Planned Giving Considerations
There are many different planned giving options available to you. What works for one person may not work for another. Consider the many factors involved in a planned gift decision as well as strategies like the ones below. As with all tax and estate planning, please consult your attorney or estate specialist.
When planning for the future, it is important to consider your overall financial and estate plans. Prior to making a will or other estate plan, consider using the four "P's" as a simple guide:
Who are the people in your life who depend on you or whom you might want to remember in your plans? Spouse, children, grandchildren, other relatives, friends, and loved ones come to mind.
What are the various properties you own that together make up your estate? List real estate, insurance, annuities, mortgages held, automobiles, furniture, etc. Make a note of the cost of each, the estimated current value, and any income or debt involved.
How would you like to match your properties to the people you have listed? Be sure to include any plans you have to remember your charitable interests, such as the LBCC Foundation.
Who are the people you will need to talk with to complete your plan? Remember to list your attorney, insurance agent, broker, trust officer, certified financial planner, and perhaps others.
Once you have been through this process, you are ready to put it all together. We would be most honored to be a part of your future plans. If we can help in any way, please contact us. [link to home contact page]
By Robert F. Sharpe, Sr. Reprinted with permission from The College of William and Mary National Planned Giving Institute.
What would you like to do?
How: Simply write a check now, or give through our secure online process.
Potential benefit(s): An income tax deduction and funds LBCC can put to use immediately.
How: Contribute long-term appreciated stock or other securities.
Potential benefit(s): A charitable deduction plus no capital gains tax.
How: Put a bequest in your will (give us cash, specific property, or a share of the residue of your estate).
Potential benefit(s): Your donations are fully exempt from federal estate tax.
How: Create a charitable gift annuity.
Potential benefit(s): Current and future savings on income taxes, plus fixed, stable payments.
How: Donate the real estate to us, or sell it to us at a bargain price.
Potential benefit(s): A charitable tax deduction with the possibility of reducing or eliminating capital gains tax.
How: Donate tangible real property to us.
Potential benefit(s): A charitable tax deduction and the possibility of income for life if done through a trust or to set up an annuity.
How: Name us as the beneficiary of the remainder of the retirement assets after your
Potential benefit(s): It lets you leave your family other assets that carry less tax liability.
How: Create a charitable gift of future interest, called a retained life estate.
Potential benefit(s): It gives you tax advantages plus use of the property.
How: Make a bargain sale
Potential benefit(s): Receive income tax deduction for gift portion, receive some cash and avoid capital gain tax on gift portion.
How: Contribute a life insurance policy you no longer need.
Potential benefit(s): Current and possibly future income tax deductions.
How: Create a charitable remainder annuity trust.
Potential benefit(s): It gives you tax benefits and often boosts your rate of return.
How: Create a charitable lead trust.
Potential benefit(s): Asset is returned to the donor or heirs with federal estate tax savings and income tax deductions for income donated.
How: Create a charitable remainder unitrust.
Potential benefit(s): Variable payments for life plus tax benefits.
How: Name us as the beneficiary of assets in a living trust.
Potential benefit(s): Full control of the trust terms for your lifetime.