Ways to Give - Payment FAQ
Year-end giving to the Jewish Federation of South Palm Beach County and the Jacobson Jewish Community Foundation
Thank you for making a gift to help those most in need. At the end of the year, many donors are considering the tax benefits of making a donation and may have questions. Here are our answers to some Frequently Asked Questions regarding year-end giving.
When is the deadline for year-end charitable contributions?
If you would like to pay your pledge via credit card, please note that we will gladly accept your credit card payment on the phone by noon at 561-852-3169 or on our website by 11:59 pm at jewishboca.org/pledge on December 31.
If you are paying with a check, the deadline is also December 31. All checks must be dated and postmarked by December 31 to ensure a tax deduction for that year.
For more information about these payment options, please contact Marc Fishman at 561-852-3169 or MarcF@BocaFed.org.
If you are using appreciated stock, it is important that you contact our office at 561-852-3147, and provide us with the donor’s name, name of the security, and number of shares being transferred by December 28. The stock must be transferred into our Muriel Siebert account by December 31 to ensure a tax benefit for that year.
If you are paying by wire transfer/ACH, the transfer deadline is also December 28, with the funds deposited into the Federation account by December 31, to ensure a tax benefit for that year.
For more information about these payment options, please contact Megan Macdonald at 561-852-3147 or MeganM@bocafed.org.
How can I use my IRA to make a donation?
The IRA Charitable Rollover provision, referred to as a qualified charitable distribution (QCD), permits individuals 70 1/2 or older to donate up to $100,000 annually from their IRAs to charities without having to count the distribution as taxable income. Generally, when you take a distribution from your IRA, it is treated as taxable income. The IRA Charitable Rollover can be used to pay for a gift to the annual campaign, or an endowment that will provide an annual gift in your name for generations to come.
If you wish to make a payment/gift to our Federation Annual Campaign using an IRA Charitable Rollover, please contact Marc Fishman at 561-852-3169 or MarcF@bocafed.org. To set up a Jacobson Jewish Community Foundation endowment using your IRA please contact, Hilda Farkas, at HildaF@bocafed.org or 561-852-5010.
Transfer deadline is December 28, with the funds deposited into the Federation account by December 31, to ensure a tax benefit for that year.
How can I give through my Donor Advised Fund (DAF)?
A DAF allows the donor to make a donation (with stock or cash) now (and receive a tax deduction) and then recommend grants from the fund to charities on your own schedule. It is like a charitable checking account, and is also a convenient way to manage all your charitable giving in one place.
It’s very easy to set up a DAF. It requires a signed form, and there is a minimum starting amount of $5,000. Recommendations can be made as soon as the funds are confirmed deposited. For year end, the check must be dated and postmarked by December 31. If it’s a stock transfer, it must also be received by December 31. For more information, please contact Hilda Farkas at HildaF@bocafed.org or 561-852-5010.
How do I establish a Donor Advised Fund?
A donor advised fund, or DAF, is an account where the donor can deposit assets for donation to charity over time. The donor gets a tax deduction for making contributions to the DAF. A sponsoring organization manages the account; the donor recommends how to invest and where to donate the assets.
As a sponsoring organization, the Jacobson Jewish Community Foundation (JJCF) can assist donors and families in establishing a DAF at any time. The JJCF will ask donors to submit an application, sign a fund agreement, and make a minimum contribution. Minimums can be as low as $5,000, although many start at $25,000 or more.
For questions about establishing a DAF, please contact Hilda Farkas at HildaF@bocafed.org, 561-852-5010.
Can I benefit from making a charitable contribution if I don’t itemize?
Thanks to the CARES* Act, individuals who take the standard deduction and don’t itemize their taxes can make up to $300 in charitable contributions made in cash and receive a deduction for 2021. This provision was extended from 2020.
For a joint return, donors can make up to $600 in cash charitable contributions in 2021, which was increased from $300 in 2020. Please note that these are for cash-only contributions. If donors choose to make their contribution using property or stock, they will be required to itemize, in order to claim the deduction.
For questions about making a cash contribution with a check or credit card, please contact Marc Fishman at 561-852-3169 or MarcF@BocaFed.org.
For questions about making a cash contribution with a wire transfer/ACH, please contact Megan Macdonald at 561-852-3147 or MeganM@bocafed.org.
*Coronavirus Aid, Relief and Economic Security
What are the benefits of donating appreciated stock instead of cash?
Appreciated publicly traded stock that you’ve held for more than one year is considered long-term capital gains property. If you donate it to a qualified charity, you may be able to enjoy two tax benefits:
• If you itemize deductions, you can claim a charitable deduction equal to the stock’s fair market value, and
• You can avoid the capital gains tax you’d pay if you sold the stock.
Donating appreciated stock can be especially beneficial to taxpayers facing the 3.8% net investment income tax (NIIT) or the top 20% long-term capital gains rate this year.
Is COVID-19 still affecting charitable contributions?
Yes. Recognizing the scale of global need caused by COVID-19, lawmakers created two new policies, as part of the CARES* Act:
1. If you don’t itemize, you can now get a charitable giving tax deduction up to $600. Individuals can deduct $300 of non-itemized donations; married-filing-jointly couples can deduct up to $600 (previously, this was $0).
2. If you itemize and are hoping to give a larger grant, you can now donate and deduct up to 100% of adjusted gross income, bringing taxable income to $0 (the previous limit was 60%; this policy does not apply for DAFs).
*Coronavirus Aid, Relief and Economic Security
Can I donate an Israel Bond?
A donor can pay a pledge or set-up a Donor Advised Fund with a matured Israel Bond.
A donor can also purchase an Israel Bond in Federation’s name as a donation. The donor will receive tax credit for the full matured value.
If the Israel Bond has already been purchased and it has matured, the donor can donate it to the Federation. Contact Karen Milloy at 561-852-6008 or KarenM@bocafed.org for instructions.
The transfer deadline is December 28 to ensure a tax benefit for that year.
What should I consider when it comes to Matching Gifts?
Please note that many companies will match your contribution to the Jewish Federation of South Palm Beach County. For more information on matching gifts, visit jewishboca.org/matching gifts, call Marc Fishman at 561-852-3169, email MarcF@bocafed.org or contact your employer’s Benefits or Human Resources manager.
I’m a part-time resident from Canada, who wants to support the Jewish Federation of South Palm Beach County and the JJCF. Any special requirements for me?
Simply make your check payable to United Israel Appeal (UIA) of Canada in US funds and receive a tax receipt for being a part of our vibrant Jewish community.
For questions about giving as a part-time resident, please contact Marc Fishman at 561-852-3169 or MarcF@bocafed.org.
Since each financial and investment situation is unique to the individual, please seek more in-depth advice from your personal legal, estate planning, financial or tax professional.