Walsh University Guide to Giving 3

Transcription

1 Walsh University Guide to Giving Guide to Giving 3

2 Mission Statement M I S S ION S T A TE M ENT Walsh University is an independent, coeducational, Catholic, liberal arts and sciences institution. Founded by the Brothers of Christian Instruction, Walsh University is dedicated to educating its students to become leaders in service to others through a values-based education with an international perspective in the Judeo-Christian tradition. Walsh University believes in the desirability of a small university that promotes academic excellence, a diverse community, and close student-teacher interaction. The University provides an education that fosters critical thinking, effective communication, spiritual growth, and personal, professional and cultural development. Walsh University encourages individuals to act in accordance with reason guided by the example and teachings of Jesus Christ. Be part of it. Be proud of it. Guide to Giving 4

3 Creative creative Giving Build a gift plan that suits your unique needs When you make a gift to Walsh University, you help us to further our mission and continue to provide a quality education to our students. We would like you to know how much we appreciate your support and want to be sure the kind of gift you choose to make will be most beneficial to you. Though making an outright gift might seem to be the simplest way to support Walsh, many individuals have varying financial interests, and other vehicles of giving may prove to be better options. You can make gifts in the form of cash, securities, real estate, or other personal property in a variety of ways. This booklet provides information on several kinds of gift planning alternatives that may better suit your financial needs. If you would like to design a gift that will benefit the people and organizations you care about, we suggest that you consult with an attorney who specializes in estate planning. We at Walsh can work with your professional advisor(s) to assist you as you plan for the future and receive benefits today. Once you review this booklet, you may have questions. We invite you to contact our Office of Gift Planning at Potential Benefits of Gift Planning: Receive a current income tax deduction. Avoid long-term capital gains tax. Generate income for life. Reduce gift taxes. Possible reduction in probate costs and estate taxes. Guide to Giving 1

4 alsh in your will Making a bequest is convenient and perhaps the most simple planned gift to make. This kind of gift allows you to pass anything you would like to Walsh, free of tax. Bequests may be for a specific dollar amount, a percentage of your estate, or a specific property. You get to decide whether your gift has restrictions on it or not. For example, many donors may choose to create an endowment in order to honor a loved one. including walsh in your will Sample Bequest Language: I give, devise, and bequeath to Walsh University, a not-for-profit organization located in North Canton, Ohio, the sum of $ (or % of my estate; or the property described herein) for its general purposes. Or, you may specify a purpose by using the above language and the following line: to be used for. Perhaps you have delayed creating this document due to the costs associated with it or the difficulty in figuring out how to leave your assets. Once you have your will in place, making changes can be done at a nominal fee. The benefits to creating a will highly outweigh the choice not to. Benefits of having a Will: Provide for those individuals and charities you care about, even after your death. With advance planning, you can save on estate taxes. Your assets will be disbursed according to your wishes. Left to right Allyson Kelley recipient Mike Ayers, Sisler-McFawn Foundation Guide to Giving 2

5 Charitable Charitable Gift Gift Annuity Make a Gift to Walsh and Receive Income for Life Charitable Gift Annuity A charitable gift annuity is a simple contract between you and Walsh University. It is an easy way to prudently plan for your financial future and support Walsh at the same time. In exchange for your irrevocable gift of cash, securities, or other assets, Walsh University agrees to pay you or one to two other annuitants a fixed sum each year for life. This type of gift might be especially attractive if you are aged 70 or above, you want to support Walsh University, and would like to secure an immediate stream of income for yourself or for yourself and your spouse. The older your designated annuitants are at the time of the gift, the greater the fixed income Walsh University can agree to pay. In addition to the stream of fixed payments, the gift will also generate an immediate charitable income-tax deduction. In most cases, part of each payment is tax-free, increasing each payment s after-tax value. Example: For example, Walsh Donor, aged 78, gives $25,000 in cash to Walsh University in exchange for a gift annuity at the current rate of 6.7%. He receives an income-tax deduction of $11,655, and shall begin receiving income checks of approximately $1,675 each calendar year for the rest of his life. When Walsh Donor passes away, the remainder will benefit Walsh University. Benefits of establishing a Charitable Gift Annuity: Income for life. A charitable income tax deduction. Possible reduction in probate costs and estate taxes. Gift Annuity rates are subject to change at the discretion of the American Council of Gift Annuities. Please contact us for current rates Guide to Giving 3

6 ore Giving More Giving Options More Giving Options that Generate Income Charitable Remainder Trusts A charitable remainder trust is a personal management plan that provides a secure and fixed income to you or others and a charitable income tax deduction. When the trust term ends, the trust s principal passes to Walsh University to be used as you designate. Benefits: Income to one or more beneficiaries that will vary annually with the value of the trust. Federal income-tax deduction for the charitable remainder value of your gift. No capital-gain tax when trust property is sold. Trust remainder will provide generous support for Walsh University. Charitable Lead Trust Charitable lead trusts are the reverse of charitable remainder trusts in that a stream of income is first paid to Walsh University for a number of years, after which the remainder goes back to the donor or passes to another non-charitable beneficiary designated by the donor. This may be an ideal option for individuals with sizeable estates who would like to protect and preserve property for heirs. A significant reduction of gift or estate taxes may be realized when the lead trust principal passes to your beneficiaries. The lead trust is especially beneficial if you are in a high gift or estate tax bracket. Benefits: Protect your property for heirs. Save significantly on gift and estate taxes. Save on inheritance and generation-skipping taxes. Provide a major philanthropic gift. left to right Chelsea Oyler recipient Vivian Neal, Program Director, John S. & James L. Knight Foundation Guide to Giving 4

