Planned Gifts
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Planned gifts provide an individual with the opportunity to combine
their personal charitable interests with long-range financial
and estate planning while helping to ensure MSCC's future. There
are a variety of tools available for those who want to maximize
the value of their gift to both themselves and the MSCC Foundation.
Depending upon how they are structured, planned gifts can qualify
for a charitable deduction under the income tax or the estate
tax. Below we have outlined some of the more popular planned giving
options used by donors.
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Bequest
Perhaps the simplest of all planned gifts, a bequest allows
you to make a gift to Mid-South Community College Foundation
in your will. The bequest can be made as either a specific dollar
amount, a percentage of the estate, tangible items such as real
estate and securities, or through a residuary clause. You can
specify the designation or use of the proceeds. Because the
terms of a will can be changed, there is no immediate income
tax benefit from a bequest. However, bequests can help reduce
the tax levied on the donor's estate under current law.
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Life Estate
You may transfer a personal residence, a farm, or a vacation
home to the MSCC Foundation while retaining your right to live
there for the remainder of your (and your spouse's) life. The
donor continues to maintain the property, pay property taxes,
and insure the property. The Internal Revenue Service Code provides
a charitable deduction for a portion of the appraised fair market
value of the property at the time of the transfer.
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Life Insurance Policy
A gift of life insurance is a way for you to make a gift
to the MSCC Foundation at a relatively low cost. By naming Mid-South
Community College Foundation, Inc. as owner and irrevocable
beneficiary of a life insurance policy, a deduction can be taken
for the premium payments. You can also give a policy you already
own, or you may assign the dividends from the policy as a gift.
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Life Income Gifts
Life Income Gifts, like Charitable Remainder Trusts, are an
increasingly popular option for donors. With these tools, assets
are transferred (i.e. cash, securities, and/or real property)
to the MSCC Foundation and the Foundation will provide you with
income from the sale proceeds for your lifetime and that of
your spouse if desired. If the assets are appreciated, capital
gains taxes are avoided upon their sale. Upon death, the MSCC
Foundation receives the principal and utilizes the monies in
accordance with your wishes. Additionally, you will receive
an income tax deduction for a portion of your contribution.
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Retirement Accounts
The growth of the stock market over the past 20 years has resulted
in many individuals accruing significant assets in their retirement
funds. You can name the MSCC Foundation as a primary beneficiary
of a qualified retirement plan. At the death of the account
owner, the MSCC Foundation receives the residual from the account.
While there is no immediate income tax benefit, these plans
allow you to maintain full access to your assets. Any residual
passing to the MSCC Foundation will not be subject to income
taxes.
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