We are pleased to announce that Recovery Café San Jose is now able to accept donations of stocks!
Why is this important?
By donating stock to us, rather than selling it and donating the cash proceeds, you get a deduction for the Fair Market Value at the date of contribution, as well as avoiding Capital Gains taxes. Assuming the stock is worth more now than when you purchased it, this can be a great benefit to you, as well as a great donation to us!
Essentially, if you purchased a stock for $1,500 and it is now worth $5,000, we get the full current value of $5,000 (our policy is to sell stocks immediately) and you get to deduct the full $5,000 from your taxes, and yet it only cost you $1,500. If you were to sell the stock first, and give us the proceeds, you would also be responsible to pay Capital Gains on the $3,500 increase in the value of the stock.
How to Donate Stock to RCSJ:
All it takes is filling out a simple, one-page form and submitting it to your broker (also CC us, so we know who to thank!). Please contact Ken Goldstein, Executive Director of RCSJ, at firstname.lastname@example.org and he will email that form to you right away, with our brokerage information already filled out.
Everybody’s situation is different! We strongly encourage you to speak with your financial advisor before finalizing any stock donations!
To learn more about stock donations, you may also want to read these articles: