To summarize, donating stocks directly for Alex means:
A larger donation because capital gains are protected, which means Alex has a bigger impact with his donation.
A higher tax deduction because of the larger donation, which means more tax savings for Alex.
In this example, $1,850 was the specific additional value here. For many nonprofits, this is a game changer.
New Story could use $1,850 to pay the rent for a family facing eviction during COVID-19.
StreetCode Academy could use $1,850 to buy a laptop with internet & coding courses for 3 Black & Latinx students who don't currently have access.
So why don't people donate this way? For those who are fortunate to work at companies like Apple and be compensated with stock they can donate from, it's currently too manual to do so.
With PayPal and Stripe, cash & credit card is just... easier.
Donors don't want to have to call or message their brokerage, fill out physical forms, fax in paperwork, and try to contact the nonprofit for their DTC information (What does DTC mean? Exactly). So anyone with stock can do this? Yes! Tens of billions in value is transacted each year through direct stock-based donations actually. But it's concentrated and limited to high net worth households with financial advisors who handle these transactions for them.
That changes now.
Give some of your stock through Overflow today in under a minute.