If the policy is paid-up (i.e., no more premiums are due), or you have made some premium payments but not all of them, the charitable deduction will be the lesser of the policy’s fair market value (which is approximately its cash surrender value) or the total of your net premium payments.
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To qualify for a deduction, you must make us the irrevocable owners as well as beneficiary of the policy. If you name us beneficiary but retain ownership of the policy, the IRS holds that you have not made a completed gift and therefore cannot claim a deduction.
Similarly, there is no deduction for taking out a new life insurance policy, even if you make us irrevocable owners. You can claim a deduction for gifts you make to us that offset our ongoing premium payments on the policy (since we are the owner, we pay the premiums).<\/p><\/div><\/div>

\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWill you cash in my life insurance policy when I give it to you, or hold it to claim the full death benefit?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
We make that decision on a gift-by-gift basis. We look at actuarial factors, the size of the potential death benefit, and whether you want us to use your gift for long-term endowment or an immediate project.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow do I arrange a gift from my retirement plan?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Simply contact your IRA or retirement plan administrator and request a copy of the change of beneficiary form. Use the form to designate our organization to receive all, or a portion, or the remainder of your plan\u2019s assets.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tIs it better to give cash or appreciated securities to fund my gift annuity?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Both have distinct advantages. A gift of cash will produce a larger tax-free portion of the annuity. A gift of stock can increase your effective rate of return because of the reduced capital gains cost. Both assets produce the same annuity rate and charitable income tax deduction.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I include my children as income beneficiaries of my gift annuity?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
A charitable gift annuity can be set up for only one or two lives. This is typically a husband and wife, but it could be two siblings, two friends, etc. Generally, a child’s longer life expectancy will reduce the annuity payout rate to a level you would find unattractive.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tI’m not sure when I’ll retire. Can I choose a flexible start date for my annuity payments?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Yes, you can. You can set a series of alternate start dates in your deferred gift annuity contract, then choose the one that best fits your evolving work, health, and family circumstances. Each start date will offer progressively higher payment rates. Your charitable deduction will be based on the earliest start date for which your annuity contract provides.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I place real estate or personal property in a unitrust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
In most cases, yes. Remember that an asset like that may not be producing income, and so the unitrust\u2019s beneficiaries may receive little or nothing until a sale and re-investment into income-producing assets.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I include my children as income beneficiaries of my unitrust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
It depends on the age(s) of any children you name as income beneficiaries. The charity\u2019s remainder interest in the unitrust must be at least 10% of the value of the assets you donate to it. This value is calculated using the life expectancies of the income beneficiaries. The younger your children, the longer their life expectancies and the smaller the value of the charitable remainder. Even younger adult children may disqualify the trust.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a charitable remainder annuity trust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You will receive an immediate income tax deduction for your gift; pay no capital gains tax on the transfer of appreciated assets to the trust; and remove a large asset from your taxable estate.
-You and\/or other beneficiaries receive stable, predictable income for life or a term of years.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a charitable bargain sale?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-The difference between market value and the purchase price is your gift, for which you’ll receive a charitable deduction.
-You pay no capital gains tax on the donated portion of the property.
-With just one transaction, you can take cash out of an asset and make a significant gift to us.
-You can apply a lump-sum payment from us toward the price of another property or the entry fee for a retirement facility.
-You can use installment payments from us as supplemental retirement income.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I include my children as income beneficiaries of my annuity trust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
It depends on the age(s) of any children you name as income beneficiaries. The charity\u2019s remainder interest in the trust must be at least 10% of the value of the assets you donate to it. This value is calculated using the life expectancies of the income beneficiaries. Thus, the younger your children, the longer their life expectancies and the smaller the value of the charitable remainder. Even younger adult children may disqualify the trust.
The 10% target is more difficult to meet with an annuity trust than with a unitrust.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a retained life estate?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-Even though you haven\u2019t moved out, you will receive an immediate charitable deduction based on the fair market value of the property (minus the present value of your future tenancy there).
-You pay no rent for your ongoing use of the property.
-You can make a significant gift with what may be the most valuable asset you own, without disturbing your living arrangements or your cash flow.
