NEWS RELEASE

Instruments of Charitable Giving

Pictured above: Jim Gustafson (standing) reviews Gifts in Wills with (l to r) Carol Bull, Donna Jorgensen, Jody Heuermann & Earl Brandes.

Jim Gustafson, Nebraska Community Foundation planned gift specialist, provided an entertaining and informational activity for local citizens at the Venter Center on Thursday, November 18th. Jim distributed mock assets such as CDs, Savings Bonds, Life Insurance, Retirement Plans, Appreciated Stocks and Wills. Throughout the activity, Jim collected these gifts for charity and explained tax savings and tax avoidances that could be achieved while fulfilling charitable intent. Jim demonstrated examples of tax avoidance and potential income including:

  • Gifts of Stocks achieve a tax deduction at their current value and by-pass capital gains taxes. Tax savings from gifts of stocks can be substantially more than gifts of cash.
  • Charitable Gift Annuities can provide a future gift to charity while providing high fixed income payments, tax-free return of the principal while removing taxable assets from the estate.
  • Charitable Remainder Trusts provide future gifts to charity and by-pass capital gains taxes while increasing income and providing a current income tax deduction while removing taxable assets from the estate.
  • Gifts in Wills provide a future gift to charity while retaining control of ones assets during their lifetime and removing taxable assets from the estate. Wills can provide general or percentage distributions, specific property or deferred distributions.
  • Certificates of Deposit can provide a future gift to charity while retaining control during ones lifetime and removing from the estate.
  • U.S. Savings Bonds can be gifted in the future to charity while maintaining control during ones lifetime. Double Taxation can be avoided as they are taxed upon cashing in and in ones estate.
  • Annuity Policies can provide a future gift to charity while retaining control during ones lifetime. Double taxation can be avoided.
  • Life Insurance can provide a current or deferred gift and potentially receive a current income tax deduction. Policies can provide a larger gift than otherwise possible.
  • Retirement Plans can provide future gifts to charity while regaining control during ones lifetime while avoiding double taxation and removing from ones estate.

This seminar was sponsored by Merrick Foundation. If you have questions regarding any of these instruments of charitable giving, contact your professional advisor on Chuck Griffith at Merrick Foundation (308) 946-3707 or merrickf@hamilton.net .