How Overflow can amplify your giving by 100x (yes, you heard right)

6 Minute Read
Posted by Overflow Team on April 29, 2022

Tags: Drops

Particularly in the United States, we've gotten used to the idea of false advertising. Pills offer to help us lose weight in just 30 days! Infomercials tout "once-in-a-lifetime" products that often meet the eye test but don't perform or live up to the hype.

So we don't blame you if you roll your eyes when you see a stat like "amplify your giving by 100x." Let's be honest, that seems like a bit much.

In many cases, a figure like that would seem too good to be true, or an exaggerated hyperbole at best.

However, in this case, it actually is true.

Overflow actually does have 100 times the donation amount when compared to giving through dollars and cents. That may not seem accurate, but we have both the statistics and testimonials to back it up.

But to be clear, we're not trying to twist your arm or sell you something that's shiny on the outside but hollow on the inside. One of our values is to “always add value," meaning our aim is to add more value than we take. Whereas some companies seek to take advantage or "leech" a company (particularly nonprofits), our goal is to simply elevate and heighten your prospects and opportunities.

Think of it this way: we're trying to set you up with the assist, not take all the shots. To use another basketball reference, the late, great, Kobe Bryant once coined the term "mamba mentality." Referencing his iconic nickname, the Black Mamba, Bryant sought to have a continued pursuit of determination and excellence.

We strive to embrace the same motto by always aspiring to level up our product, overall process, and the way we serve people. While some have a "maintenance mentality," of just hitting the bottomline and doing the bare minimum to check off an agenda, we seek to leave any space better than we found it.

While we want our statistics to speak for themselves, we also want our reputation to be founded in genuineness, transparency, humility, and honesty. So when we reference the ways we can help magnify and maximize impact, it's from a place of wanting to see others around us thrive, not to boast in our own generosity. After all, we aren't the ones making the donations – just facilitating them and simplifying the process.

In summary, yes, we can amplify your giving by up to 100x.

That might sound crazy or simply too good to be true, but let us explain how…


How is this even possible?

If you've read any of our other blogs or mission statements, you may have caught wind of this idea that stocks are more of a viable asset to donate. Why? For one, stocks are widely held by most Americans. In fact, "90% of the average American citizen’s wealth is in non-cash or complex assets, such as stock or business interest," The Signatry found.

Moreover, donating stock directly has inherent benefits, such as allowing you to tap into more-appreciated assets, give strategically, and avoid paying capital gains tax (something that can take a huge bite - 20% - out of your gift.)

If that's the case, why aren't stocks a more common donation option?

Great question. The idea has not reached its full potential, and it's not even close. About $40 billion in stock is already donated manually. This may sound straightforward until you unpack the painfully long process that it takes to donate a stock every single time:

You must identify which types of stock you plan on donating and gather the appropriate information about them.
Next, you have to contact the nonprofit organization or church you plan on donating to and obtain financial details, such as their employer identification number, account number, and more.

Then you fill out a series of required forms to give to your brokerage (i.e. the platform you buy and sell stocks with, such as Fidelity or WeBull) to ensure the transfer is accurate. Make sure to use black pen!

It's also a good idea to check-in with the recipient and ensure the donation was processed correctly.

Lastly, you'll also want to make sure you have everything sorted with your CPA, as the IRS wants records of these types of transactions when you file your tax return.

Can this be done? Of course. But in a world where time is money, think of both the hours, dollars, and headaches saved when this process gets taken out of your hands. Especially for short-staffed churches and nonprofits, dealing with these kinds of logistical holdups can create undue stress and even dissuade executives or donors from partaking in the process in the first place.

Overflow's job is to take every piece (and more) of that cumbersome process and streamline everything for you. In essence, we make these transactions easy and secure. Here's a quick breakdown of the process:

When you log onto our giving platform, you can easily add the brokerage you're pulling stock from.

In the meantime, we have people standing by to answer your questions within seconds.

Once you've chosen your brokerage, a user-friendly menu (ordered by gains) pops up with your stock holdings. You simply click the stock you'd like to donate and specify the number of shares you'd like to give.

You then select the intended recipient, and voila, your donation is on its way!

Yes, it really is that simple!

Okay, but how does Overflow amplify my giving 100 times?

Let's look at churches as an example. The numbers may vary slightly for nonprofit giving, but the premise remains the same.

The average online donation amount is $128 according to Nonprofits Source, an SEO agency for nonprofits. If you compare that to our average donation rate of $12,000 (as of June 2022), that's about a 100x increase.

You may be wondering why the donation amount is drastically higher. However, when you consider that many opt to donate stock for tax write-offs and also possess more assets in stock shares, the number doesn't seem so out of left field. In fact, the average stock donation in 2018 was $5,230.


This must be a niche market...

Even if you can see the inherent value in donating stocks directly, you may think that this is a limited or "niche" market to pull from. "The average American may have 90% of their holdings in stock, but do my constituents or church members have it?"

The reality is yes, your donors and your church members hold stock. Fidelity Charitable found that 80% of donors have stock and are willing to give it, due to reasons like being "eligible to deduct the full fair-market value of the asset you donated from your income taxes," in addition to other perks, like avoiding capital gains tax on your donation.

Donating stocks is actually working, too. Take these case studies, for example:

VIVE Church Case Study
RIP Medical Debt Case Study


Next steps?

Whether you're simply curious about us or want to take the first steps in a potential partnership, we encourage you to do the following:

1) Book an Overflow Demo: This will be a 15 minute call in which we walk you through the entire process of a potential partnership and answer any questions you might have.

2) Follow up with an Overflow member. If you’ve ever spoken to an Overflow member, we'd be happy to continue the conversation.

Read our blogs and check out our website to get a better understanding of the way we've partnered with other organizations and helped maximize their giving impact.