Investing in Students
Some supporters of Rockway Mennonite Collegiate’s mission of academic excellence, faith-forming and character-building, have chosen to donate securities such as mutual funds and shares, enabling them to have an immediate significant impact. And since the capital gains tax does not apply on publicly traded securities, this is a very efficient way of giving.
Here’s an example of how it works. Let’s say you purchased common shares in XYZ Company for a cost of $1,000. If the current market value of those shares has increased to $5,000, you would have a capital gain of $4,000.
If you sell those shares and donate the cash proceeds, you’ll owe tax on the capital gain. But when you donate the shares directly to Rockway Mennonite Collegiate, you owe no capital gains tax and you’re able to donate the full value, meaning a larger donation supports student education and you get a tax receipt which reflects the full value of your contribution.
To donate shares/securities, you have two options:
Donate your shares/securities online. Please note a 3% CanadaHelps’ fee applies to donations of less than $10,000; 2.5% fee applies to donations $10,000-$49,999; 2.25% fee applies to donations between $50,000-$99,999; 2% fee applies to donations of $100,000 and up.
Contact, Christine Rier, Director of Advancement, Rockway Mennonite Collegiate, 519-743-5209 x 3011 or email@example.com.
You can also donate publicly traded securities via Abundance Canada. They will sell the securities/stocks and disburse the proceeds to Rockway at your direction. You can disburse the proceeds immediately or over a period of years. Abundance Canada will issue you a receipt for your donation, and send a letter and cheque to Rockway informing us of your gift.
Abundance Canada considers a portion of the sales proceeds a donation to Abundance Canada to support their work. The amount of this portion is based on a sliding scale depending on gift size. At most, Abundance Canada will retain only 2% of the gift for donations of $50,000 or less, with the relative amount of the portion decreasing as the size of the donation increases. To explore if this the right option for you, visit: http://abundance.ca/services/securities-property/
Thank you for investing in exceptional education and building wonder for Rockway students.