Building a Legacy Through Gifts of Stock

May 31, 2022

Our generosity builds a legacy, shaped by our values and spurred by the causes we find most compelling. Through philanthropy, we not only have an opportunity to make a difference during our lifetimes, seeing the fruit of our gifts, but we also have an opportunity to influence an unknown future, ensuring the nonprofits we value continue their work for the generations that follow us.

As church leaders at Faithbridge broke ground on their new youth building in January 2020, they had just this type of philanthropic vision for the difference their congregation could make. Families with teens would see an immediate benefit with the new space and so would future students. Their Legacy Campaign generated millions of dollars of pledges, which would cover the building costs; however, when they began building, COVID-19 barely had a name. As COVID cases rose, they were uncertain about the pandemic’s ramifications and pondered ceasing progress on the building, but the congregation continued to give generously to the project.

Even with the financial uncertainty of the time, the congregation supported the Legacy Campaign with a variety of gifts. “Approximately 5% of our gifts to this campaign were stock gifts,” Business Administrator Michael Sullivan shared. “My family thought about a monthly gift, but we ended up choosing to make a gift of stock. We had stock that had appreciated in value, and we knew making the lump sum gift would be beneficial to the church in the beginning of the pandemic.”

While gifts of stock are beneficial to the receiving organization, gifts of stock often have accompanying tax benefits for donors as well. In fact, if a stock has appreciated for longer than a year, donors could be making a contribution as much as 20% higher than if they had sold the stock and made a cash contribution because they avoided capital gains taxes. Donors also qualify for a charitable deduction on their income taxes at the current market value of the stock.

“TMF fully understands the difference these gifts can make for organizations and donors, so we offer a free service for transferring gifts of stock to United Methodist Churches and associated ministries,” TMF Investor Services Assistant Randi Forrest shared. “It is one of many services that we believe strengthens ministries and enables us to be partners in mission. It also encourages donors to be as generous as possible to their church and Faithbridge is an example of this.”

Through their incredible and varied generosity, congregants at Faithbridge completed their new building. Now, the youth have a state-of-the-art space that is convertible, allowing for more traditional services in a chapel-like environment and youth worship in a trendy loft-type space.

“We are grateful for our relationship with TMF,” Michael said, pausing. “They have been our partner for 22 years and this service makes it easy for church donors to be generous. Gifts of stock provide another option for individuals to invest in the ministry of the church. Sometimes, by providing that additional avenue, people who did not believe they could give suddenly have the opportunity.”

Faithbridge’s generosity was built on the hope of making a difference now but was also faithful enough to see the possibility for making a difference in the future. “We felt like the building was a beacon of hope for the community,” Michael shared. “One day, after the pandemic, things would be back to normal, and we would have students and others back on campus. The building was a visible reminder that day was coming.”

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If you are interested in making a gift of stock to your church or a UMC-related ministry, you can learn more about how to take advantage of TMF’s free service for transferring stocks. You can also speak with Randi Forrest if you have any questions by sending her an email email hidden; JavaScript is required or calling her at 800-933-5502.