APPRECIATED SECURITIES Gifts of appreciated securities (stocks and bonds) offer a double tax advantage to you. First, you avoid the capital gains tax that would have been imposed if you sold the securities yourself, and secondly, you can take an income tax deduction. Most donors can deduct the full fair-market value of appreciated stocks and bonds up to 30% of their adjusted gross income, with a five-year carry over period.
LIFE INSURANCE Life insurance provides several options for giving. You may donate an existing, paid-up policy, and in turn, you will get an immediate tax deduction for the gift, usually equal to the policy’s cash surrender value. Another option is to take out a new insurance policy naming the Foundation as owner and beneficiary. Your annual payments to the Foundation to pay the premiums may be fully deductible as a charitable contribution.
BEQUESTS You may designate the Foundation as a beneficiary of your estate to receive a certain dollar amount or to be the residuary or contingent beneficiary. You may want to establish a fund through your will. Consult with your attorney and the TCF office for proper wording of the bequest.
OTHER ASSETS Gifts of other appreciated assets (real estate, jewelry, coins, etc.) may be accepted subject to review. Contact the Foundation office for more information. Real estate, mineral and/or gas rights may be accepted and are also subject to review.
CHARITABLE REMAINDER TRUSTS This option is for individuals who need to maximize their income but would still like to make a charitable gift with their
assets. When you establish a charitable remainder trust, you receive an income tax deduction. The trust helps to avoid or lessen estate taxes as it removes the assets placed in trust from your estate. Charitable remainder trusts can be created with appreciated assets such as stock. Talk with your attorney and/or financial advisor or call the Foundation office for more information.
TRANSFER of a PRIVATE FOUNDATION Managing a private foundation can be costly and time consuming. Reporting requirements can be burdensome. Community foundations manage pooled assets, so the cost of administering the pooled funds is less than that incurred by a private foundation. Less costs to administer the fund translates into more funds available for growth and income. The original identity and purpose of the private foundation can be retained after transferring funds to TCF. Family members or corporate sponsors of a private foundation can continue to serve as fund advisors. Call the Foundation office for more information.
GIFTS from RETIREMENT ACCOUNTS If you have accumulated significant assets in a retirement account, you may want to consider designating the Foundation as a beneficiary of the account. Your estate will receive a deduction for estate taxes and the Foundation will not incur taxable income.