-Any capital improvements you make to the property will generate further charitable deductions.
-You can terminate your life estate at any time,accelerating the remainder to charity, and take an additional income tax deduction.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tDo I need a lawyer to add a codicil?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
In many cases, you probably will not need a lawyer. However, your codicil must still be properly\u00a0witnessed, signed, and notarized according to the laws of your state before being added to the will\u2014otherwise, it will be deemed invalid.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat if my circumstances change, or I change my mind, after I\u2019ve promised your nonprofit a gift?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
We get it\u2014life can change in an instant. That\u2019s why, in many cases, it\u2019s easy to change or even revoke a planned gift. However, some gifts \u2014\u00a0such as a Charitable Remainder Trust, are Irrevocable \u2014\u00a0they cannot be changed or revoked once you\u2019ve made them. Always check with your financial advisor before committing to your gift.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the advantages of a donor advised fund?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Contributions to a donor advised fund are deductible subject to the same percentage limits as contributions to a public charity, that is, 50 percent of adjusted gross income for cash (temporarily increased to 60 percent through 2025), and 30 percent for appreciated property.
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You claim the deduction for the year in which you make the contribution to the DAF, even though distributions from the fund to the ultimate charitable recipients may be delayed to later years.
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Typically you can designate your children or other successor advisors to continue to advise distributions from the fund after your death.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of the new Legacy IRA gift?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Although you do not get an itemized deduction for the present value of the residuum to the issuing charity, the distribution from your IRA is entirely excluded from income, as though you had an above-the-line deduction for the entire amount. And if you are age 73 or older, the entire amount of the distribution counts toward your required minimum distribution (RMD).
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While it is true that payments from the annuity contract will be entirely ordinary income, with no allowance for recovery of your investment in the contract, the tax benefit at the front end will more than compensate.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tIs there a way I can fund a charitable remainder unitrust (CRUT) with a piece of mortgaged real estate?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
No. A CRUT cannot be funded with mortgaged real estate. Your three best options are:
-Pay off the mortgage with other assets and fund the CRUT with the unencumbered real estate. You might mortgage some other piece of property instead, and then use some of the income from the CRUT to make the mortgage payments.
-Depending on our gift acceptance policies and state regulations, you might be able to fund a charitable gift annuity (CGA) with the value of the real estate net of the mortgage. However, this will trigger a bargain sale, causing you to recognize gain on a portion of the value of the property.
-You can gift us the property immediately or through a bequest. If the property is still encumbered at the time of the gift, this will trigger a bargain sale to the extent of the outstanding principal on the mortgage loan.<\/p><\/div><\/div><\/div><\/div>\n\n\n\n
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I use personal property to fund a life-income gift?<\/strong><\/span><\/div>
In some cases, yes. A transfer for that purpose would generally be considered an unrelated use, reducing your charitable deduction to your adjusted basis in the property. Be sure to consult with your advisors before making a gift decision.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tAre there any additional tax considerations with gifts of personal property?<\/strong><\/span><\/div>
Yes. To be deductible at fair market value, items of personal property must be related to the tax-exempt functions of our organization. In other words, we have to be able to use them. Property gifts that are unrelated to our mission may be deducted only at your cost basis. Discuss this carefully with your financial advisor or accountant.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I use real estate to fund a life-income gift?<\/strong><\/strong><\/span><\/div>
In many cases, yes! Real estate is most often placed in a charitable remainder unitrust, which will pay income to you, your spouse, and\/or other beneficiaries, and provide you with income and capital gains tax benefits.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow will you determine if the property I’d like to donate is going to be helpful to your charity?<\/strong><\/strong><\/span><\/div>
Here are some questions we will need to answer before we can accept your gift offer:
-Can we use the property to help us carry out our mission?
-If not, is the property saleable within a reasonable period of time?
-If we keep the property, will the costs of adapting it to our use and maintaining it over the long-term be reasonable?
-Are there any mortgages or liens on the property?
