As is the case with many families, there are times each year when Ward and Mary Kay Crockett focus their attention on gift giving. They have done this for a range of gifts to California State University, Monterey Bay, including their major gift to the Chapman Science Academic Center.
Mary Kay: We've found that using appreciated stock makes a great gift for the university while providing us excellent tax benefits. We want to help CSUMB students whenever we can, and by making a gift of appreciated securities before the end of the calendar year, we would receive a charitable deduction on the gifted shares. This deduction would offset the capital gain tax on the stock we sold.
Ward: When we talked with Steve Weldon, CSUMB's Planned Giving Officer, he talked about the most common gifts-a gift by check or by transfer of bonds or real estate, to name a few. We also talked with him about the benefits of making a gift of some of our appreciated stock.
Mary Kay: In fact, in another excellent tax-wise strategy to address our capital gains issue, Steve suggested what he called a "Gift and Sale." It meant that part of our stock would be sold and the proceeds come to us, and part would be gifted to California State University, Monterey Bay. We like that flexibility.
Ward: Both of these strategies allow us to make significant gifts to CSUMB at the lowest possible after-tax cost. We receive key benefits. First, we avoid a large capital gains tax on the sale of the stock. Second, we receive a charitable deduction. Third, it is easy to do, all done electronically with our broker.
Mary Kay: And, most important of all, we have the great pleasure of knowing we are helping hard-working, bright CSUMB students at a crucial time in their lives. We consider these gifts to CSUMB as one of our finest investments.