Donating stock to charity can be a great way to maximize your impact and save on taxes. However, most charities aren't set up to take stock donations directly. This is where Daffy, a donor-advised fund, comes in. When you contribute stock to Daffy, you get a full tax deduction for your charitable contribution. You can then give money to any of the 1.5 million charities across the United States. This means you can have one transaction with stock and then send cash to charities, simplifying the process and spreading your donations over the year. For example, if you were a long-term investor in Apple Computer and had purchased shares at $50 a share years ago, today, those shares could be worth $150 each. If you had purchased 100 shares, you would now have $15,000 worth of Apple stock with a gain of $10,000 over your original investment. If you sell that stock, you might have a tax bill of as much as $3,000. But if you donate the stock to Daffy, you never have to pay the capital gains tax, saving you $2,000. Moreover, when you prepare your income tax return, you can deduct the full market value of the stock you donated, up to 30% of your gross income. That means if you donate $15,000 worth of Apple stock, you can deduct $15,000 off your income. At a 33.3% rate, that means you could deduct up to $5,000 off your annual taxes. So, by donating stock through Daffy, you end up with more money in your pocket, and the charity ends up with a larger donation. It's a win for you, and it's a win for the organizations you support. Join Daffy today and maximize your generosity while lowering your tax bill. Please note that the information contained in this blog post is for educational purposes only and should not be considered tax advice. To assess your specific tax situation, please consult with a tax professional.