Ways to Donate to the HFC Foundation
The HFC Foundation staff will work with you to make sure each donation best fits your needs.
Check or Credit Card
Cash gifts, usually received as a check, enable donors to claim a current income tax deduction of up to 50 percent of their adjusted gross income in the year of the gift with a five year carry-forward period. The higher the tax bracket, the less the gift costs.
For your convenience, the HFC Foundation also accepts online credit card donations.
Donors who contribute long-term appreciated securities to the HFC Foundation receive a double federal tax benefit. They are deductible at their full market value if held longer than 12 months. Their fair market value can be deducted up to 30 percent of the donor's adjusted gross income, with a five year carry-forward. The capital gains tax on the stock's appreciation is completely avoided.
Closely Held Stock
Closely held stock or shares in a privately owned business can be contributed outright to the HFC Foundation. The donor is entitled to a deduction for the appraised fair market value of the stock up to 30 percent of his or her adjusted gross income. The donor also avoids the potential capital gains tax on any appreciation in the value of the stock.
Gifts of real estate, a house, personal residence, farm, vacation home, commercial building, and income-producing or non-income-producing land, if held more than one year, are deductible for up to 30 percent of the donor's adjusted gross income in the year of the gift with a five-year carry-forward period. For real estate held less than one year, the deduction is limited to the property's cost basis. Gifts of real estate may be contributed as outright gifts, as a retained life estate, or as a contribution to a charitable remainder trust, or may be gifted to the HFC Foundation through a donor's will and estate plan.
Tangible Personal Property
Gifts of tangible personal property include property such as art, antiques, collectibles, jewelry, rare books, stamp and coin collections, etc. When gifted to a public charity, such items are deductible at full fair market value as determined by a qualified appraisal if the use of the contributed property is related to the tax-exempt purposes of the charity. If the use of the contributed property is unrelated to the tax-exempt purposes of the charity. the donor is entitled to a charitable deduction for his or her cost basis in the property.
Gifts of life insurance enable donors to make a future major gift to the HFC Foundation at a relatively modest cost. Donors may name the HFC Foundation as the owner and beneficiary of existing policies. Alternatively, donors may purchase new policies and name the HFC Foundation as the owner and beneficiary. Donors are entitled to a federal income tax deduction for the cash surrender value in the year the gift is made.
Mutual funds can be excellent assets to contribute to the HFC Foundation. The fair market value of a mutual fund share is its public redemption price on the valuation date. Gifts of mutual funds are deductible at their fair market value up to 30 percent of the donor's adjusted gross income, with a five-year carry-forward.
Qualified Retirement Plan Assets
Retirement plan assets (such as IRAs) can make excellent charitable gifts. Qualified retirement plans enjoy favorable tax treatment prior to retirement but are severely taxed at the death of the plan participant. Qualified plans may be subject to income tax, estate tax, and an excess accumulation tax, which can total 80 percent or more. In many cases, it may be advantageous to leave other assets to heirs and to name the HFC Foundation as the beneficiary of the retirement plan. Estate tax and income tax can be avoided if the plan participant makes a gift to charity at the death by beneficiary designation.