Platform Overview
DonateStock is a fintech platform that simplifies stock gifting for donors, advisors, and nonprofits. Founded in 2020, DonateStock is the trusted leader in charitable stock gifting. Like "PayPal for stock gifting," we make it easy for donors and advisors to donate appreciated securities to more than 1 million nonprofits with ease. On their behalf, we streamline and facilitate the entire transfer process.
While the stock gifting process used to be time-consuming for financial advisors, you can now obtain stock transfer information in less than 2 minutes:
- Visit donatestock.com and search for the nonprofit by name or tax ID;
- Specify the securities to be gifted;
- Provide your contact information;
- Transfer instructions will be served and emailed to you;
- We will notify the nonprofit recipient and process the gift, freeing you of any additional responsibilities;
- When the shares are received, we will notify you and provide a receipt for your client.
Tax Benefits and Client Advantages
Donating long-term gains offers dual tax benefits:
- Avoid capital gains tax, saving 18.8% to 37.1% depending on the donor’s state of residence;
- Itemize the current value of gifted securities.
The IRS limits non-cash charitable deductions to 30% of Adjusted Gross Income (AGI) for appreciated securities held more than one year. Excess deductions can be carried forward for up to five years.
Accepted securities include:
- Publicly traded stocks, ETFs, and mutual funds;
- Securities priced above $5 (no penny stocks).
No. DonateStock is compensated by the nonprofits we serve.
Business Development Opportunities
By helping clients use appreciated securities to fund their charitable giving, advisors benefit in numerous ways:
- Increase loyalty, retention, and referrals by helping clients with tax-advantaged giving;
- Grow AUM: as donors save on taxes, they will have more left over to invest.
Yes, DonateStock offers numerous resources for donors and advisors:
- Stock gifting playbook for donors;
- Tax savings calculator;
- Bloomberg article: Stock Gifting Challenges and Solutions for Financial Advisors;
- Live support via chat and email.