Author Topic: any accountants out there that i can ask a question?  (Read 490512 times)

Offline avrumy22

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Re: any accountants out there that i can ask a question?
« Reply #320 on: May 14, 2014, 05:55:23 PM »
What is the best way to set up a charity account? Does it need to specifically be a charity account or do I just open any checking account?

Offline churnbabychurn

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Re: any accountants out there that i can ask a question?
« Reply #321 on: May 14, 2014, 06:28:07 PM »
How do you call pledges from investors on a balance sheet?

Offline Blazer

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Re: any accountants out there that i can ask a question?
« Reply #322 on: May 14, 2014, 06:39:42 PM »
What is the best way to set up a charity account? Does it need to specifically be a charity account or do I just open any checking account?
Im not sure what you want to gain, I it's for the IRS I won't make a difference you will still need to keep the same paper work as a regular account

Offline ckmk47

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Re: any accountants out there that i can ask a question?
« Reply #323 on: May 14, 2014, 08:03:32 PM »

There is such a thing as opening an entity whereby any money put in can only go for charitable purposes.  Donors can deduct the money when they put it in, even if it has not yet gone to any specific charity.
I think it's a charitable trust and has to be set up as one legally.
My favorite cause: cssy.org

Offline yitzf

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Re: any accountants out there that i can ask a question?
« Reply #324 on: May 14, 2014, 08:21:56 PM »
There is such a thing as opening an entity whereby any money put in can only go for charitable purposes.  Donors can deduct the money when they put it in, even if it has not yet gone to any specific charity.
I think it's a charitable trust and has to be set up as one legally.

A donor advised fund is the simplest, many large brokerages have them, Vanguard, Schwab.
You donate to the fund and then you can decide to give it to the charity of your choice whenever you wan't.

Offline henche

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Re: any accountants out there that i can ask a question?
« Reply #325 on: May 14, 2014, 08:38:23 PM »
A donor advised fund is the simplest, many large brokerages have them, Vanguard, Schwab.
You donate to the fund and then you can decide to give it to the charity of your choice whenever you wan't.

You do not get all the regular benefits of a charitable donation though.  just figure out where you want to give it and give it now

Offline yitzf

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Re: any accountants out there that i can ask a question?
« Reply #326 on: May 14, 2014, 09:25:51 PM »
You do not get all the regular benefits of a charitable donation though.  just figure out where you want to give it and give it now

Can't you claim a regular charitable deduction?

Offline henche

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Re: any accountants out there that i can ask a question?
« Reply #327 on: May 14, 2014, 09:37:04 PM »
Can't you claim a regular charitable deduction?

1. Nope! (has different limitations, etc)
2. There are all sorts of extra rules.

You really don't want to deal with this, unless you're really rich.  And if you are, you should be paying someone to figure this out for you.

Offline yitzf

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Re: any accountants out there that i can ask a question?
« Reply #328 on: May 14, 2014, 09:53:04 PM »
1. Nope! (has different limitations, etc)
2. There are all sorts of extra rules.

You really don't want to deal with this, unless you're really rich.  And if you are, you should be paying someone to figure this out for you.

Are you thinking of a private foundation?

Quote from Forbes
Quote
If you donate publicly traded appreciated stock to a private foundation, you can claim a deduction for its full market value, offsetting a maximum of only 20% of your adjusted gross income each year. But if you donate appreciated property (including private stock and real estate) to public charities, DAFs or a supporting org, it can offset 30% of your AGI. Similarly, if you give cash to a private foundation it can offset only 30% of your income, compared with 50% for cash contributions to a public charity, DAF or supporting org.

DAF's are meant for small fish also. Many have very low minimums (5K), and AFAIK you get a full deduction now, and you can donate appreciated securities etc.
(There are

The DAF is a regular public charity, so any donation should be like giving to a regular charity.

A quick look online doesn't show any additional rules or limitation.

Offline henche

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Re: any accountants out there that i can ask a question?
« Reply #329 on: May 14, 2014, 09:58:36 PM »
Are you thinking of a private foundation?

Quote from Forbes
DAF's are meant for small fish also. Many have very low minimums (5K), and AFAIK you get a full deduction now, and you can donate appreciated securities etc.
(There are

The DAF is a regular public charity, so any donation should be like giving to a regular charity.

