Endowments/Planned Giving

Pledge by Planned Giving

There are many options in planned giving.   Some of these options are Charitable Gift Annuities, Deferred Gift Annuity and Charitable Lead Trusts.   If you are 65 or older, a Charitable Gift Annuity can yield tax deductions and pay you high interest income every month for the rest of your life.  If your are 50 years old for example, you can plan for retirement by opening a Deferred Gift Annuity. This will give you an immediate tax deduction, and by the time you are 65, earn income as high as 12.8% a year.  Charitable Lead Trusts are designed to reduce the estate tax burden on your heirs.

With thoughtful planning you can help to secure income for yourself and at the same time help CAMO to assure that individuals that are not lucky enough to be born in conditions such as ours, can at least have their basic needs and health care met.  Please join us in this fight for human dignity.  If you are interested in any of these option and would like to make CAMO the recipient please do not hesitate to call our office for more information.

Charitable Gift Annuity
With a Charitable Gift Annuity you may receive generous fixed payments for life.  The payments will never change and will continue for your lifetime.    You are entitled to an income tax deduction in the year of your gift.  In addition, for a period of time a portion of each payment may be free of income tax or taxed at a capital gains rate. The amount used to fund the gift annuity may be free from gift and estate taxes.

Benefit on $10,000 Single-Life Charitable Gift Annuity

FOR EXAMPLE:
Principal Donated - $10,000.00
Cost Basis - $10,000.00
Annuity Rate - 12.8%
Payment Schedule - quarterly

CALCULATIONS:
Charitable Deduction - $2,158.30
Number of Payments in First Year - 3
Annuity - $1,280.00
Quarterly Payment - $320.00

BREAKDOWN OF ANNUITY:

Deferred Gift Annuity (DGA)
At a young age you can start your retirement planning to supplement existing retirement assets.  It is most beneficial to donors who have already made the maximum contributions to their existing retirement plans.  At age 65, you will be paid a fixed amount of income on a regular basis.  Part of this gift qualifies for an immediate income tax deduction.  That will reduce your current taxes.   The full value of the gift is removed from your estate.  The younger your are, the larger the tax-deductible portion of the gift.  Part of the annuity payment may be received as tax-free income

Many donors create Deferred Gift Annuities on an annual basis to build retirement assets.  The donor may name a joint and successor beneficiary who will receive the annuity at the end of the donor’s lifetime, beginning on the date of the donor’s 65th birthday or thereafter.

Charitable Trusts
Charitable Trusts enable donors to accomplish their charitable interests as well as meeting other important financial objectives

A Charitable Uni –Trust (Minimum Donation: $250,000) this is a document that is drawn up by a donor’s attorney and cash and securities are then transferred to the trust.

A Charitable Lead Trust (Minimum Donation: $500,000) this is a planning tool permitted by federal gift and estate tax laws that allow donors to fund a trust which provides a stream of income for a term of year to CAMO.  At the end of the term of trust, the remaining in the trust passes to the donor’s heirs.

Donating Other Investments

Stocks and Securities
Appreciated Investments make a great gift.  This would be investment such as stocks and other securities, which would allow you to bypass capital gains tax.   For example if you had purchased a stock for $10,000 and now it is worth $20,000 you could avoid paying the capital gains tax on the profit. At the same time you could deduct the full $20,000 value of the gift immediately on your tax return. This could further benefit you by earning income upon retirement based on a percentage of the full pre-tax worth of the stock.  This would enable you to be more giving than you dreamed possible.

Endowment fund
The Wayne County Community Foundation has a fund set up for CAMO.  Also CAMO has an internal fund set up as an endowment. You can directly give to either of these funds and the capital gain and interest will be used for the CAMO mission.

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