Major & Planned Gifts

Trek Advancement

Philanthropy

To give away money is an easy matter, and in any man's power. But to decide to whom to give it, and how large and when, and for what purpose and how, is neither in every man's power-nor an easy matter. Hence it is that such excellence is rare, praiseworthy and noble."
-- Aristotle --

What's Important?

• Meaning
• Faith
• Legacy
• Growing great humans

What's Not Important?

• Conspicuous consumerism
• Online persona
• Comparison
• Envy/Resentment

Talking About Money

Abundance

• Money is a tool
• Money is generative, cyclical & replenishable
• Gratitude for what you have

Scarcity

• Money is difficult and divisive
• Money - There is never enough
• Money buys things

Principals of Abundance

• Every woman/man has a legacy
• Every woman/man is a philanthropist
• Every woman/man makes a difference

Our Passion

• With our time (work)
• With our talent (wisdom)
• With our treasure (wealth)

The Passion Question

Philanthropy is

What leads adults to philanthropy?


Gratitude
>
Empathy
>
Charity

How much cash?

Using Planned Gifts to Unlock the 93%

Options

• Give
• Give + Receive
• Give + Protect

Common Capacity Obstacles

• I wish I could do more, I don't have enough money to make a gift
• I have to support my child's/grandchild's educational needs
• It's not a good time to make a gift, I'm planning to...

GIVE

Bequests are made through a will or trust and dictate how an individual's property will be distributed at death.

Bequest Pros & Cons

• Easy to establish with minimal expense to donor
• Comfort of knowing bequest can be revoked if situations change

Bequest - Ideal Assets

• Any asset can be used

GIVE + RECEIVE

A charitable gift annuity is a contract between the donor and the non-profit organization that offers tax-advantaged income for life.

CGA - Pros & Cons

• Offers guaranteed lifetime income payments backed by the assets of the non-profit organization
• Often increases income the donor was receiving from the assets used to fund
• Eliminates capital gains taxes so the entire value of the appreciated asset can be used

Continued...

• Blended tax treatment of annuity income allows a portion to be treated as tax-free return of principal
• Age of beneficiaries determines the fixed value of income payments

CGA - Ideal Assets

• Cash
• Appreciated Securities

GIVE + PROTECT

Charitable lead trusts are a wealth-transfer gift that enables donors to provide for heirs while reducing gift and estate taxes. During the term of the trust, payments are made to fund the non-profit. These payments are fixed or based on a percentage of the trust's value. When the term ends the assets are transferred to heirs (or back to the donor in the case of a grantor trust).

Lead Trust Pros & Cons

• Allows donor to transfer to heirs a larger estate after taxes that would otherwise be possible
• Appreciation of assets is subject to capital gains taxes but not gift or estate taxes at termination
• Donor retains ability to act as trustee and oversee management of assets

Continued...

• In the case of a grantor trust the trust's annual income is taxable to the donor

Lead Trust - Ideal Assets

• Cash
• Appreciated Securities
• Real estate or other assets can be used to fund a lead trust, if the asset can generate sufficient income

Q & A