Gifts of Appreciated Stuff Are Much Appreciated

 

Don’t Keep Them Bottled Up!

Some of you who never read Forbes Magazine might think it’s just a stuffy business periodical, but how stuffy can a magazine really be when it runs an article celebrating “investment-grade” Scotch whiskey, as Forbes recently did?

Sounds whimsical, but it’s for real. And with dollar values per fifth reaching five and six figures, what nonprofit wouldn’t appreciate a gift of such a very special bottle of booze?

When canny marketers seek to pull the cork on high-end snob appeal, the sky’s the limit – but not for me. My personal Scotch budget is $45 a bottle. But the players in this new savory game usually tack on a few more zeroes to so miniscule an amount.

Padlock Your Wetbar

How’s this for value-added? The $2,750 entry-level price you pay to purchase a bottle from the Annie Liebovitz Scotch Collection, for example (yes, it’s that Annie Liebovitz), also includes a limited edition Liebovitz print to hang on the wall – right next to your flashing neon Miller sign.

Other stratospheric examples:

  • Macallan 1926 Fine and Rare: $75,000
  • Dalmore ‘64 Trinitas: $160,100
  • Glenfiddich 1937: $71,700

2012 traffic in such tasty trifles was up 550% over 2008, and Whiskey Highland founder Andy Simpson says an index fund of the top 250 bottles shows they delivered 206% appreciation from Q3 2008 to Q3 2012.

Interested? To get closer to this action you might choose to join New York’s “1494” whiskey club (collector’s membership: $25,000). Forbes seems bullish on investment-grade Scotch: “And if the rare-whiskey market should collapse? Just drink your losses. Try that with social media stock.”

A Toast to Fundraising Relevance

Gifts of personal property – appreciated “stuff” – are a great way donors can make a difference for your nonprofit. And who wouldn’t appreciate a bottle of that Glenfiddich ’37? But let’s also imagine other, perhaps less exotic possibilities:

  • How about a 1955 Corvette?
  • A piece of original artwork?
  • The world’s second-largest collection of porcelain frogs?
  • A vintage sailboat?

I asked Brian Sagrestano to give us his rundown on the benefits and requirements of such gifts:

“Any asset can be donated. The question is whether it can be deducted. But I work on gifts of highly appreciated collectibles all the time. Say the donor has an asset, like a bottle of wine, which is highly appreciated. The donor has it appraised and then donates it. The deduction is based on a qualified appraisal unless the charity cannot use the asset for a purpose related to its charitable mission (this is called the “related use rule”). But in positive-speak, if the charity can use it for a purpose related to its mission, deduction is based on the appraisal. If the charity cannot, deduction is limited to the donor’s cost basis (what donor paid for it).”

Whether it’s a whiskey, a classic car, artwork, whatever – this kind of giving represents a significant opportunity for donors, nonprofits and for you.

 

Category: Planned Giving Marketing

Share This Article

Legacy Planner Logo

Making Estate Planning Accessible, Simple, Personal, Secure and FREE!

Empower your donors to plan their will and invest their legacy in the cause they support the most.

Leave a Reply

Reach out! We look forward to hearing from you soon.

800-490-7090
succeed@plannedgiving.com

We value your privacy and keep your
information private. We do not spam.