Investing with Faith / Kimberly Pohovey

Plant a blessing, boost the mission of Christ with a gift of stock

With fall comes harvest time at local orchards and farms. Cool air, warm sweaters and the joy of lifting a little one up to pick that one, perfect, bright-red apple dangling from a higher branch all combine to make lasting memories laced with taste of cider, donuts and grandma’s apple pie.

It’s hard to believe that everything we cherish together in moments like these comes from a small seed planted in the ground.

But it may be even more astonishing to realize that many of the apple trees we enjoy here in Indiana were introduced by John Chapman, the man famously known as “Johnny Appleseed.” In the early 1800s, Chapman wandered the frontier, living humbly and doing good. He died in Fort Wayne, Ind., in 1845, leaving behind a growing legacy of nurseries and trees.

Much good can come from good stewardship and small seeds! At the archdiocese’s Catholic Community Foundation (CCF), we have the privilege of meeting many who graciously give to those in need. From the seeds they have planted and grown through wise investments, these neighbors spread the blessings of God across southern and central Indiana.

Stock investments and a charitable heart

Stock investments are a lot like small seeds that grow into an orchard of fruitful trees.

The stocks you purchased individually or as part of a strategic portfolio often provide a great return over the long term. But they can also give charitably minded people a tax-beneficial way to support the institutions and initiatives that mean the most to them.

The policy of the Archdiocese of Indianapolis is to immediately liquidate all stock gifts and transfer the monies to the donor’s intended beneficiary, such as a parish, school, agency, any CCF endowment or the United Catholic Appeal. This means that gifts of stock provide an immediate boost to the mission of Christ.

A gift of stock

A gift of appreciated stock, held for more than one year, can offer donors a great way to make a big impact for the lowest possible cost. That’s because they are eligible for double tax benefits: an income tax deduction as well as no capital gains tax. And while the maximum amount you can deduct in a single year is 30% of adjusted gross income, additional amounts can be carried over for up to five years.

Which stocks make the best gifts?

The best choices depend on your individual goals, but there are a few guidelines that can help you determine which stocks are the best to give.

• Stocks that have been held for more than a year are eligible to deduct the appreciation.
• Stocks with the highest amount of appreciation provide the most leverage for untaxed capital gain.
• Investors who follow set portfolio ratios can make a gift of stock that rebalances their portfolio investments while providing some tax relief.
• A stock that has lowered or eliminated its dividends may be a strong choice for making a gift.

OSD can help

The archdiocesan Office of Stewardship and Development (OSD), under which CCF resides, can accept and process gifts of stock for the archdiocese, as well as for all of our parishes, schools and ministries. If you’ve decided to make a gift of stock, we ask that you complete the stock gift form at www.archindy.org/DonateStock.

This form includes instructions to follow in order to initiate the transfer with your broker and enables us to match the gift to the correct donor.
 

(Kimberly Pohovey is the director of major and planned gifts for the archdiocese. Tax or legal information provided herein is not intended as tax or legal advice. Always consult with your legal, tax or financial advisors before implementing any gift plan. For more information on the Catholic Community Foundation, visit www.archindy.org/CCF, e-mail ccf@archindy.org, or call 317-236-1482.) †