What is Planned Giving?
Planned giving means making deliberate decisions in advance about the eventual distribution of your estate assets. It enables you to assure your assets are distributed in the manner and for the purposes which you intend. In addition, planned giving relieves the burden from your loved ones of speculating about what your intentions might have been when they are grieving.
A planned gift is a tax-exempt donation of any amount given for any purpose—operations, capital expansion, or endowment—whether current or deferred. It is carefully considered in light of estate and financial plans and completed with the assistance of professional staff and the donor’s advisors.
Planned gifts help donors in leaving their mark on the world, impacting future generations while still maintaining personal freedom and economic security. A planned gift to the NCGA Foundation is a mutual exchange of value. With growing support, the NCGA Foundation will uphold its goal of enhancing kids’ lives, shaping the future of society and supporting the game of golf.
The best gift plans also make a difference in your life through:
• A personal sense of fulfillment by helping
youth learn valuable life skills
• Creating a
living legacy
• Reduction
in estate and gift taxes
Some lifetime gifts also provide:
• An increase in your rate of income and
effective rate of return
• A current
income tax deduction
• Avoidance
of long-term capital gains tax
Cash isn't the only gift you can give. Listed below are just a few of the ways in which you can participate in the NCGA Foundation's planned giving program.
Bequests Any asset can be included in a bequest (through a living will or trust) to ensure that your estate will help support a cause that is consistent with your beliefs and values. Making a bequest reduces estate taxes, eliminates capital gains taxes and benefits the NCGA Foundation.
Real Estate & Life Insurance Gifts of real estate are similar to stock. Assuming you have owned the property for more than one year, you may deduct it as a charitable contribution at the fair market value while avoiding capital gains taxes. For gifts of real estate, you may not only make an immediate tax deduction but you may also retain the right to use your property for your lifetime. Life insurance is a unique way to give to the NCGA Foundation. In order to qualify, the NCGA Foundation needs to become the owner and beneficiary. No incidents of ownership should be retained. If the policy is paid in full, your charitable contribution is generally the replacement value or cost basis of the policy, whichever is less. Ongoing premiums paid on a gifted life insurance policy also qualify for charitable deductions.
Charitable Trusts A Charitable Remainder Trust (CRT) is an irrevocable trust that actually provides for and maintains two sets of beneficiaries. Income beneficiaries are the first set. Income beneficiaries receive a set percentage of income for your lifetime from the trust. The second set of beneficiaries is the charity that you name. The charity receives the principal of the trust after the income beneficiaries pass away. The CRT allows taxpayers to reduce estate taxes, eliminate capital gains taxes, claim an income tax deduction, and benefit a charity instead of the IRS. A Charitable Lead Trust (CLT) is the reverse of a CRT. The designated charity receives the income and your heirs receive the residual. Similar to a CRT, CLTs offer current income tax reductions and a reduction of capital gains taxes.
Stock Gifts of stock and bonds can be one of the most advantageous ways of giving. The full fair market value of the stock can be deducted as a charitable contribution; eliminating all capital gains tax (the stock must have been owned for more than one year).
For planned giving questions please contact the Foundation:
NCGA Foundation
(831) 625-4653
(877) NCGA-JRS
foundation@ncga.org
The NCGA Foundation is a 501(C)3 organization. Federal Tax I.D. number: 94-3108575. All donations are tax deductible as permitted by law.
