Save money, give stock to charity!

While many people assume that the wealthy, with their mega-headline-making charitable gifts, fuel the nonprofit industry, it is quite the contrary. Of donations received, 98.7% come from individual donations from people like yourself.

In tough times, philanthropy is a luxury directly tied to the overall economy, as giving significantly dropped during recessions in 1974, 1980, 1987, 1990, and 2001. So, if you are fortunate enough to have any of the following strongest stocks over the past year in your portfolio, I am talking to you! Consider donating them to do good for yourself and the world!

• Royal Gold Inc. (NASDAQ: RGLD)
• Allegiant Travel Co. (NASDAQ: ALGT)
• Myriad Genetics Inc. (NASDAQ: MYGN)
• Panera Bread Co. (NASDAQ: PNRA)
• Ross Stores Inc. (NASDAQ: ROST)
• Valeant Pharmaceuticals International (NYSE: VRX)
• ICU Medical Inc. (NASDAQ: ICUI)
• Palm Inc. (NASDAQ: PALM)
• Data Domain Inc. (NASDAQ: DDUP)
• Computer Program & Systems Inc. (NASDAQ: CPSI)
• Teva Pharmaceutical (NASDAQ: TEVA)
• Biodelivery Sciences International Inc. (NASDAQ: BDSI)

The giving of long-term investments is more tax-favorable, for if you give securities held less than a year, or short-term, only the initial price paid can be deducted. If you have a loss on a stock, it would be a better option to write off the losses, as gifting it would only hurt your tax situation.

One final thought, if you would like to keep this stock in your portfolio and see greater potential profits for the future, you can buy it back immediately as the 30-day wash rule is not applicable.

Elizabeth Ziemba, JD, MPH, the author of The Complete Idiot's Guide to Giving Back and president of the nonprofit, SHARED, advises, "The donor should enjoy three tax advantages by transferring appreciated bonds, mutual funds, and closely held stocks, preferably publicly traded, but ensure that market quotes are readily available on established securities markets. The gift must be made to a 'qualified charity,' generally meaning a nonprofit that has been granted tax exempt status by the federal government. Special rules apply for gifts of closely held stocks as well as investments held for less than one year. For more information, refer to 170 of the IRS Code and sections 170(e)(5)(B) and 170(e)(5)(C) in particular for more details."

Here are some charities I highly recommend:

Larry King Cardiac Foundation. Save a heart a day! After having a life changing heart attack and a quintuple bypass surgery, Larry King immediately started this foundation. Heart disease is the number one killer of adults in our country and funds raised help cover medical costs.

Robin Hood Foundation. Every donation is matched, dollar for dollar, and used toward ending poverty in New York -- 1.9 million people to be exact! Starting with early childhood education to assisting adults with jobs and economic security.

Charity: Water. 100% of the funds donated help build wells in Africa as 1.1 billion people (1 in 6) do not have access to clean water. As little as $20 can give one person clean drinking for 20 years. Check out a twestival in your city!

Starlight Children's Foundation. Help raise the quality of life for a child with a serious illness. This foundation provides an entire in-hospital network of entertainment, education, and fun outings for children coping with prolonged illnesses.