Planned
Giving Planned
Giving
Planned Giving involves integrating a donor's charitable gift into his or her overall financial, tax, and estate planning objectives so as to maximize benefits to both the donor and the Christian Activity Center, Inc. Planned gifts typically come from a donor's assets rather than income, and can be either outright or deferred. It is highly recommended that donors consult with their own tax or legal advisors before making a planned gift. Please read below for more information on different types of planned gifts.
CHARITABLE GIFT ANNUITY
The charitable gift annuity has been used by many who wish to make meaningful
gifts to Christian Activity Center, Inc., but want to also provide for their own
future financial well-being.
A vehicle for giving. A gift annuity makes it possible to transfer cash or marketable securities such as stocks or bonds (including mutual funds) to Christian Activity Center, Inc.. In exchange, we guarantee to pay you a fixed income for life.
A charitable gift annuity is particularly attractive because the rates (based on your age) typically produce higher income than yields from investments in the stock and bond markets.
SAMPLING OF ANNUITY RATES
Age 55 60 65 70 75 80 85 90
Rate 6.1% 6.6% 7.0% 7.5% 8.2% 9.2% 10.5% 12.0%
POOLED INCOME FUND
Our Pooled Income Fund is a type of charitable
remainder trust that operates somewhat like a mutual fund, wherein your gifts
to the fund, along with similar
gifts from others, are invested in a common fund. A pooled income fund gift
may be established with an amount as little a $5,000. You will receive lifetime
income earned by the fund in proportion to the number of shares you have in
the fund. Christian Activity Center, Inc. may use the remaining principal only after your death to
support Christian Activity Center, Inc.'s work and mission. A pooled income fund gift provides several
financial and estate planning benefits:
* You retain income for life.
* Pay no taxes on capital gains when contributing appreciated securities.
* You remove all or most of the assets donated from your estate, thereby reducing
potential estate taxes.
* You receive an income tax deduction based on your age.
* Eventually, your gift will benefit Christian Activity Center, Inc..
CHARITABLE REMAINDER UNITRUST
Benefits
• Lifetime income (often greater than your previous yield)
• A sizable income tax charitable deduction
• No capital gains tax if you donate appreciated securities
• Professionalmanagement of the assets frees you from investment worries
A charitable remainder unitrust is like a combination of a gift and an investment plan. You place assets in trust and you (and/or another beneficiary) receive lifetime income from them, then we receive the remainder.
With a unitrust, the amount you receive as income is a set percentage of the value of the trust assets, redetermined annually.
This option is excellent for devising a supplemental retirement plan -- we can provide you with more details.
GIFTS BY WILL
A will is the easiest and most effective means to
ensure that you fully provide for your family and that your assets are distributed
as you wish. Gifts by
will, or bequests, both large and small have been important to Christian Activity Center, Inc. since its founding. Many friends have remembered Christian Activity Center, Inc.
in their will while providing for their family. A bequest through your will
provides continuing support of the ongoing work of Christian Activity Center, Inc. .
A gift to Christian Activity Center, Inc. through your will has several advantages:
* Charitable gifts made through your will are free of estate tax
* A charitable bequest may place your estate in a lower estate tax bracket
* You may specify that your bequest is used for general purposes or specific activities at the Christian Activity Center, Inc.
To make a bequest to Christian Activity Center, Inc., the following language may be helpful to your attorney:
For General Purposes
I give, devise and bequeath to Christian Activity Center, Inc.
(here insert the amount of money or describe the personal property or real
estate) to be used for the general purposes of said agency.
GIFTS OF RETIREMENT PLANS
Benefits
• Naming us the primary beneficiary avoids all income and estate taxes
• Partial savings when you give us a specific amount before giving family the remainder
• Naming us the contingent beneficiary allows for greater flexibility
• Donating retirement plan assets could be the most cost-effective gift you can make
Did you know that your retirement plan assets are facing double taxation? If you leave the assets to your heirs, you'll generate "income in respect of a decendent." So not only is the amount deminished by estate taxes, but the recipient also must pay income taxes on it!
If you can make other provisions for your family, there's a better option for your retirement plan assets -- a charitable gift.
To implement your wishes, simply advise the plan administrator of your decision and sign whatever form is required. For an IRA or Keogh plan you administer personally, notify the custodian in writing, and keep a copy with your valuable papers.