-Does the property have any environmental issues that could be a liability for us?<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I give stock that has declined in value?<\/strong><\/strong><\/strong><\/span><\/div>
You can, but your deduction will be limited to the current, depressed value of the stock. It is wiser planning to sell the stock, recognize the loss (which can offset realized gains and\/or be carried forward indefinitely), and then get a second tax benefit by giving us the cash proceeds.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tCan I give you shares of a mutual fund?<\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Yes, and we can coordinate the transfer with the administrators of your fund.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow will my gift of securities be valued?<\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
We take the mean of the high and low prices for the security on the day it came into our possession. If the high price was $80 per share and the low price was $70 on that day, your gift will be valued at $75 per share.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a charitable bequest?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You can make a gift that costs you nothing during your lifetime, and keeps your assets under your control.
-You can change your bequest if your circumstances change.
-Your bequest lets us know that you believe we will be doing good work, far into the future.
-You\u2019ll feel good about doing good and building your legacy.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat happens if I die without a valid will?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Some sixty percent of Americans die without a valid will. This is unfortunate in most cases, because state laws will take over and distribute your estate in accordance to a prescribed formula often in ways that you would not choose. You won’t be able to provide extra help to particular family members who may need it, or benefit friends who have been close to you. You won’t be able to help the charities that have meant much to you during your lifetime. And you\u2019ll subject your loved ones to unnecessary pain and hardship as they attempt to sort out your affairs while also mourning your loss.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tDo I need an attorney to write a will?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Some states allow individuals to compose their own will. If it is properly witnessed and signed, many probate courts will accept such a will.
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However, most people have no idea how to get started with such a task. And will they adequately cover all the bases in a self-authored document?
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A will is a very important legal document. Therefore, in the vast majority of cases, it is wise to take advantage of the expertise of a qualified attorney. A will is one of the least expensive legal documents, and a well-written document will save your heirs much both in dollars and hassle.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat’s the difference between a will and a revocable trust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
A revocable trust (revocable meaning that its terms can be changed during your lifetime) holds title to your property, then distributes it according to the terms of the trust after your death. The probate court does not review these distributions. In states where probate fees are expensive, a living trust can save costs that a will would incur. Also, if you own property in another state, consider a living trust instead of a will to avoid having to deal with two probate courts.
However, a revocable trust and a will are both subject to the same amounts of estate and inheritance taxes.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a gift of life insurance?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You can make a gift using an asset that you may have overlooked: paid-up policies whose coverage your family no longer needs.
-You can create a gift that will benefit us in the future, at little cost to yourself today.
-If you donate a policy during your lifetime, you receive an immediate income tax deduction for its current value.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow do I arrange a gift of a life insurance policy?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Simply contact your life insurance company and request a change of beneficiary\/ownership form. Designate us as the new owner and beneficiary of your policy.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a gift of retirement plan assets?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You escape the income and estate taxes that will both be levied on the remaining balance of your retirement plan if you leave it to heirs.
-You can give us the most disadvantageously taxed asset in your estate, and leave more favorably taxed property to your heirs.
-You can continue to take withdrawals from your plan during your lifetime.
-You can change the beneficiary if your or your family\u2019s circumstances change.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a charitable gift annuity?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You can use it to convert highly appreciated but low-yielding assets into a lifetime income stream at greatly reduced capital gains cost, while also securing an immediate income tax deduction.
-You will frequently receive a higher payment rate from a gift annuity than from any other life-income gift.
-Your payments will be safe, stable and predictable.
-Part of your annuity payments will come to you tax-free. If you funded your annuity with appreciated assets, another portion of your payments will be taxed at low capital gains rates. Only the remaining balance of the payments will be taxed as ordinary income.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tDo you hold my gift annuity in trust for me?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
No, a gift annuity is a contract between us, providing for our payments to you in return for your gift to us. Your lifetime payments are one of our general obligations, fully backed by all of our assets.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a deferred gift annuity?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-By deferring the start of payments, you receive a higher annuity rate and a larger charitable deduction than an annuity paying you immediately could offer.
-If you are a younger donor in high-earnings years, a deferred gift annuity addresses two of your planning needs: a large income tax deduction today, and additional retirement income tomorrow.