A quick look online doesn't show any additional rules or limitation.

Ok.  And what do you gain from it?

http://www.irs.gov/Charities-&-Non-Profits/Charitable-Organizations/Donor-Advised-Funds
« Last Edit: May 14, 2014, 10:02:33 PM by henche »

Offline yitzf

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Re: any accountants out there that i can ask a question?
« Reply #330 on: May 14, 2014, 10:09:37 PM »
Ok.  And what do you gain from it?

http://www.irs.gov/Charities-&-Non-Profits/Charitable-Organizations/Donor-Advised-Funds

Donate now and decide where to give later.
Also I'm not sure how many Tzedakas accept appreciated securities. For someone giving charity anyway, you might as well give stock, you save yourself at least 15%.

Offline henche

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Re: any accountants out there that i can ask a question?
« Reply #331 on: May 14, 2014, 10:19:05 PM »
Donate now and decide where to give later.
Also I'm not sure how many Tzedakas accept appreciated securities. For someone giving charity anyway, you might as well give stock, you save yourself at least 15%.

Why not just decide now?  Is it really that hard to find a tzedaka to give to?  And avoid these guys shaving off a piece of it?

Also, every tzedaka accepts appreciated assets (everybody gives appreciated assets, its the oldest trick in the book).  I recall my rosh yeshiva telling us how someone had just donated 100k in gold coins. 

Offline avrumy22

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Re: any accountants out there that i can ask a question?
« Reply #332 on: May 14, 2014, 11:35:53 PM »
Didnt mean to cause a whole debate. The reason why I want a separate account is so I can divert masser from every paycheck to the other account. Then when I want to make a donation I know what I can give.

In terms of taxes does it make a diff the type of account or any checking account is good and I can just run a report at the end of the year to see how much I gave.

Offline ckmk47

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Re: any accountants out there that i can ask a question?
« Reply #333 on: May 15, 2014, 12:06:27 AM »
Didnt mean to cause a whole debate. The reason why I want a separate account is so I can divert masser from every paycheck to the other account. Then when I want to make a donation I know what I can give.

In terms of taxes does it make a diff the type of account or any checking account is good and I can just run a report at the end of the year to see how much I gave.
If you only count a deduction at the time you donate it to a charity, any account will do.
« Last Edit: May 15, 2014, 12:35:32 AM by ckmk47 »
My favorite cause: cssy.org

Offline avrumy22

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Re: any accountants out there that i can ask a question?
« Reply #334 on: May 15, 2014, 12:16:52 AM »
If you can only count a deduction at the time you donate it to a charity, any account will do.

thank you

Offline henche

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Re: any accountants out there that i can ask a question?
« Reply #335 on: May 15, 2014, 12:26:24 AM »
thank you

to be clear, you will still be saving receipts from when you actually give it, right? this is all just to make your internal accounting easier

Offline avrumy22

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Re: any accountants out there that i can ask a question?
« Reply #336 on: May 15, 2014, 01:33:47 AM »
to be clear, you will still be saving receipts from when you actually give it, right? this is all just to make your internal accounting easier

yes, I keep all the receipts.

On a side note, what happens if I lose a receipt or two (which has happened). can i still report it??


Offline ckmk47

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Re: any accountants out there that i can ask a question?
« Reply #337 on: May 15, 2014, 10:54:46 AM »
If the donation is under $250, your cancelled check, or cc statement is proof enough.  $250 and over you need a receipt. 

When I give large amounts, they're usually able to reprint a receipt for me.
My favorite cause: cssy.org

Offline avrumy

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Re: any accountants out there that i can ask a question?
« Reply #338 on: June 15, 2014, 09:06:47 PM »
Any advice on the following situation- someones wife is a foreigner and will have a social security number later this year. If they file now -meaning just MFS and she is not on there- will they be able to amend later on and put her on with social in order to get the EIC (they have 1 child)?

Offline Blazer

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Re: any accountants out there that i can ask a question?
« Reply #339 on: June 15, 2014, 09:15:43 PM »
Any advice on the following situation- someones wife is a foreigner and will have a social security number later this year. If they file now -meaning just MFS and she is not on there- will they be able to amend later on and put her on with social in order to get the EIC (they have 1 child)?
Do they owe any tax