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Donor Resources |
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What kind of assets can I give?
Barnabas Foundation provides you with the flexibility to give the asset that makes the most sense for your specific situation. For a break-out of recent types of gifts received by Barnabas Foundation
click here.
Almost any asset can potentially become a charitable gift.
You may contribute . . .
- Stocks and other securities
- Real Estate
- Business Interest (particularly prior to the sale)
- Life Insurance
- Antiques, art, equipment and/or collectables
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Why should I give appreciated assets?
The federal tax law makes gifts of appreciated assets (stocks, bonds, mutual funds, real estate, closely-held corporate stock) owned for one year, advantageous for many people.
- Appreciation on charitable gifts is not subject to capital gain tax.
- You receive a tax deduction for the full value.
- The actual cost to you could be significantly lower when using appreciated assets.
For an example of the tax savings of giving appreciated assets see below.
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The After-Tax Cost of Giving $10,000
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A
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B
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C
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Asset Value
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$10,000
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$10,000
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$10,000
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Tax Deduction
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-2,500
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-2,500
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-2,500
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Cap. Gain Tax
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+1520
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-
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-1520
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After-Tax Cost
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$ 9,020
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$ 7,500
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* $ 5,980
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* For donors with zero cost basis, net cost may be $5,600.
Calculations are based on 25% federal, 4% state income tax and capital gain rates of 15% federal, 4% state, cost basis of $2,000)
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How will Barnabas Foundation invest my donor-advised account?
Barnabas uses a moderately conservative, diversified approach to investing the Stewards Fund. It is our goal to make sure that your donations get to your favorite charities while also providing you with earnings growth in your account.
How this is done depends on the type and size of the account you have. We offer two types of Stewards Fund accounts:
- General Stewards Fund Accounts are those that are less than $50,000 or have a short grant distribution time horizon. Each of these accounts is invested solely in the Cash Equivalents Fund.
- Endowment Stewards Fund Accounts are those that are greater than
$50,000 and have a long grant distribution time line (generally longer than 2 years). Each of these accounts may be allocated among our 4 different investments options. You may select to follow our recommended investment allocation as shown in the chart below or you may recommend a different allocation among these funds.
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What will my Stewards Fund account cost?
There is no setup fee to establish your account.
The following asset management reimbursement schedule has been adopted to defray the costs of administering the Stewards Fund:
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$100,000
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1.00%
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| Next |
900,000
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0.75%
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| Next |
1,500,000
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0.50%
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| Over |
2,500,000
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0.25%
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General Stewards Fund Accounts
- Reimbursements will be taken monthly.
- No earnings will be credited on accounts under $7,500.
- When a gift is sold, liquidated and distributed within 60 days, all income earned will be retained by Barnabas Foundation.
- An additional reimbursement of 0.25% will be assessed on any assets invested outside the Barnabas Foundation Common Trust Funds.
Endowment Steward Fund Accounts
- Reimbursements will be taken quarterly.
- An additional reimbursement of 0.25% will be assessed on any assets invested outside the Barnabas Foundation Common Trust Funds.
In addition to the schedules above, Barnabas Foundation will be reimbursed for all out-of-pocket expenses incurred relative to each individual gift and reserves the right to allocate additional administrative costs in handling especially complex non-cash gifts. Gifts of real property are assessed a one-time charge of 0.50% upon liquidation of the real property to reimburse Barnabas Foundation for costs incurred in receiving and liquidating these complex gifts.
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Can I establish an automatic charitable payment schedule?
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| Yes, you may specify automatic payments to your favorite charities on a quarterly or semi-annual basis.
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Will you have historical information on my charities so I don’t have to provide it each
time?
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| If you use our on-line Grant process, we will then have a list of previous charities which you have supported and all necessary contact information. When making a new on-line
grant request, information for previously supported charities will be provided automatically.
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How quickly will my grant requests be processed?
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All requests that are approved by Thursday are mailed by Friday of the same week, directly to the organizations you recommend.
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What if my favorite charity experiences an emergency need?
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| In emergency situations, please call us and we will work with you to accommodate your request. We understand the nature of relief agencies and your concern about the timeliness of your support. |
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