Gifts of cash are the most common form of contribution to the UW Foundation. A gift of cash is easy to make, and the gift is not subject to gift or estate tax. A cash gift entitles you to a charitable income-tax deduction for the amount of your gift. You may deduct up to 50% of your adjusted gross income for the year of your gift. If all deductible gifts in a year exceed the 50% limit, you may carry the excess amount over as a deduction for up to five more years.
The rules regarding the deductibility of a cash, check, or credit card gift within the tax year vary:
- A contribution of cash or check that is postmarked by the USPS in December is deductible for that tax year—even if the UW Foundation receives it in January—provided the account against which the check was written had sufficient funds to cover it in December.
- Note: for gifts sent via third parties, like FedEx and UPS, the gift date is the date the package is received, not the date it was sent.
- A contribution by credit card must be charged by December 31 in order to be deductible for that tax year.
To ensure the prompt processing of your mailed gift, we recommend submitting the gift to our secure lockbox address:
U.S. Bank Lockbox
Milwaukee, WI 53278-0807
Pledges provide you an opportunity to make a larger gift than you otherwise thought possible by committing your gift over a period of three to five years, or more in some cases. Ideally, your pledge should be documented in writing.