PLANNED GIFTS
Planned giving is a way for an individual to take the opportunity to combine their personal charitable interests with long-range financial and estate planning while also helping to ensure EACC’s future. There are many tools available that can help the donor maximize the value of their gift to both themselves and the EACC Foundation. Careful structuring of planned gifts can allow the donor to qualify for a charitable deduction under the income tax or the estate tax laws. Below are a few outlined ways that are popular with individuals who choose the planned giving option.
Bequest
A bequest allows an individual to make a gift to the EACC Foundation in a will. The bequest can be made as a specific amount, tangible items such as real estate, a percentage of the estate or through a residuary clause. Specifications designating use of the funds can be determined in the will. The main advantage of a bequest is to help reduce the tax levied on the donor’s estate under current law.
Life Estate
Transferring a personal residence, a farm or a vacation home to the EACC Foundation while retaining your right to live there for the remainder of your (and your spouse’s) life is another option. The donor continues to handle all property expenses until the time of the transfer. At that time, the Internal Revenue Service will provide a charitable deduction for a portion of the appraised fair market value of the property.
Life Insurance Policy
Another way to give to the EACC Foundation is through life insurance. By naming the EACC Foundation as owner and irrevocable beneficiary of a life insurance policy, a deduction can be taken for the premium payments. An existing life insurance policy can also be given, or the donor may assign the dividends of the policy as a gift.