Let's Make a Personal Property Plan: Question Number Three

At this point you've clearly designated what you want to gift to family members and what you want to take with you.  Now, what to do with all that is left?  Before taking any step, ask yourself the following question.

Q3. Do I Wish To Sell Or Donate My Items?

There is not an easy answer to this question and for many the answer will be "both". 

1)  The sale of personal possessions has an obvious financial upside, but also a potential "hassle" factor.  Consider these questions:

*Are the items in question specialized such as sports cards, collectible cars, coins, mid century modern furniture, firearms, farm equipment, high end designer clothing and accessories, etc.  If so, how will these items best be marketed?

*Am I willing to pay commissions, listing fees, and other costs associated with the selling of these items?  Almost all vendors, whether it be online sites, live auctioneers, estate sales companies or consignment shops, will take some percentage of the sales price of your property. 

*If you are willing to sell the items yourself via sites that do not charge listing fees, you may reep a higher return, but also assume the burden of preparing the listing, obtaining the necessary photography, packaging and shipping, and dealing directly with potential buyers.  

*What is my absolute bottom line for each item?  You may be willing to 'sell' items such as books, CD's, DVD, electronic devices or other items to resale  or recycling vendors at a moderate to highly discounted rate to dispose of the item in question for at least some nominal return. However, it is important to establish in advance what your threshold is for this type of transaction so as not to feel disappointed or taken advantage of.

2)  The donation of personal property, both large and small, has advantages as well. These advantages could be financial in the form of tax deductions, or more altruistic in nature.  There are many vetted organizations seeking donations of all types.  If your donation is in any part prompted by the potential for tax credits or deductions, consult with your tax professional in advance of making a final decision.  

3) Once you have determined the items to be either donated or sold, clearly designate and/or isolate the items in question.  Then, read the next post in this series to start the sales or donation process!