Increase the Impact of Your Philanthropy by Knowing What, How, and When to Give

"I wish I could do more"

We hear these words frequently. There are so many ways for friends to "do more" for our future – all that is required is careful planning. Gift planning is an art combining financial planning, estate planning, and tax planning techniques which enables people to make significant gifts while receiving dramatic tax and financial rewards.

People should consider fundamental questions before making an important gift:
            What do I give?
            How do I give?
            When do I give?
What special purpose my gift should accomplish?

Planning What to Give
Not surprisingly, different types of property produce different tax results. Consider highly appreciated securities. With stocks owned more than one year, donors can deduct not just their original cost, but also any "paper profit" present in the gift. Best of all, no capital gains taxes result from gifts of securities. Real estate, mutual funds, and other types of property offer similar advantages. Your heirs avoid income and death taxes if you leave "tax-burdened" assets, such as U.S. savings bonds and death benefits from retirement accounts to charities.

Planning How to Give
Some individuals support Minnewaska Home Development Foundation through bequests – gifts through wills or living trusts. You could make a gift that reserves lifetime income to you or a family member. We receive the same benefit as if you had made a bequest, but you are entitled to charitable deductions and other tax benefits today. Many people prefer the simplicity of an immediate gift of cash or property. Simply by tailoring the form of your gift to fit your personal situation, you can maximize tax benefits, maintain your financial security, and make a truly meaningful contribution.

Planning When to Give
Many people make their gifts at year-end to receive important tax deductions. Others find charitable contributions most helpful in years when they have a large influx of taxable income from a bonus, sale of a business or successful investment, or inheritance of taxable assets such as savings bonds or IRAs. You can receive large deductions even if you retain lifetime income from your gift. In general, the most practical time to make significant gifts is through your estate plan by means of a will, living trust, or beneficiary designation on a life insurance policy or retirement account. Such gifts remain revocable while you are alive and may save significantly on estate taxes.

Planning the Purpose of Your Gift
Carefully plan your support to assure your personal satisfaction. You can establish your gift as a memorial to a loved one or special friend. You may earmark your gift for a particular program or purpose, or simply direct that your gift be applied wherever the need is greatest.

Minnewaska Home Development Foundation sincerely invites you to explore the many sides of your own planned giving and discover the meaning your personal philanthropy can have for both you and our future!

Gift Through Your Estate
Most people want to make their mark on the world – to leave the earth a better place. Your contributions to our future make a statement about your thoughtfulness. Why not continue that support through your estate plan?

Consider a bequest. Your will can direct gifts to us of a particular item, dollar amount, or percentage of your estate. Gifts can be made contingently (passing to us only if another beneficiary dies before you) or placed in trust, providing income to your spouse or children before passing to us.

Giving life insurance. You can name Minnewaska Home Development Foundation as the beneficiary of a policy on your life or contribute an old policy you no longer need, resulting in excellent tax savings.

Leave bank accounts. Ask your account manager how savings or checking accounts, C.D.s or other financial accounts can be made payable to us upon your death.

Include us as a beneficiary of your revocable living trust.

Leave tax-burdened property. Your estate can save both income and estate taxes if you make Minnewaska Home Development Foundation the beneficiary of part or all of your IRA or other retirement account. Family members may keep as few as 30 cents on the dollar, after taxes, from these assets. U.S. savings bonds also make tax-wise bequests.

Timing Can Be Everything
The art of gifting can often be a matter of seizing opportunities and acting at just the right time. Please call your tax/financial advisor or attorney before you:

  • Sell investments at a profit
  • Make or amend your will or establish a living trust
  • Sell your business
  • Roll over low-interest C.D.s or bonds at maturity
  • Name beneficiaries for pension plans or life insurance

Please contact us:
Minnewaska Community Health Services
(320) 239-2217

The information provided is not intended as legal, tax, or investment advice. Please consult an attorney, tax or financial planning professional for questions specific to your financial situation.

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