Other Creative Options
for Sharing your abundance
There are many ways you can support the mission and ongoing programs of the New Community Project now and for many years to come. Your contribution can be designated for the general operations of NCP or for the NCP endowment fund.
Giving from your retirement plan
If you have an individual retirement account (IRA), a 403(B), or Keogh retirement plan, you can receive a distribution from your retirement plan and give it directly to New Community Project. The distribution you receive will be considered part of your taxable income. However, when you give it to NCP, you will receive an offsetting charitable tax deduction (if itemizing). In addition, if the distribution you receive—and then give to NCP—is derived from appreciated securities, you will not have to pay the capital-gains tax on the appreciated asset. Your gift can be designated for the general operations of NCP or for the NCP endowment fund.
Giving through life insurance
Another means of supporting the mission of NCP through your retirement plans is to designate NCP as a beneficiary, or owner, of your life insurance policy. A gift of this nature provides an income tax deduction (if itemizing) and no estate tax is due when the life insurance proceeds are paid to NCP. As noted above, your life insurance gift can be designated for the general operations of NCP or for the NCP endowment fund.
IRA “charitable roll-over” provision
If you are 70.5 or older and have an individual retirement account (IRA), you can ask your retirement plan administer administrator to transfer up to $100,000 per individual and up to $200,00 for a married couple, to New Community Project each year. Because your gift is made directly to NCP, and you did not receive the funds yourself, for tax purposes the funds are not considered taxable income. While your IRA “roll-over” transfer is not eligible for a tax deduction, it will count towards your annual minimum distribution requirement. As noted above, your IRA transfer can be designated for the general operations of NCP or for the NCP endowment fund.
Gifts from your retirement plan through your will
Through a charitable bequest, as specified in your will or living trust, you can provide a generous gift to NCP after your lifetime. You can ensure that the mission of NCP moves forward after your death by including a simple bequest provision (or codicil), in your will or revocable trust. Your bequest gift will not generate federal tax and you can change the designation of your bequest or trust at any time. Applicable bequest language can be as simple as follows: “I/we give, devise and bequeath to the New Community Project, a nonprofit organization [federal tax ID number] located at 117 Nature Road, Blue Ridge, VA 24064, (the sum of [$X], or [X] percent of the residual assets of my estate).” Your estate gift can be designated for the general operations of NCP or for the NCP endowment fund.
Outright gifts of cash, check, money order, etc.
Appreciated stocks and securities can be donated to New Community Project through electronic transfer (through which your broker electronically transfers the shares into the NCP brokerage account), or by mailing the paper stock certificate(s) directly to NCP. If you have owned the appreciated securities for at least a year and a day, by giving the securities to NCP, your contribution removes capital gains taxes that would have otherwise been generated through the sale of the stock. [We should include here the NCP brokerage firm, contact info and DTC #.]
Sometimes called “gifts-in-kind,” these are gifts of personal property in a form other than money. They may include gifts of tangible personal property such as vehicles, boats, antiques, artwork, jewelry, etc.
The “Tax Cuts and Jobs Act of 2017” established a much higher standard tax deduction. For a married couple filing jointly, the standard deduction is now $24,400, and for those 65 and older, the standard deduction is $27,000. For this reason, the vast majority of U.S. tax payers no longer itemize their taxes. However, there are several ways you may still obtain some tax savings through your charitable gifts to NCP.