7 Gifts of Securities G i f t s o f S e c u r i t i e s Stocks, Bonds, Mutual Funds, and other Assets Gifts of appreciated securities can provide substantial support for Walsh. By contributing these assets, you may deduct the full fair market value of the gift. If a donor wishes to do this, he/she will give away the capital gain, avoid penalty capital gains tax, and receive a charitable income tax deduction for the gift of up to 30 percent of their adjusted gross income. Benefits: Avoidance of capital gains tax. Immediate charitable income tax deduction. Gifts of Life Insurance A gift of life insurance may be one of the most cost effective gifts an individual can make. Donors can use life insurance to make a gift to Walsh University by naming Walsh as the owner and beneficiary of a life insurance policy. A donor receives a charitable income tax deduction based on the lesser of the policy s fair market value or the net premiums paid. Donors may also wish to make gifts of paid-up policies, resulting in a charitable income tax deduction for the policy s cash surrender value. An important use of life insurance is its ability to replace the value of an asset that has been given to Walsh. A donor can use the tax savings produced by the charitable income tax deduction to purchase and pay premiums on life insurance policies whose proceeds equal the value of the gifted property. This arrangement can serve to protect the interests of family members. Benefits: Receive a charitable income tax deduction. Reduction in the size of donor s taxable estate (if applicable). Guide to Giving 5

8 ays to Give Choose the option that is best for you. GIFT Bequest Cash Securities Life Insurance Retirement Assets GOAL Make a significant future gift without affecting your lifestyle. Receive a charitable income tax deduction. Avoid capital gains tax. Make a generous gift of an asset no longer needed. Avoid taxation on IRA s or other benefit plans. how TO DO IT Name Walsh University in your will. Make an outright gift of cash or write a check. Give appreciated stock or other securities. Change ownership or rename beneficiary on a policy no longer necessary. Name Walsh University as beneficiary of these assets. BENEFIT Maintain control of your assets during your lifetime and reduce estate and death taxes. Receive an immediate income tax deduction. Avoid capital gains tax and receive an immediate charitable deduction. Income tax deduction. Avoid estate tax on these assets while making other property available to pass to heirs. Guide to Giving 6

9 gift comparision GIFT Personal Property Real Estate Charitable Remainder Trust Charitable Lead Trust Charitable Gift Annuity GOAL Share your enthusiasm of a personal collection or other items. Leverage the equity in one of your most important assets to make a gift. Make a gift to Walsh and retain an income for yourself. Utilize your assets to support Walsh today while preserving property to pass to heirs. Make a gift to Walsh and retain an income for yourself that is partially tax-free. how TO DO IT Donate tangible property relative to our mission. Retain occupancy but designate ownership of home to Walsh. Establish a trust that pays you an annual income. The principal passes to Walsh. Establish a trust that provides an income stream to Walsh. The principal passes to heirs. Establish a charitable gift annuity contract with Walsh. BENEFIT Charitable deduction based on the full fair market value. Receive an income tax deduction and avoid capitalgains tax and retain the option to live in your home. Receive a current income stream and immediate income tax deduction. Heirs will inherit property with reduced gift taxes while reducing your taxable estate at the same time. Receive a current income stream and immediate income tax deduction. Guide to Giving 7

10 Heritage Society The Brother Thomas S. Farrell The Heritage Society was established to recognize the permanent value of legacy gifts to Walsh University. This society is named after Walsh s first president and honors those alumni, friends, faculty, and staff who have demonstrated outstanding commitment by choosing to benefit the University through planned giving. Planned gifts include gifts through wills, charitable trusts, gift annuities, life insurance, endowed scholarships, or other estate planning arrangements. For more information on how to create your own legacy and help Walsh University continue to fulfill its mission, please contact the Office of Gift Planning at Guide to Giving 8

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12 We at Walsh University urge you to seek the advice of your attorney, accountant, banker, broker, or other financial advisor when considering your charitable interests and the goals you may have. It is suggested that both you and your advisor(s) consult with our Advancement Staff before reaching a final gift decision. Be part of it. Be proud of it. I would like more information on making a planned gift to Walsh University. Name: Address: City State Zip: Phone: I am interested in (check all that apply): Making a bequest to Walsh University in my will. (or) Making you aware that I have already included Walsh University in my will. Discussing the opportunity of honoring a loved one. Receiving income from my gift. Making a gift of securities. Discussing the giving options that may be best for me.

13 Be part of it. Be proud of it. Left to right Tom Needles, scholarship donor Jenna Cariglic, scholarship recipient,

14 A Catholic University of Distinction Office of University Advancement 2020 E. Maple Street North Canton, OH Phone: * Fax: