Markets

Holiday Euphoria: Gifting Assets to Loved Ones

Holiday Euphoria - Gifting Assets to Loved Ones

It’s not always easy to come up with good present ideas for younger children who are more likely to want the latest fad (which they will quickly lose interest in), and older generations are more likely to buy what they require and are notoriously tough to please.

In more ways than one, gifting stock in a firm is a no-brainer. Sure, it won’t elicit the same level of early excitement as, say, the latest PlayStation system or smartphone, it is, however, one of the few things that have a reasonable probability of increasing in value, turning money into more money, and there are few gifts in stores that advertise that as an attribute.

Getting gifts that grownups want without spending a fortune is difficult, but the stock could one day help them save enough money to buy that one thing they don’t have but have always wanted. It’s a little more difficult to persuade children because they are unlikely to have any long-term goals for which they are saving. But that’s likely to change in the future, and learning how to manage money and invest when they’re young will help them later in life.

Deciding which stocks to buy

There are a lot of firms out there, so picking the correct stock(s) takes some thought. The idea is to make this gift as appealing and profitable as possible, so in making this decision, consider the interest of the person you’re buying for as well as the growth potential.

Let the preference of the individual you are gifting guide you in the determination of which company stocks to buy, analyze the company’s finances, and seek professional guidance to determine if it is a good investment to embark on.

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Stocks from companies like Walt Disney Company, Apple, Inc.

Manchester United Plc, Coca-Cola Company, Nike, Inc. Nintendo Co., Ltd.

Pfizer Inc. is believed to be a good stock to invest in and give this season.

You might be wondering, where can I get these shares? Well, here you go…

Life has been made so easy and gifting stocks is not left behind as it can be gotten while on your bed! Yes ..it’s that easy.

Brokerage account transfer: you can use your brokerage account, purchase the stock and then transfer it to the receiver, providing they have one as well. Set up a custodial account for your children, which will give you control until they reach a specific age.

Some businesses allow you to buy stock straight from their website and if that doesn’t still help you, here are some online apps that specialize in gifting stock, such as GiveAshare, UniqueStockGift.com, SparkGift, and Stockpile amongst others.

Regulations for Gifted Stock Taxes

There are often clauses to be straightened out, so before you proceed to buy your family and friends fantastic stock gifts, make sure you’re informed of any current or prospective tax issues. If the contribution is big enough, the Internal Revenue Service (IRS) may levy a fee. If all goes as planned, the beneficiary will be required to pay the tax when they try to cash in on your gift.

The Author

Ajisebutu Doyinsola

Doyinsola Ajisebutu is a journalist and prolific writer who takes a special interest in Finance, Insurance, and the Tech world.