The following was received from Nancy Gugler, the Chair of the Finance Committee:
The Finance Committee proposed an expendable fund that could be used to facilitate non-cash gifts to the church. The Church Council accepted the proposal and the “The Fund” has been established at the Dickinson County Community Foundation.
- This fund will be helpful for those who wish to give stock to the church. If they give the stock directly to “The Fund” it can be used twice as a tax deduction for the giver. (The giver will not need to pay capital gain taxes on the stock given and will reap the tax benefits of the charitable gift).
- Someone might want to give part of or all of their yearly withdrawal from their IRA or 401K. If they give it to “The Fund” directly from either of them, they have the same advantages as above for tax purposes.
- One could designate that their IRA or 401K be given to the “The Fund” when they die. This would supersede what is in your will.
- If a person designates in a will that they want a percentage of the estate or a set amount be given to “his or her” church, this is a great way to again avoid some taxes.
- You can make a charitable bequest of money, a specific property or even what’s left over after the rest of your estate is settled. This type of charitable gift may qualify the estate for special tax benefits. However, it will be part of the probate process so it might take some time and will be public.
“The Fund” has been established so that any funds put in it can be used at any time for expenses at the First United Methodist Church and the Church Treasurer can ask for whatever amount is needed from it to cover any expense of the church. The money in “The Fund” will grow, tax-free to make the most of each person’s gift.