Planned giving is a unique way to support The American Institute of Stress and provides the promise of education, research and information that only AIS can provide. Bequeathing a portion of your estate to the institute can secure a gift for AIS in the future while not impacting your finances today. A variety of opportunities to give using assets, trusts, and bequests exist and the Development Office can support any wish to consider a gift in this way.
The Future Is What You Make It!
In considering your plans for this year and far into the future, you may not only be thinking about how to help your family and save on taxes, but also how you might benefit our charitable organization. Here are a few common comments and questions we receive and the opportunities they present.
“I read what the institution needs, but I’ll need all I’ve got to make it through the next few years, what with taxes, healthcare and nursing home costs eating up money.” Opportunity: Bequest of cash
” I would like to create a scholarship endowment in memory of my father, and I have a ranch the kids don’t want or need.” Opportunity: Bequest of real estate
” My husband and I have some low dividend-paying stock that’s grown in value; we would like to have a higher income from it and also help the institute with research and program development.” Opportunity: Charitable remainder gift annuity or charitable remainder trust
“What is the use of that old whole life insurance policy? It gave me a sense of security when my children were still at hime. But now my family’s gone, and I’m in good financial shape. Maybe the Institute could use it?” Opportunity: Name the Institute beneficiary and owner of the policy with paid premiums.
” I am recieving a ton of gas royalty income and getting taxed to death onit, but I would like to give my mineral interest to my grandkids down the road and fund better programs and initiatives for the Institute now.” Opportunity: Charitable lead trust
…honoring family and friends who have made planned gifts
In 2011, The American Institute of Stress announced the formation of the Hans Selye Society, dedicated to honoring those “family members” who have remembered AIS in their estate plans. While the type and the size of the planned gifts vary, we honor the spirit of giving.
Although a planned gift may provide significant tax savings to the donor, the majority of planned gift decisions are made out of devotion and commitment to AIS, rather than with regard to tax consequences.
Members of the Selye Society will receive a granite plaque acknowledging their gift which is suitable for placement at the memorial site.
There are many ways to make a planned gift to The American Institute of Stress. Some are very simple. Others are more complex. The following are only a few examples.
Gifts Through Your Will
AIS can be named as a beneficiary in your will in a variety of ways. If you already have a valid, up-to-date will, a codicil may be sufficient; it may not be necessary to rewrite your entire will.
Outright bequest: You can specify an outright gift of cash, securities, real estate or personal property. Another approach is to bequeath a certain fraction or percentage of your estate to AIS, rather than a fixed sum. This assures that your family’s and/or other beneficiaries portion of your estate remains intact.
Residual bequest: A residual bequest might provide that, after specific bequests are made to other named beneficiaries, AIS would receive the “residue” or the amount remaining in the estate.
Contingent bequest: A contingent bequest could provide that AIS would receive certain assets only if particular circumstances exist at a specified time. Example: AIS could receive your bequest only if your spouse does not survive you. This recognizes the need to first provide for the security of your family members.
Testamentary trust: This type of trust can provide income to a beneficiary for life, with the principal passing to AIS upon that person’s death. Conversely,AIS could be given the income from the trust for a certain number of years, with the principal passing to family members or beneficiaries after that time.
Retirement Plan Beneficiary
It is possible to give all or a percentage of your deferred compensation plan – (IRA, 401(k), 403(b) – or other retirement program funded with pre-tax dollars) to AIS. These types of funds pass “outside of probate” (meaning your will does not control their disposition. This type of gift can be made simply by designating AIS as a beneficiary on the form provided by the administrator of the plan. AIS can be named as either a primary or a contingent beneficiary. Under current tax law, deferred compensation plans are subject to several kinds of taxes – estate and income – which can amount to as much as 80% of the corpus of the plan. Gifts made to charitable organizations like AIS are not subject to any of these taxes.
You may choose to designate AIS as a beneficiary of a life insurance policy, whether acquired by you individually or provided by your employer. If income tax charitable deductions are a priority to you, it is important that you review current tax laws relating to the type of life insurance gift you select.
Charitable Remainder Unitrust
A charitable remainder unitrust allows the donor to make a substantial gift to AIS, yet continue to receive income from the assets contributed to the trust. At the time the trust is created, the donor gives instructions to the trustee to pay the income to the donor or another designated beneficiary(ies) for their life or a specified term of years. The donor may even decide, within limits, the rate of return on the trust’s assets. After the income payments to the donor and/or the other designated beneficiary(ies) terminate, AIS will receive the remainder of the assets in the trust.
Charitable Lead Trust
Under this arrangement, the donor transfers assets to a trustee who would then make payments of the trust’s income to AIS for a specified number of years, after which time the assets remaining in the trust would pass to the donor’s children, grandchildren or other beneficiaries.
Memorials and Honorariums
A memorial or honorary donation to The American Institute of Stress is a thoughtful way to commemorate a special occasion, pay tribute to a person who has made a difference in your life, or remember a loved one.
AIS recommends that you discuss with your attorney and/or financial advisor(s) the best method of making a planned gift. Your advisor(s) can help you identify gift options that best suit your financial goals and your family’s needs. The American Institute of Stress respects the desire to make a lasting gift to the institute as a very personal decision, and believes that every gift matters. Everyone can be a philanthropist at AIS.
Estate planning can be a time consuming task, but your investment in the process can be beneficial to your family and The American Institute of Stress. The institue’s Director of Development, would be happy to discuss planned giving opportunities with you and/or your advisors.
If you have already made AIS a part of your estate plans, the institute would appreciate learning of your plans for its future and honor you in the Hans Selye Society.
Contact us to discuss your planned giving.