Select 3 gifts to compare:

Cash

Securities

Real Estate

Personal Property

Bequest

Retirement Plan Assets, IRA

Life Insurance

Retained Life Interest

Bargain Sale

Charitable Gift Annuity

Charitable Remainder Trust

Charitable Lead Trust
How does it work? Give cash Give appreciated securities Give appreciated real estate Give artwork, collectibles, equipment or other types of tangible property Simplest form of gift planning (plan now, give later) Name NPO as the beneficiary of the plan Name NPO as beneficiary and owner of a policy donor owns Give real estate but keep the right to use and enjoy it for life Sell real estate or other valuable property to NPO for less than fair value Simple gift contract that provides lifetime payments to one or two persons Trust that pays income for life or a term of years to donor and/or others. Assets ultimately benefit NPO Trust that makes payments to NPO for a period of years. Assets ultimately pass to donor or heirs
A good fit for donors who want to… Maximize the deduction; minimize the gift details Avoid tax on capital gains; afford a larger gift to NPO Make a substantial gift, avoid capital gains tax, receive a large income tax deduction Put assets donor no longer needs or can maintain to good use Make a gift that costs nothing during donor's lifetime Avoid double taxation at death; give tax-advantaged assets to heirs Make a gift at little cost Make a significant gift that doesn't affect donor's lifestyle Make a significant gift that doesn't affect donor's lifestyle Supplement income with steady payments that are partially tax-free Diversify assets, avoid or defer capital gains tax, secure often-greater income and possible inflation protection Reduce gift and estate taxes on assets donor passes to heirs; lower income tax liability; retain control of assets
How does donor make the gift? Write a check or give online now Contribute longterm appreciated stock or other marketable securities Donate the property to NPO Donate tangible personal property related to NPO's tax-exempt function Name NPO in will or living trust by designating a specific amount or a share of the residue Name NPO as whole or partial successor beneficiary on your plan's form Donate a paid-up policy donor no longer needs Give real estate to NPO but retain lifetime use Sign a contract to sell property to NPO at a discounted value Establish a gift annuity contract with NPO that pays a set income for life Create a trust that pays income to donor and/ or others; principal (remainder) ultimately goes to NPO Create a trust that pays income to NPO, principal (remainder) ultimately returns to heirs or donor

Donor Benefits
Reduce estate tax Removes taxable assets from the estate Removes taxable assets from the estate Removes taxable assets from the estate Removes taxable assets from the estate Donation exempt from federal estate tax Donation exempt from federal estate and income tax Donation exempt from federal estate tax Removes taxable assets from estate Removes gifted portion of value of asset from taxable estate Removes taxable assets from estate Removes taxable assets from estate Can remove taxable assets from estate
Reduce income tax Immediate deduction for full value Immediate deduction for full value Immediate deduction for full value Immediate deduction for full value if NPO can use the asset Heirs will avoid income tax Current income tax deduction for paidup policy. Deduction for value of the asset, less value of your right to keep using it Deduction for gift portion of asset Deduction for gift portion of asset Deduction for gift portion of asset Limited
Reduce or eliminate capital gains tax Complete avoidance Complete avoidance Complete avoidance Complete avoidance Complete avoidance Partial avoidance Partial avoidance Partial avoidance Varies
Get income back from the gift Fixed payments for life for one or two individuals Variable or fixed income for life
Give an asset but keep enjoying it Control of assets during lifetime Continue to take withdrawals from plan during lifetime Use of asset during lifetime Property reverts to donor, or to heirs with reduced gift and estate taxes
More Still like the stock? Use cash to buy at today's price and lock in a higher cost basis Coordinate with charity before making donation Can be used to make a significant gift without cash outlay Make a substantial gift when donor no longer needs the assets Often overlooked and easily given Simple to set up; small financial commitment for large ultimate gift Coordinate with charity before making donation Use proceeds to help fund needs at a later stage in life (retirement facility, etc.) Great retirement income supplement Significant income and estate tax advantages Best for assets expected to appreciate rapidly
How does it benefit NPO? Delivers immediate benefits Delivers immediate benefits Delivers immediate benefits Delivers immediate benefits Ensures NPO's future strength Ensures NPO's future strength Ensures NPO's future strength Ensures NPO's future strength Delivers immediate benefits Ensures NPO's future strength Ensures NPO's future strength Delivers immediate benefits
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