Make the most of your year-end giving
Four ways you can support your favorite U of M cause and save on taxes

Your generous gifts are essential to students, faculty, research, and programs at the University
of Minnesota.

If you are considering making a gift to the University or to M Health Fairview by the end of the
year, you may wish to do so in a way that also provides you with tax savings. Here are some

1. Give appreciated assets

Giving securities, such as stocks, bonds, or mutual funds, that have increased in value is a smart
way to support the University. For securities held longer than one year, you may deduct the full
fair-market value, subject to applicable limitations. If you do not itemize deductions, you may
still benefit by avoiding capital gains tax that would be due upon the sale of the asset.

2. Give from an IRA

IRA owners who are age 70 ½ or older can give up to $100,000 directly to charity from their IRA,
tax-free. The amount of the charitable distribution can be excluded from your federal income,
lowering your overall tax liability. This option provides tax savings even if you do not itemize

Note: If you are using an IRA checkbook to make gifts, the date of gift is established when the
IRA administrator transfers the funds after the charity deposits the check, not when the check is
postmarked or delivered. The time it takes the IRA administrator to transfer the funds varies.
Please contact your administrator as soon as possible to ensure your gift is completed by
December 31.

Naming the U of M Foundation as a beneficiary of all or a percentage of your IRA or other tax-
deferred retirement account is another meaningful and tax-wise way to support the University.
These assets are subject to tax when given to individuals. However, they will pass tax-free if
given to a charitable organization like the U of M, meaning the full value of your gift will go to
support the areas you care about.

3. Make a gift that pays fixed income for life

You can give cash or appreciated securities to the University to fund a charitable gift annuity. In
return, the U of M Foundation pays you (or up to two people you choose), a fixed annual
amount for life.

You receive an income tax deduction for a portion of the gift, and a part of each annuity
payment is tax-free. You also can save on capital gains tax if the gift annuity is funded with
appreciated securities. To request a personalized gift annuity illustration, contact the U of
M Foundation’s gift planning team at [email protected] or 612-624-3333 or 800-775-2187.

4. Give from a donor-advised fund

Giving to the University from your donor-advised fund (DAF) is simple. If you recommend a
grant to the University of Minnesota Foundation, your DAF administrator will distribute the
grant directly. If you would like to designate your gift for a specific campus, college, or program,
please provide that information to your DAF administrator at the time you request the grant.
Most DAFs also allow donors to recommend the charities that will receive the remaining fund
assets after they have passed away. If you would like the University of Minnesota Foundation to
receive all or a portion of the remainder of your fund, please contact your DAF administrator.

Support what is meaningful to you

Our development staff can help you direct your gift to a U of M college, campus, or program of
your choosing. If you are unsure which gift option may be best for you, or how you would like
your gift to be used, please contact our team of gift planning professionals at
[email protected] or 612-624-3333 or 800-775-2187.

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Your generosity can make a difference in the lives of University of Minnesota students and researchers, as well as the greater community