There are four essential considerations when you’re weighing your options for charitable donations, according to HCR Wealth Advisors. First, cash donations are deductible. It’s possible to donate to the charity one chooses with an appreciated stock equaling as much as 30 percent of their adjusted gross income (AGI). Second, consider gifting a highly appreciated stock to charity instead of selling it and donating the cash. This removes a capital gains tax liability from your portfolio of up to 23.8 percent. Third, you could put your cash to better use. For example, think about donating the stock, then depositing the same amount of cash back into your portfolio. This move will lower your tax liability, and you have the freedom to reinvest or find a new investment. Finally, you’ll give more by donating stock.
HCR Wealth Advisors is a registered investment advisory firm (RIA), assisting high net worth individuals through education and service. The client-focused wealth management firm helps you through financially challenging transitions, from marriage to divorce and on into retirement. HCR Wealth Advisors is even there in economic downturns. The company helps investors take a holistic view of their financial situation, then offers advice on the next best steps. HCR Wealth Advisors gives its clients the focused time they need to ensure they take the necessary steps to reach their financial goals. Not only that, but the company also provides its clients personalized planning and strategies to get there.
HCR Wealth Advisors implements its strategies through a range of traditional investment managers, as well as alternative investment managers, real estate, individual securities, and private equity. Additionally, the company uses risk management and hedging strategies to manage its client’s accounts.
This article is provided for informational purposes only and should not be interpreted as investment advice.