Bay Area Prabasi 501(c)(3) - Donation Guide

Sierra Pacific Private Wealth proudly supports Bay Area Prabasi’s mission to bring the community together through cultural programs, education, and impactful initiatives. We also help facilitate their nonprofit account at Charles Schwab, making it easier for donors to contribute and support the organization’s ongoing impact.  

• Most donors can complete a stock donation through their financial institution’s website without contacting a service representative. The steps below are general guidelines, as each institution’s online process and terminology may differ.
• For specific instructions you may reach out to your brokerage firm or if convenient, use an AI search tool with the following prompt:
  • “List the steps for [your financial institution] to initiate a charitable stock transfer to a nonprofit account held at Charles Schwab.”

Benefits of Donating Appreciated Stock
Donating appreciated stock directly to Bay Area Prabasi may be more tax-efficient than selling the shares and donating cash.

Potential benefits may include:

• Avoiding capital gains tax: When appreciated shares are donated directly, you generally do not have to recognize the capital gain that may have resulted from selling them first.
• Receiving a potential charitable deduction: If you itemize deductions, you may be eligible to deduct the fair market value of qualifying stock held for more than one year, subject to applicable tax limits.
• Increasing the impact of your gift: By avoiding a sale before the donation, more of the value of the investment may be available to support Bay Area Prabasi’s cultural, educational, and community programs.
  
  Generally, donors may want to consider contributing shares that have appreciated significantly and have been held for more than one year. Individual tax results will vary, so please consult your tax, legal, or financial professional before completing a donation.

General Step-by-step Donation Guide: 

1. Gather Bay Area Prabasi’s Schwab information: Charles Schwab Account information (To provide to your Custodian) 
   
   Receiving firm: Charles Schwab & Co., Inc.
   Charles Schwab Account Name: BAY AREA PRABASI, INC.
   Charles Schwab Account Number: 7213-6295
   DTC Number: 0164, Code 40. 
   Bay Area Prabasi EIN: 77-0048512
   
   
2. Log in to your brokerage account - Sign in to the website or mobile app for the brokerage account holding the stock.
   Look for a section labeled:
   
   • Charitable Giving/Stock Transfer
     *The wording will vary by brokerage firm.
     
     
3. Choose a stock or securities transfer - Select the option to transfer investments or securities to another financial institution.
   
   • Choose an in-kind transfer or transfer shares option. This means the stock will be transferred directly rather than sold for cash.
     *Do not select a bank transfer or cash transfer.
     
     
4. Enter Bay Area Prabasi’s Schwab account information - Enter the receiving account details provided by Bay Area Prabasi. (From Step 1)
   
   
5. Select the stock and number of shares
   Choose:
   1. The stock or fund you want to donate
   2. The ticker symbol
   3. The number of shares
   4. The specific tax lot, when available
      *Generally, donors may want to consider shares that have appreciated the most, particularly shares held for more than one year. Donating highly appreciated shares directly may provide a greater potential tax benefit because the donor may avoid realizing the embedded capital gain while potentially receiving a charitable deduction. It is usually better to enter a specific number of shares rather than a dollar amount. Fractional shares may not be transferable, so the brokerage may allow only whole shares.
      
      
6. Review and submit the transfer
   Carefully review:
   
   • The receiving Schwab account number
   • The name of the security
   • The number of shares
   • The selected tax lot
     
     - Complete any electronic signature or identity-verification steps and submit the request. Save or download the confirmation page for your records.
     
     
7. Notify Bay Area Prabasi
   After submitting the transfer, email Bay Area Prabasi with:
   
   • Your name
     
   • Stock name and ticker
   • Number of shares
   • Date submitted
   • Brokerage firm
     *Do not email your full brokerage account number.

Once Bay Area Prabasi confirms that the stock transfer has been completed, it will send you a charitable donation receipt to retain with your tax records. Please keep the receipt along with your brokerage transfer confirmation and provide both documents to your tax professional, as needed.
Important: Do not sell the shares first unless you intend to make a cash donation. A direct transfer of stock may receive different tax treatment than selling the shares and donating the proceeds.

Your contribution helps sustain and grow programs that serve current and future generations—while also offering potential tax advantages depending on your financial situation. If you’re considering making a donation and would like to better understand the process or how it fits into your overall financial plan, please contact us to begin the process. 

Contact: 
Phone - (925) 223-8868
Email - Info@sierrapacificpw.com

For further assistance, please use the link below to schedule a quick zoom with one of our representatives:
https://calendly.com/sierrapacificpw/prabasi

Disclaimer: This content is for informational purposes only and should not be considered tax or financial advice. Please consult with your tax, legal, or financial professional before making any decisions.