Charitable Gifting Deadline, December 12, 2008

Schwab Institutional has imposed a deadline for processing charitable gifts for 2008. All requests must be submitted to Boyer & Corporon Wealth Management (BCWM) no later than Friday, December 12, 2008. BCWM is required to have a standing letter of authorization on file authorizing the transfer of assets to your charity. BCWM will assist in preparing this letter which must include specific transfer instructions. Once we receive the signed standing letter of authorization, we will process your gift within 48 hours. Contact Kim Brown at 913-685-2300 or Kim@BoyerCorporon.com with questions or gift requests.

Many of our clients enjoy the tax benefits of using common stock they own to make charitable gifts. Using stock instead of cash can possibly avoid unnecessary taxes. If you have owned a particular security in excess of 12 months, the IRS allows you to donate the stock to a 501(c)3 qualified charitable organization and:

• Take a deduction for the fair market value of the gift
• Avoid paying taxes on the unrealized capital gains

The charitable organization may then, upon taking owner ship of the security, sell it immediately without any tax consequences.

Example: you have a stock which you have owned in excess of 12 months for which you paid $1,000. The stock is now worth $10,000 (an unrealized gain of $9,000). If you sold the stock, you would owe 15% federal capital gains tax on the $9,000 gain ($1,350) leaving you with only $8,650 to give to the charity. If you donate the stock BEFORE selling it, the charity can sell it for $10,000. You get a bigger deduction and the charity gets a bigger donation.

The above example does not take into account state taxes. Boyer & Corporon Wealth Management is not qualified to give tax advice and we recommend you consult with your tax professional prior to executing any tax strategies.