Planned Gifts

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The Community Foundations offers a variety of investment opportunities for donors, including:

Charitable Gift Annuity is an agreement between you and the Community Foundation wherein we agree to provide the annuitant (usually you) a determined amount for life, in exchange for your gift. Unlike most other retained income arrangements, a gift annuity is not a trust. Rather, it is a contract between the Community Foundation and you that is secured by our assets. You can establish a gift annuity at the Community Foundation for a minimum gift of $10,000 or more.

Charitable Remainder Trust is established by you and is a separate trust that benefits only you or your designated beneficiaries and, ultimately, the Community Foundation. There are multiple types of charitable remainder trusts to fit a variety of situations. The two main types are annuity trusts, which pay a set amount to the beneficiary, and unitrusts, which pay a percentage of the annually determined value of the unitrust to the beneficiaries. We will work with you and your professional advisors to ensure the trust ultimately supports the charitable causes you care about.

Other planned giving arrangements provide current support for charity with a deferred benefit to you or others, or are deferred gifts that take effect upon your death or the passage of time. Some of these types of gifts include:

Charitable Bequest by Will or Charitable Trust Distribution is one of the simplest ways to provide for your community is to establish or add to a fund at the Community Foundation through a bequest in your will or by providing for a distribution from your trust. This is a simple option that allows you to enjoy all of your assets while you are alive, yet support your favorite causes at death.

Life Insurance makes it possible for virtually everyone to make a meaningful gift. Policies that are no longer needed for their original purpose can make excellent gifts when given to the Community Foundation. You can either designate the Community Foundation as the beneficiary, or you can gift the policy during your life and likely receive an immediate income tax deduction.

Retirement Assets like life insurance, retirement assets can be easily gifted to the Community Foundation at death. This can be done by changing the beneficiary designation for the retirement asset. In addition, you can reduce income taxes payable by your family - in addition to saving estate taxes - by giving retirement assets to the Community Foundation. For example, if you were to give a $100,000 IRA to your children at death and another $100,000 of assets to the Community Foundation, your children would have to pay income taxes on the IRA (in addition to any estate taxes that might be owed). By merely giving the IRA to the Community Foundation and the other assets to your children, all of the income taxes are avoided on the IRA. This income tax benefit can be important when planning the distribution of your pension, profit sharing, Section 401(k) and Section 403(b) plans and IRAs. Special rules apply to making charitable gifts of these assets during life. Please consult with your tax advisor and the Community Foundation about these rules.

Charitable Lead Trust is similar to a charitable remainder trust, a charitable lead trust is established by you. The Community Foundation receives the current distributions from the charitable lead trust, with the remainder returning to you – or more typically being transferred to your family. These arrangements can be very useful in reducing the gift and estate tax costs of moving assets to your family and can sometimes be used to generate current income tax deductions.

Remainder Interest in Residence, under the right circumstances, you can provide for the transfer of your home to the Community Foundation at your death and still live in your home. This technique can generate immediate income tax deductions for you, even though you remain in your home until death.

Please call the Community Foundation at (313) 961-6675 for more information.