-You can plan the payments from your deferred annuity to begin when you will need them, such as retirement or when your grandchildren will start needing help with tuition.
-You can establish a series of deferred annuities over several years, all scheduled to begin paying you when you retire, and paid for with funds you have already set aside for retirement saving.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a charitable remainder unitrust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
-You will receive an immediate income tax deduction for your gift, while also removing a large asset from your taxable estate.
-If you fund your unitrust with appreciated property, you pay no capital gains tax on the transfer, and a portion of the income stream will be taxed at the lower, capital gains rate.
-You can use this most-flexible gift plan to hold temporarily illiquid assets; to invest first for growth and then for income with no reduction for capital gains tax; and to address short-term family obligations without making long-term commitments of capital.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow can a flip unitrust help me?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
You can fund it today with assets such as shares in a family business or a piece of investment real estate and take a charitable deduction; and then when a pre-determined event, such as the sale of the asset occurs, you can flip the unitrust, at no capital gains cost, into investments that generate lifetime income for you and your beneficiaries.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWho can serve as trustee of my unitrust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
A financial institution, an advisor, or you, yourself, may serve.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat if the property has a mortgage or other lien on it?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Debt should be paid off before the gift is complete. If we accept property subject to a mortgage, the IRS considers that a taxable benefit to you, even if you retain responsibility for the debt. Placing debt encumbered property in a charitable remainder trust will disqualify the trust.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWho can serve as trustee of my annuity trust?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
A financial institution, an advisor, or you, yourself, may serve.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tHow would the assets in my annuity trust be invested?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Typically, they would be invested in a balanced portfolio that is designed to produce both income and growth over the term of the trust. Annuity trusts are also well suited to accept transfers of long-term, tax-free bonds and pass tax-free income through to the beneficiaries.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tIf I create a bequest or life-income gift, will you continue to ask me for annual contributions?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Your planned gift is a significant addition to our long-term financial strength and our ability to meet the challenges and opportunities the future will bring. However, today’s efforts are supported through annual gifts, and we greatly appreciate and encourage any annual support you may want to consider.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tIf I have a simple estate, can I use a free online will planner and save money?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
Absolutely. While we always recommend our supporters have a lawyer review any estate plan documents, we know that for many folks, an online will planner will suffice. It\u2019s certainly better than having no will at all\u2014and you can always hire a lawyer to check it over, just to be sure.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWill there be a fee on my gift annuity?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
No. Our costs are covered by the gift component of the gift annuity transaction.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of a pooled income fund?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
You get an immediate deduction for the present value of the remainder after your death to the sponsoring charity, and because that value is calculated with reference to an ordinary income interest in the trust rather than a fixed annuity or unitrust percentage, the deduction tends to be larger.
\u00a0
On the downside, distributions from the fund are taxed entirely as ordinary income.<\/p><\/div><\/div>
\t\t\t\n\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\tWhat are the benefits of establishing an endowment?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/div>
You get to work with the management of your favored charity in setting long term goals for the organization, and you derive the satisfaction of knowing that your gift today will continue to support those goals far into the future.<\/p><\/div><\/div><\/div><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_eb_attr":"","_uag_custom_page_level_css":"","_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"class_list":["post-1098","page","type-page","status-publish","hentry"],"uagb_featured_image_src":{"full":false,"thumbnail":false,"medium":false,"medium_large":false,"large":false,"1536x1536":false,"2048x2048":false},"uagb_author_info":{"display_name":"Example Microsite","author_link":"https:\/\/example.planned.gifts"},"uagb_comment_info":0,"uagb_excerpt":null,"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"The River School","distributor_original_site_url":"https:\/\/riverschool.planned.gifts","push-errors":false,"_links":{"self":[{"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/pages\/1098","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/comments?post=1098"}],"version-history":[{"count":2,"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/pages\/1098\/revisions"}],"predecessor-version":[{"id":1170,"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/pages\/1098\/revisions\/1170"}],"wp:attachment":[{"href":"https:\/\/riverschool.planned.gifts\/wp-json\/wp\/v2\/media?parent=1098"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}