Schwab Charitable Reminds Individuals and Advisors That Year-End Contribution Deadlines Are Approaching

  Schwab Charitable Reminds Individuals and Advisors That Year-End
  Contribution Deadlines Are Approaching

Highlights Range of Assets That Can Be Considered for Tax-Advantaged
Charitable Giving

Business Wire

SAN FRANCISCO -- December 18, 2012

Schwab Charitable, one of the nation’s leading national donor-advised fund
organizations, is reminding advisors and investors that year-end deadlines for
charitable giving are fast approaching and that there are multiple ways, from
cash contributions to the donation of appreciated assets, that individuals can
realize tax benefits from charitable giving this year.

The traditional giving season is well underway and Schwab Charitable is
already seeing a strong uptick in activity. Contribution levels have increased
40 percent and new accounts are up 48 percent over the same period last year.

“Individuals and their advisors increasingly understand the value and ease of
use of donor-advised funds to empower their charitable giving and reduce their
tax liabilities,” said Kim Laughton, president, Schwab Charitable. “We have
seen a 54% jump in calls this season from both existing and potentially new
clients who want to know more about the ways in which they can use a
donor-advised fund in their financial planning, especially given the uncertain
tax landscape ahead.”

A donor-advised fund allows investors - either directly or with the help of an
investment advisor - to contribute cash or appreciated assets to a charitable
account to realize the greatest possible tax benefits and to then support
charities of their choice over time. Serving a wide range of philanthropic
investors, Schwab Charitable’s account sizes range from $5,000 to more than
$500 million.

Appreciated Assets Can Be Among the Most Tax-Advantaged Items

With only a few weeks left in the year, investors and advisors are finalizing
their year-end tax strategies. As a part of this planning, they are taking a
look at appreciated stocks, mutual funds and other assets in their portfolios.
Appreciated assets can be the most tax-advantaged items to contribute to
charity because they give investors a current year tax deduction and also
allow them to avoid payment of capital gains taxes on their sale. Giving
appreciated assets to a donor-advised fund is often much easier than
distributing directly to a variety of charities, who can find these gifts
administratively costly and burdensome and would prefer to receive a simple
check from the donor-advised fund account.

“Donor-advised funds allow easy conversion of appreciated assets in an
investment portfolio into tax-effective charitable gifts,” said Laughton.
“Because of expected tax changes, many clients who are making adjustments to
their portfolios are also transferring some shares directly to their
charitable accounts to offset some of the tax burden.”

Year-End Contribution Deadlines

As 2012 comes to a close, Schwab Charitable reminds individuals who are still
looking to make contributions to its donor-advised fund and realize a 2012
charitable tax deduction of some important contribution deadlines:

Donor deadline      Contribution type
December 21, 2012   Wire transfers from a non-Schwab financial institution
December 31, 2012   Transfers from a Schwab brokerage account
December 31, 2012   Checks
December 31, 2012   Security certificates which are in good order

About Schwab Charitable

Created as a national donor-advised fund with a mission to increase charitable
giving nationwide, Schwab Charitable has received $6.5 billion in
contributions and has facilitated $3.2 billion in grants to charities on
behalf of its donors since inception. Serving a wide range of philanthropic
investors, account sizes range from $5,000 to more than $500 million. Schwab
Charitable has been a pioneer in enabling investment advisors to manage the
investments of donor-advised accounts and remains a leading provider of such
professionally managed accounts. It currently has relationships with 964
registered investment advisory firms. Schwab Charitable also offers a private
foundation conversion service for private foundations considering
donor-advised funds as a complementary or alternative charitable vehicle. For
more information, visit schwabcharitable.org.

A donor’s ability to claim itemized deductions is subject to a variety of
limitations depending on the donor’s specific tax situation. The tax
information herein is general in nature and not intended as specific,
individualized advice. Where such advice is necessary and appropriate, donors
should consult with their tax and/or legal advisors.

Professionally‐managed accounts are available only through independent
investment advisors working with Schwab Advisor Services^TM, a business
segment of The Charles Schwab Corporation serving independent investment
advisors and includes the custody, trading and support services of Charles
Schwab & Co., Inc. While donors may recommend an advisor, the Fund must
approve the recommendation. Advisors must meet certain eligibility
requirements and adhere to Fund fee and investment guidelines. You may request
a copy of the investment guidelines by calling us at (800) 746‐6216.

Schwab Charitable is the name used for the combined programs and services of
Schwab Charitable Fund, an independent nonprofit organization. The Fund has
entered into service agreements with certain affiliates of The Charles Schwab
Corporation.

©2012 Schwab Charitable Fund. All Rights Reserved. (1212-8288)

Contact:

The Neibart Group
Natalia Krepak, 718-875-7269
nkrepak@neibartgroup.com
 
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