Planned Giving information

Gift Type

Summary

Goals

Minimum

Difficulty

Next Step

Now - Outright Gifts

Cash

An outright gift of cash provides the largest deduction from your taxable income.

• Immediate benefit to your church
  
• Minimize gift planning
  
• Full charitable deduction
  
• Maximize deduction

Any Amount

Easy

Your Discretion

Stock/Appreciated Securities

An outright gift made by transferring securities to your church, potentially provides both a tax deduction for the gift and avoidance of capital gains taxes.

• Generous support for your church
  
• Avoid capital gains taxes
  
• Remove asset from estate
  
• Maximize deduction

Any Amount

Easy to Moderate

To make the transfer, contact:

• Your financial advisor
  
• First Presbyterian Church Annapolis MD

Real Estate

A gift of real estate may be deeded outright to your church. The irrevocable gift of property may provide an immediate tax deduction.

• Generous support for your church
  
• Income tax deduction
  
• Avoid capital gains taxes
  
• Removal of sizeable asset from estate

Any

Complex

Gather your team:

• Charitable Gift Planner
  
• First Presbyterian Church Annapolis MD
  
• Professional Advisors

Retained Life Estate

Retained life estate provides for a current gift of your property, and you retain the right to live in and use the property for the lives of you and your designee(s).

Same as above plus:

• Right to use your property for life
  
• Tax treatment varies

Any

Complex

Gather your team:

• Charitable Gift Planner
  
• First Presbyterian Church Annapolis MD
  
• Professional Advisors

Income - Gifts that pay back

Charitable Gift Annuity

An irrevocable gift of cash or securities where you receive a predictable fixed income for life.

In exchange for your gift to the Foundation, you will receive payments for life and a portion of your gift may be made available immediately to support a mission or ministry you have selected or it could be distributed after your lifetime.

Rates

EXAMPLE DIAGRAM

• Significant support for your church
  
• Predictable income
  
• Simple contract; no donor fee
  
• Immediate income tax deduction for a portion of the gift
  
• Income treated as part ordinary income, part capital gains income (15%), part tax-free

$10,000

Easy to Moderate

Go to the Presbyterian Foundation's Gift Calculator

Consult with:

• Charitable Gift Planner
  
• Professional Advisors

Charitable Remainder Trust

An irrevocable gift of assets into a charitable trust that provides you a fixed (Annuity Trust) or variable (Unitrust) income for life or a set term. At the trust's termination, the trust assets become a generous gift to your church.

EXAMPLE DIAGRAM

• Significant support for your church
  
• Potentially increase income
  
• Charitable income tax deducation for a portion of the value of the gift
  
• Diversify source(s) of income
  
• Reduce estate taxes

$200,000 - varies

Complex

Go to the Presbyterian Foundation's Gift Calculator

Consult with:

• Charitable Gift Planner
  
• Professional Advisors

Charitable Lead Trust

Income payments are distributed to your church for a set period of years, after which the assets are transferred back to the grantor or the grantor's beneficiary.

• Generous support for your church now
  
• Removes trust assets from estate
  
• Transfers assets to heirs with little or no tax
  
• No deduction

$200,000 - varies

Complex

Go to the Presbyterian Foundation's Gift Calculator

Consult with:

• Charitable Gift Planner
  
• Professional Advisors

Later - Estate Gifts

Wills and Bequests

A gift to your church through your will (or revocable trust) enables you to retain the asset during your life and provide significant support when you no longer require the asset. You may choose a specific value, percentage or the residual value of your estate.

Please let your church know your intentions.

• Significant support for your church
  
• No immediate cost
  
• You retain the asset and its use
  
• May change at any time
  
• Leave a specific amount or percent
  
• Federal estate tax exempt

Any Amount or Percent

Easy

Make Will or Add Codicil

Communicate with your church:
First Presbyterian Church Annapolis MD

Retirement Accounts

In some cases, retirement plans can be the best asset for a donor to leave to your church. Retirement assets can be taxed up to 70% upon inheritance. Naming your church as the beneficiary can avoid that taxation as assets can pass tax free to charitable organizations. You may reserve lower taxed assets to bequest to your heirs.

• Significant support for your church
  
• No estate or income taxes for your church.
  
• Leaves other more favorably taxed assets to heirs.

Any Amount or Percent

Easy

Beneficiary Designation Form
from your plan administrator

Your advisor can help decide if this fits with your overall estate plan

Beneficiary Designations

Designate your church as a beneficiary of an account or policy. This is a simple and inexpensive way to remember your church in the future. Consider:

INVESTMENT ACCOUNTS
"TOD" or "Transfer on Death": At death this designation immediately moves designated investment securities to a new owner - your church if you wish.*

BANK ACCOUNTS
"POD" or "Payable on Death": transfers bank account assets to the POD beneficiary. You may wish to consider a bank account not needed by heirs - to benefit the your church.*

LIFE INSURANCE
If your insurance policy is no longer needed, you could simply change your church to be the primary beneficiary of the existing policy. If your loved ones still need the security of the policy, consider listing your church as a contingent beneficiary.*

• Meaningful support for your church.
  
• Retain complete control of the asset during your life.
  
• Change the designation any time.
  
• Beneficiary designations can be primary, secondary or congtingent, and they can be specific amounts or a percentage of the account.

Any Amount or Percent

Easy

Beneficiary Designation Form
from your Insurance or Financial Institution

* Check with your advisor to assure that this fits with your overall estate plan

Christian Estate Planning

What is your testament?

A Testament is your Preamble - a statement of your Christian faith in your will. It is a wonderful gift - an opportunity to leave your thoughts and parting words. In such a difficult time for your loved ones, this can be such a comfort and powerful re-assurance of your faith and belief in your witness of the resurrection. Your Preamble to your will can be as simple as your favorite Bible passage, a personal story or a quote.

This very emotional time for your loved ones makes an opportunity for your words of faith to be their most powerful. It may an opportunity for someone to further seek or renew their own relationship with God.

Personal Inventory Form

Personal Record and Inventory

When to change Will or Trust

You should consider reviewing and amending your will under the following circumstances:

• A move to another state
  
• Acquisition of real estate or other assets in another state
  
• The death of a named guardian
  
• Named executor unable to serve
  
• Children grown/independent
  
• Family changes: births, marriage, divorce, deaths
  
• Change in financial situation
  
• Change heirs' situation or their incapacity
  
• Change in tax law
  
• Update charitable interests