction for the asset’s fair market value on day of transfer and avoids tax on the capital gain. This deduction is limited to 30% of one’s adjusted gross income; however, any excess can be carried forward for 5 years.

Although publicly traded stocks are the most popular appreciated asset to donate, the process applies to mutual fund shares as well. The attached instruction sheet includes mutual fund share donations. Gifts of bonds and preferred shares are possible; however, professional advice is required Gifts of long term (1 year) appreciated securities can be a vehicle for making substantial contributions while generating valuable tax deductions. Securities can be donated at any time of year. 
The process involves:
1. Contact your financial services firm to instruct them which securities and how many shares of
each to be transferred to the United Methodist Stewardship Foundation (UMSF).
2. Provide a copy of Instructions for Gifts of Securities/Stocks form to your financial services firm. This form includes the account number at PNC Bank where your securities are to be deposited into the UMSF account. (second page of this document)
3. Contact UMSF to instruct them to sell your securities with proceeds to be sent to the United
Methodist Church of Red Bank.
4. Contact the Church’s financial secretary, Sheila Leavitt ( or 732 747
0446) to tell her how you want your gift applied. Gifts can be applied to one’s pledged giving, as
a contribution to a specific project or campaign, or be earmarked for the Church’s endowment
5. Verify the arrival of the shares to the PNC account and the sale of the shares. A call to our
contacts at PNC and UMSF ensure the process runs smoothly. Once PNC has received the shares,
It will generally take one week to have them sold and another 2 weeks for the church to receive
the proceeds.
If you have questions about this process, contact George Schildge at: or 732-741-0528
United Methodist Church, Red Bank, NJ
Instructions for Gifts of Securities / Stock