Ways to Give
What is Planned Giving?
Planned giving is also referred to as gift planning or legacy giving. It enables philanthropic individuals to make large gifts to charitable organizations than they could make from ordinary income.
Some planned gifts provide life-long income to donors. Other gift plans use estate and tax planning to provide for charity and heirs in ways that maximize the gift and/or minimize its impact on the donor’s estate.
By definition, a planned gift is any major gift, made in lifetime or at death as part of a donor’s overall financial and/or estate planning. These include gifts of equity, life insurance, real estate, personal property, or cash.
3 Types of Planned Gifts
Outright gifts that use appreciated assets as a substitute for cash.
Examples: securities, real estate
Full market-value charitable tax deduction
No capital gains tax
Gifts that return income or other financial benefits to the donor in return for the contribution.
Example: life-income gift
Full market-value tax deduction of assets contributed minus the present value of the income interest retained
Gifts payable upon the donor’s death.
Examples: bequest, beneficiary designation
Estate tax exemption
*no life time income tax deduction
Designate Your Gift
Major gifts can be designated in 2 ways:
for the general purpose of WISE (an unrestricted gift), or
to be used to support a particular program (a restricted gift)
Information presented on this page is intended as general educational information on planned giving. Donors should seek specific advice from their tax advisors, attorney, and/or financial planner to discuss how different types of planned giving affect their individual situation.