Thank you for considering a gift of securities to support Spring Arbor University. Gifts of securities often provide significant tax benefits for a donor. For example, contributions of appreciated securities held for over a year are generally deductible at market value, regardless of what the donor paid for them. Moreover, the capital gains tax is avoided through this type of gift.
Making a Gift of Securities
To notify SAU of a gift of securities, please contact our coordinator of stewardship services with complete donor information (name, address, phone number), the name and type of securities to be gifted (public, private, restricted, mutual fund, etc.), the number of shares, the date you intend to make the gift, and the purpose of the gift (unrestricted or to be applied to a specific use or purpose).
Types of Transfers
1. Instructions for DTC Transfer of Stock to Spring Arbor University
DTC #0141 Spring Arbor University Wells Fargo Account No. 2497-2410 Donor Name & Address:_______________________
It is very important to SAU that we appropriately acknowledge the generosity of our benefactors in a timely and accurate manner. It is often difficult to identify the donor after a gift of securities is processed, particularly in the case of an electronic transfer. Therefore, please ask your broker to include your name and address in the DTC transfer instructions.
If your broker requires further information, have him or her contact:
Wells Fargo Advisors
2. Mutual Fund Transfer
Mutual fund units cannot be electronically transferred via DTC.
The method used to transfer mutual funds to SAU varies, depending on how the fund units are held:
- Mutual funds held in a Wells Fargo account can be transferred directly to SAU’s Wells Fargo account by journal entry.
- If your mutual fund is held with a brokerage firm other than Wells Fargo, your broker should contact our Wells Fargo representative to arrange for the transfer (see contact information above).
- If your mutual fund is held in an account with the fund company, it may be possible to transfer it into an account in SAU’s name with the fund company. Please contact the coordinator of stewardship services to determine if an SAU account exists:
3. Physical Delivery
Stocks and bonds may be sent to SAU’s Office of University Advancement by certified U.S. mail with return receipt requested.
- If the donor is the registered owner of the certificate, a Stock and Bond Power signed by the owner, exactly as the name appears on the certificate must be provided, along with the Letter of Authorization Third Party Release. To ensure your security, please mail the certificate and forms separately.
- If the stock or bond has already been registered to SAU, the Stock and Bond Power and Letter of Authorization are not necessary. However, in order for the university to properly credit the gift, a letter identifying the donor is essential.
- In instances where a stock or bond is to be registered to SAU before it is mailed to us, you will be required to supply the transfer agent with a mailing address and taxpayer identification number:
Spring Arbor University Office of University Advancement
106 E. Main St.
Spring Arbor, MI 49283
Gift Valuation Date
1. Physical Securities
The gift valuation date for physical securities is determined by the postmark on the envelope if mailed through USPS. If a private mail service is used, the gift valuation date is the date the envelope is received. For hand delivery of securities, the gift valuation date is the date the securities are turned over to an SAU representative.
2. Electronic Transfers
The gift valuation date for securities sent to us via DTC is the date the securities are deposited into our Wells Fargo account.
3. Mutual Fund Transfer
The gift valuation date for mutual fund units is the date they are deposited into our Wells Fargo account or into a mutual fund account in SAU’s name.
The value of a stock gift is calculated by averaging the high and low quoted selling prices for the stock as of the gift valuation date. The value of a bond gift is calculated by averaging the bid and ask prices for the bond as of the gift valuation date. The value of a mutual fund gift is calculated using the Net Asset Value (NAV) for the fund as of the gift valuation date.
Acknowledgement of Gift
As soon as a securities gift is received and matched to a donor, the coordinator of stewardship services provides an IRS form 8283 stating the nature of the gift, the gift valuation date, and the gift valuation amount. A more personal acknowledgement will also be sent from the Office of University Advancement.
Questions? Please contact us.