What is a Planned Gift?
A planned gift is legally arranged by you during your lifetime. It is an opportunity for you to fulfill your personal, charitable or humanitarian objectives by naming the charitable organization of you choice, such as the Heinzerling Foundation, as the beneficiary of your gift. The principal benefits accrue to the Heinzerling Foundation at a later time, after your death or the death of your last named beneficiary.
Planned gifts take many forms such as bequests, charitable annuities or trusts, gifts of life insurance or gifts of property or stock. They can provide additional income for you (or your heirs), they can reduce your income and estate taxes, and they can relieve you (or your heirs) of complicated financial management responsibilities. Planned gifts can be made in cash, real estate, stocks, bonds, personal property or life insurance.
Bequests by Will
By remembering the Heinzerling Foundation in your will, you can have an impact that goes beyond your lifetime. This is one of the easiest methods of planned giving as it allows you to designate either a specific dollar amount or a percentage of your estate after other disbursements. Your bequest will qualify for an estate tax charitable deduction. It can also reduce the amount of your taxable estate, which may increase the actual amount available to loved ones.
The following language is often used in a bequest:
I give, devise, and bequeath to the Heinzerling Foundation, located at 1800 Heinzerling Drive, Columbus, OH 43223, the sum of ________(specify a dollar amount or the % of your estate or describe the gift).
Charitable Remainder Trust
The charitable remainder trust provides income for life for the donor and/or other beneficiary. It also provides income and estate tax deductions. A charitable trust transfers ownership and management of cash and/or appreciated securities to the Heinzerling Foundation which manages the trust and pays income to you for the remainder of your life and/or the life of another beneficiary.
A gift annuity is actually an agreement between you and the Heinzerling Foundation. In exchange for your irrevocable gift, the Heinzerling Foundation pays you a fixed dollar amount during your life and/or the life of a designated loved one. The amount you receive is determined by the size of your gift, your age and the age of your beneficiary. Your income is guaranteed, regardless of market fluctuation.
Contributions of life insurance can be a substantial gift. For the donor, the value of an ordinary policy at the time of the gift is tax deductible. If the donor continues paying the premiums, they are also deductible as charitable contributions. If a paid-up policy is donated, the cost of purchasing a new paid-up policy at your current age is the value of the charitable deduction.
Appreciated Securities or Mutual Funds
Gifts of appreciated securities may offer substantial tax advantages. These include forgiveness of the tax on capital gains and an income tax charitable deduction for the fair market of the securities.
You can donate property such as real estate. This type of gift can provide tax advantages but may require independent appraisals to meet IRS guidelines.
These are the most common ways to make a planned gift to the Heinzerling Foundation. If you are considering a planned gift, please consult your legal and financial advisers. In addition, the Development staff at the Heinzerling Foundation, 614-272-8888, would be happy to assist you.
If you have already included the Heinzerling Foundation in your financial or estate planning, we are most appreciative. Thank you.