Online stock donations - learn how
Why support our work?
Because clean water, toilets and hygiene matter. Together, they save lives. In the long-term, they are the stepping stones toward real progress, terms in of education, employment, better health and economic opportunity. These three basics are fundamental for communities to flourish. Right now, in light of COVID-19, our teams are on the front lines of the response, offering a wide array of services, from providing PPE in Nepal, to "no touch" sinks in Uganda and much, much more. Learn more
Why donate in stock?
There is a considerable tax advantage if you choose to donate in stocks versus credit card or bank transfer.
Stock donations will bring you substantial tax benefits if you've held the stock for more than a year and plan to claim itemized deductions.
Imagine that last year you bought some Apple shares for $10,000 and that today they are worth twice as much, $20,000. If you donate the entire amount to a charity of your choosing, you can claim a charitable donation deduction of the current market value of the shares — the full $20,000.
Depending on your tax bracket, such a donation could generate anywhere from $3,000 to $7,400 in tax savings. The higher your tax bracket is, the larger your tax deduction will be. For those in the higher tax brackets, you can potentially cut your tax bill by $7,400 when you only paid $10,000 for the original shares.
In addition, when you hold on a stock share for more than 12 months, you'll have to pay a tax on its appreciation amount. But if you donate the stocks instead of selling them, you won't have to pay any tax at all! This is why many investors prefer to donate highly appreciated stock in order to maximize their tax benefits — such a donation will result in a larger itemized deduction and no capital gains tax.
Giving stock is the only way to avoid capital gains tax
Ever wondered how you can avoid paying taxes when you decide to sell your stock options? Imagine a scenario in which you sell your long-term appreciated securities first and donate the proceeds to WaterAid. After selling the stock, you will have to pay a capital gains tax, which can be anywhere from 15% to 20% depending on your tax bracket.
As a result, you will end up paying a massive tax and making a donation that is 20% less than you would have made had you donated your investments directly.
Giving stock directly to WaterAid can help to reduce any capital gains tax and will mean more income to our clean water projects around the world.
Clean water, toilets and hygiene transform lives. With all three, people are able to break free from poverty. Children are born healthier and get the chance to go to school. Women and men get to earn a living, and whole communities start to thrive.
That’s why our goal is simple: getting these essentials to everyone, everywhere. And with your support, it's something we can achieve, within a generation.
While installing taps and toilets is a key part of our work, we do so much more.
In Nicaragua, for example, we're working with local communities and partners on a micro-finance training project, so that local people can afford good quality pumps and toilets in their homes.
And that's just the start. We influence governments across the world to change laws, link national and international policymakers with people on the ground, and rally support from individuals and organizations around the world, making lasting change happen on a massive scale.
We have enjoyed working with WaterAid and have learnt a great deal with them. We look forward to further strengthening our relationship with WaterAid in the coming years.
If you are interested in working with us to create lasting change, please contact Margaret from the Philanthropy team:
Email: [email protected]