Expert Cites Benefits to Giving Unusual Assets

During his “How to Repurpose Your Grandmother’s Pearls” presentation, consultant Bryan Clontz encouraged donors and professional advisors to think creatively when reviewing their charitable plans and goals.

“In many cases, cash is the least tax-beneficial donation,” said Clontz, who is the President and Co-Founder of Charitable Solutions LLC, a charitable gift annuity risk management, gift annuity reinsurance brokerage and non-cash asset consulting firm.  

According to Clontz, more than half of many households’ assets are held in non-cash assets compared to cash, which accounts for generally three to five percent. Thus, gifts made with non-cash assets can have a lesser impact on a donor’s current lifestyle.

Another consideration is that capital gain property receives a fair market value deduction AND an elimination of capital gains tax if donated to a public charity.  

Clontz encouraged participants to consult their tax advisors and evaluate which options - outright gifts, gifts with a life-income component, and gifts by bequests in estate plans - might be the best ones for their individual circumstances.  

Start by thinking of where you currently give your time, talent and treasure, was the advice. Think of how you would like to continue to support those community services beyond your lifetime.

Then ask The Community Foundation about the range of options available to you.

Bryan Clontz cited several interesting examples of non-cash assets given to foundations, including: stock and mutual funds, art and taxidermy collections, real estate, and book and patent royalties.  Foundations have also received more unusual assets such as an NFL team, a seat on the New York Mercantile Exchange, red wine collection, and even a quarterhorse. During its 80 year history, The Community Foundation has been the beneficiary of several homesteads and recently, donors Chris & Toddie Getman announced an intention of leaving their 1941 Packard Woodie and 1929 Packard Phaeton to be sold and proceeds added to their family’s fund.