Donating Appreciated Securities: A Win-Win for You and for Chadwick

If you have appreciated securities that you have held for more than one year, you can donate them to Chadwick and avoid tax on the gain. It is the school’s policy to sell donated securities within three business days of transfer, so Chadwick benefits immediately from your gift. You benefit by supporting the school, with significant tax savings on your gift.

If you would like to donate stock to Chadwick, please click here for security-transfer instructions.

Here’s an example of how significant these tax savings can be:

Dave is in a 35-percent marginal income tax bracket. He has stocks currently valued at $20,000 that he purchased for $4,000 several years ago. Selling his securities would result in a $16,000 capital gain. If he gives them to Chadwick, he would receive a charitable deduction on his income taxes for the full fair-market value of $20,000 - saving him $7,000 ($20,000 x 35 percent) in income taxes. Dave, who is in a 15-percent capital gains tax bracket, bypasses the $16,000 capital gain, saving $2,400 ($16,000 x 15 percent). The total tax savings from capital gains and income taxes is $9,400.

For more information, please call Mary Baldovin, director of development, at ext. 4076.