Giving Stock: The Asset of Choice
Look to your portfolio first when making any charitable gift. Appreciated stock is the asset of choice for donors who want big tax breaks while still making a difference in the lives of older adults.

Stocks are so easy to give. With the advent of electronic transfers, the paperwork and time involved in a stock transaction is minimal. You select the number of shares and type of stock to give, publicly traded or privately held. Whether you're giving one share or thousands, the process is the same -- simple and fast!

Stock gifts may have a double tax benefit. Not only can you claim the charitable deduction, but you could save on capital gains tax as well. In many cases, the cost basis on appreciated stock is very low and over the years the value may have increased ten-fold or more. Cashing it in may subject you to big capital gains. Holding the stock may increase the tax to your heirs, and in the meantime generates no income (provided there are no or low dividends).

Stock gifts can fund Split Interest Gifts. You can use appreciated stock to fund a charitable gift annuity or charitable remainder trust that will pay you income for life and support meaningfully your favorite cause.

Example: You decide to give 100 shares of stock to ERH with a fair market value of $5,000. Assuming you bought the stock five years ago for $1,000, you can deduct the full value of the gift ($5,000) from your 2006 income taxes. If you are in the 33% tax bracket, you would reduce your tax liability by $1,650. Furthermore, the $4,000 in gain is not taxed to you.

If you gave the $5,000 in cash, we would be just as grateful on behalf of those in our care, and you would receive the same $5,000 deduction. But, from a tax point of view, you did not avoid the capital gains tax of $4,000 that will eventually have to be paid by you or your heirs. Donating the stock would have been the most tax-efficient way to make the gift.

Stock Transfer Instructions
For donors who wish to transfer shares of stock to Episcopal Retirement Homes not associated with the completion of a Charitable Gift Annuity Agreement, please use the following instructions to complete a DTC (wire transfer).

1. Contact your broker to initiate the transfer. The following information is required:
Corporate Name: Episcopal Retirement Homes, Inc.
Federal ID Number: 31-0554071
DTC Participant Number: 2803
DTC Agent ID Number: 26645
Trust Account No: 080005860501

2. Ask your broker to send a hard copy of the following information to Lori Asmus at ERH.
Phone: (513) 272-5555, ext. 4224; Fax: (513) 271-9648;
E-mail: lasmus@erhinc.com
Name of donor
Date of gift (transfer date of shares)
Name of corporation
Number of shares transferred
Mean value per share on the date of the gift transfer
Copy of correspondence from the donor

3. Lori Asmus will contact you to confirm the receipt of the stock and convey our deepest gratitude for the difference you have made for those in our care.

The consequences of a charitable gift depend in significant part on each donor's particular circumstance. This general discussion of ways to give does not address every issue, nor does it take into consideration the type of assets you have, your individual tax situation or your estate and gift tax planning objectives. You are most strongly urged to consult your tax and estate planning advisors.