Tax Efficient Giving 2017

Thanks for considering a contribution to the MHS ’65 Scholarship! We believe it’s a worthy cause, benefitting deserving individuals while building a Legacy for our MHS ’65 Class.

We’ve partnered with the Moline Foundation, a Tax-Exempt 501 (c)(3) organization with a 60+ year history of bettering Moline and surrounding communities. Our FEIN is 80-0664860.

When you join our Legacy, there are various techniques which can yield larger benefit to the Scholarship program with less after- tax “cost” to the contributor. Following are some of the more common of these techniques. Because each individual’s situation is unique, and because tax law can change, please consult your tax advisor to determine your most tax efficient course of action:

1)     Make a Qualified Charitable Distribution as part of your RMD. Many of us, beginning at age 70½, must take Minimum Required Distributions (MRDs or RMDs) from IRAs, 401Ks, or other Qualified Retirements Accounts. A technique called Qualified Charitable Distributions (QCDs) count toward RMDs and allows those who DO NOT itemize deductions to avoid tax on their contributions from such Qualified Accounts, to qualified charities. It also benefits individuals who itemize, but are limited in such itemization.

For example: a person who donates $1000, claims the Standard Deduction (meaning they don’t itemize deductions), and is in a 25% marginal tax bracket would have a net, after tax cost of their charitable donations of $750 ($1000 less $250 tax benefit.)

2)      Write a check—it’s a charitable deduction for those who itemize deductions.

3)      Donate appreciated securities held for more than one year- which results in a charitable deduction for the Fair Market Value of the securities, and avoids capital gains on their appreciation—a double tax benefit.

4)      Name us as a beneficiary of your life insurance policy; receive a charitable tax deduction (Your insurance provider or tax advisor can provide more detail.)

5)      Give unneeded retirement assets such as from an IRA, 401 (k), 403 (b), or similar IRS Qualified Plan and avoid potential Estate Tax via an estate charitable deduction.

6)      Include us in your Will; leave a specific amount or a percentage of your estate and receive an estate tax charitable deduction.

Again, thanks for considering our MHS 65 Scholarship Legacy. Please consult your tax advisor for more alternatives and more detail to optimize the tax efficiency of your much appreciated support.


Contributions may be made to:

MHS 65 Scholarship (FEIN: 80-0664860)
% Moline Foundation
1601 River Drive Suite 210
Moline, IL  61265