FundSvcs Community

 View Only
Expand all | Collapse all

Discount Card FMV

  • 1.  Discount Card FMV

    Posted 07-01-2022 08:47 AM
    Hi all,

    We're toying with offering a discount card to area restaurants and shops. 
    My sense is that it would be impossible to determine even a ballpark FMV for something like this, if it was in return for a donation, so it would need to be an alumni benefit that was not tied to a gift.

    Has anyone dealt with this before?

    Thanks!
    Marc

    ------------------------------
    Marc Dykeman
    Director of Advancement Services & Strategy
    mdykeman2@washcoll.edu
    ------------------------------


  • 2.  RE: Discount Card FMV

    Posted 07-01-2022 08:56 AM
    You can offer such a card in exchange for membership fees of under $75 (see IRS Publication 526).  However, you are correct in the unrealistic nature of calculating an FMV for QPQ purposes.

    So, then, the question is, If giving this to any alumni for no reason at all, why? Could you tell us what you are trying to accomplish?  Further, what value might this be to alumni not living in the area?

    I am not suggesting that you not pursue this.  I am only wondering what your strategic objective is that is worth the effort to secure local discounts, manufacture cards, and administer the program?

    John

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987






  • 3.  RE: Discount Card FMV

    Posted 07-01-2022 09:08 AM
    That confirms what I was thinking. It's of limited value for all the reasons you bring up, and we don't want to siphon off alumni donations to membership fees, so this would have to be dissociated from a gift.

    I think it could be somewhat useful in return for an updated email address or resubscribe campaign, but otherwise, probably more of a draw to attend on-campus homecomings and Alumni Weekends.

    Thanks!
    Marc

    ------------------------------
    Marc Dykeman
    Director of Advancement Services & Strategy
    mdykeman2@washcoll.edu
    ------------------------------