Part One
Michael Altshuler is a successful motivational speaker and entrepreneur. A recent quote of his got me thinking about year-end giving. He said, “The bad news is time flies. The good news is you’re the pilot.” This is a good reminder that even though it’s October, it’s worth our time, attention, and prayer to strategize for year-end giving.
For most nonprofit organizations, year-end gifts are crucial for operational expenses, programs, and achieving annual financial goals. It’s also about building future momentum. For Baptist Homes, we seek to build a culture of generosity that sustains our mission – “to joyfully serve in a Christlike manner by educating, advocating, and caring for the aging for the glory of God.” For over 112 years, Baptist Homes’ mission has been to care for the aged. It is still the calling from God that drives what we do today and tomorrow.
Here are things to consider for your year-end giving.
Choosing Your Donation Method
There are various ways to donate to Baptist Homes, including cash, securities, stock, in-kind donations, NAP state tax credit donations, and IRA qualified charitable distributions.
Cash donations can be made by check, credit card, or electronic funds transfer.
Donating securities, including stocks, bonds, and mutual funds, involves transferring these assets directly to BHHM instead of selling them and donating the cash. This “win-win” strategy allows the donor to avoid paying capital gains tax on appreciated stock and potentially receive a larger income tax deduction. Once received, BHHM sells the securities to support our mission.
In-kind donations are gifts of goods or services that help BHHM fulfill its mission and reduce operating costs. Examples include goods, services (e.g. legal advice, accounting, IT support, graphic design, or web development), intangible items: Donated advertising time or access to a resource or gift cards (though they have a dollar amount, they’re treated as in-kind donations because they aren’t direct cash).
NAP state tax credit donation -NAP tax credits offset an eligible donor’s state income tax liability, claimed when filing their Missouri tax return. The credit applies to taxes owed for the year of the donation plus five additional tax periods. These credits are issued at a 70% rate of the donation. For example, a $5000 donation will reduce a Missouri State Tax obligation of $5000 to $1500.
IRA Qualified Charitable Distributions – IRA Qualified Charitable Distributions (QCDs) allow individuals age 70½ or older to transfer funds from a traditional IRA directly to BHHM, up to a limit (e.g., $108,000 for 2025). This donation provides a tax benefit by excluding the distribution from taxable income and satisfies a donor’s Required Minimum Distribution (RMD). QCDs benefit donors who take the standard deduction, as they offer a tax advantage without itemizing.
For questions about the above information, contact BHHM’s Community Engagement office at 573-546-2709.
Next month we’ll explore ways to maximize your year-end giving impact!
Nick Davis, Director of Advancement
