'Tis the Season...to Give a Gift of Stock

Happy December, Addison County! It’s a busy month for so many, with holiday traditions highlighting year-end festivities. For the folks like us who work at Addison County nonprofits, our hearts are doubly warmed by the beauty of the snowy landscape we call home, combined with the generosity of our friends and neighbors.

Many folks are inspired to give during the holiday season, and at UWAC, we like our donors to have options on how they give to us. One donation option that some donors may not be aware of is gifting stock to UWAC. There are some significant benefits of gifting stock to nonprofit organizations, and at UWAC, our process is quite easy!


No impact to your personal cash flow. Because a gift of stock is coming from funds that are set aside for investments or retirement, there is no withdrawal from your personal bank account, keeping your cash flow untouched.

Great tax benefits. When you give stock to a nonprofit organization, there are two significant tax benefits: 1) you avoid paying capital gains taxes on any profit from the stock sale; and 2) you receive a generous charitable donation for the full value of their gift (including profits). In other words, say you bought shares of “ABC Company” for $100/share, and they’re now valued at $500/share. If you were to sell your stock, you’d be taxed on the $400/share that you made. But if you donate that stock to a nonprofit like UWAC, you’ll save on those taxes (but can still deduct $500/share on your tax return). 

You can give more. By donating stock that has appreciated for more than a year, you are actually giving 20 percent more than if you sold the stock and then made a cash donation. The reason: you’re avoiding those capital gains taxes. (Source)

It’s easy! The process of giving stock to UWAC is much easier than many think - see below for more info!


At UWAC, if you wish to make a gift of stock, you can do so by:

  • Notifying your broker of the stock type and the number of shares you wish to transfer to UWAC. Your broker will need UWAC’s account number (Charles Schwab, account # 50101290, DTC # 0164).
  • Once our brokerage firm is notified of the transfer, they sell the shares and transfer the fair market value of the shares to UWAC’s bank account.
  • Once finalized, our Director of Finance, Steve Williams, will mail you a signed stock gift tax receipt for your records (usually 1-2 weeks after the transfer).

A gift of stock to UWAC means your dollars will go further than selling the stock and donating cash (remember - no capital gains taxes!), maximizing your impact of helping to improve the health, education, and financial stability of your neighbors in Addison County. 


United Way of Addison County is a non-profit organization pursuant to Section 501(c)(3) of the United States Internal Revenue Code. Your donation to UWAC may qualify for an income tax deduction in accordance with Federal and/or State income tax laws. Please consult with your tax advisor to determine whether your donation is tax-deductible in whole or in part. Nothing in this communication is intended to constitute legal or tax advice.