Ways to Give

The goal of planned giving is to fulfill your philanthropic wishes in coordination with your overall financial and estate planning. Whether you remember a charity or organization in your will or retirement plan, establish a gift that also provides income to you, or give appreciated stock, you ensure that the charities you care about receive the funds they need well into the future.

Ways to Give to Planned Giving

Outright Gifts

These charitable gifts include cash, securities, real estate, life insurance and personal property. A cash gift is a simple and easy way for you to support your favorite causes and charities by contributing to or establishing your own fund at Akron Community Foundation.

Form of Gift:

  • Securities
  • Real Estate
  • Life Insurance
  • Personal Property

Size of Gift:

  • Unlimited

Advantages:

  • Gifts can be deductible for income tax
  • Avoid capital gains tax

Bequest by Will/Living Trust

With thoughtful planning, you can leave a meaningful legacy to a favorite charity or organization. A popular way to make a legacy gift is through a will or trust. Your gift can support a beloved charity, augment your current giving, or may even be used to establish an endowment fund.

Form of Gift:

  • Home
  • Cash
  • Securities

Size of Gift:

  • Unlimited

Advantages:

  • Use of assets during your lifetime
  • Life income gifts and lead trusts may be made in testamentary form
  • Enables significant future gift
  • Simplicity: Designate ACF as beneficiary in will or living trust
  • Modifying your plans if your needs change

IRA Rollover

If you’re 70 ½ or older and don’t need your IRA distributions for your income, a rollover directly to Akron Community Foundation can be an excellent way for you to make a charitable gift. By sending the funds directly to charity, your benefit is two-fold – you can avoid paying the usual taxes while also satisfying your required minimum distributions.

Leave Your Retirement Assets to Akron Community Foundation

Did you know that 60%-65% of your retirement assets may be taxed if you leave them to your heirs at your death? Another option is to leave your heirs assets that receive a step up in basis, such as real estate and stock, and give the retirement assets to Akron Community Foundation. As a charity, we are not taxed upon receiving an IRA or other retirement plan assets.

Form of Gift:

  • IRA distribution

Size of Gift:

  • $100,000 max/year ($200,000 max/year for married couples)

Advantages:

  • Avoiding tax on the distribution
  • Making a gift that is not subject to the deduction limits on charitable gifts
  • Giving back to your favorite charities through one of five types of charitable funds (sorry, the IRS does not permit charitable IRA rollovers to donor-advised funds)

Life Income Gifts (Irrevocable) – Charitable Gift Annuities (CGA’s)

A charitable gift annuity enables you to make a gift to your favorite charity and receive fixed payments for life in return. The payments may begin immediately or may be deferred to a future date you choose. The terms of the charitable gift annuity arrangement are set forth in a contract signed by you and the charity. The arrangement terminates upon your death, at which point the designated charity will use the remaining funds.

Form of Gift:

  • Securities
  • Cash
  • Life Insurance

Size of Gift:

  • $10,000 minimum
  • No maximum

Advantages:

  • Simple to establish – no set-up costs
  • Fixed payments for one or two lives
  • Payments guaranteed by ACF
  • Tax deduction when gift is made
  • Reduced, prorated capital gains tax on gift of appreciated property
  • Permits deferred payment schedule, if desired
  • Cannot add to, but easy to set up additional gift annuities

Life Income Gifts (Irrevocable) – Charitable Remainder Unitrusts (CRUT)

A charitable remainder unitrust is a tax-exempt irrevocable trust designed to reduce your taxable income. It accomplishes this firstly by dispersing income to the beneficiaries of the trust for a specified time period. Secondly, the remainder of the trust is donated to the designated charity. This is a “split interest” giving vehicle that allows you to make contributions, be eligible for a partial tax deduction, and donate remaining assets.

Form of Gift:

  • Securities
  • Cash

Size of Gift:

  • $300,000 recommended minimum

Advantages:

  • Payout percentage negotiated by donor at trust formation
  • Can be tailored to donor’s situation
  • Can provide income to one or more noncharitable beneficiaries
  • Can be for life or term of years (up to 20)
  • Tax deduction in year gift is made
  • Permits deferred income if desired
  • Excellent for gifts of real estate
  • Can make additional contributions to trust
  • No capital gains tax on gift of appreciated property

Life Income Gifts (Irrevocable) – Charitable Remainder Annuity Trusts (CRAT)

A charitable remainder annuity trust is a type of gift transaction in which you contribute assets to a charitable trust. The trust pays an annuity designed to leave a substantial proportion of the funds to charity upon termination of the annuity.

Form of Gift:

  • Securities
  • Cash

Size of Gift:

  • $300,000 recommended minimum

Advantages:

  • Payout percentage negotiated by donor at trust formation
  • Can be tailored to donor’s situation
  • Can provide income to one or more noncharitable beneficiaries
  • Can be for life or term of years (up to 20)
  • Tax deduction in year gift is made
  • Permits deferred income if desired
  • Excellent for gifts of real estate
  • Cannot make additional contributions
  • No capital gains tax on gift of appreciated property
  • Fixed income established by donor at trust formation

Charitable Lead Trusts

A charitable lead trust is an irrevocable trust designed to provide financial support to one or more charities for a set amount of time. After that period has expired, the balance of the trust is then paid out to the beneficiary. This results in a reduction of taxes owed by the beneficiary upon inheritance of the remaining balance. It also provides other potential tax benefits such an income tax deduction for charitable donations and savings on estate and gift taxes.

Form of Gift:

  • Securities
  • Cash
  • Real Estate

Size of Gift:

  • Usually over $500,000 minimum; sometimes $300,000 minimum

Advantages:

  • Allows property to be passed to others with little or no shrinkage due to taxes

Insurance Policies

A gift of your life insurance policy is an excellent way to support your favorite causes and charities through Akron Community Foundation.
If your life insurance policy is no longer needed or will no longer benefit your survivors, consider using it to establish or support your charitable fund at Akron Community Foundation, which will continue giving back in your name forever.

Gift of Life Insurance Today

Did you know that you can give your life insurance policy to Akron Community Foundation today and receive a charitable income tax deduction? You can also make deductible contributions to Akron Community Foundation each year that we may use to pay the premiums. Your fund benefits from the proceeds of your policy.


Designate Akron Community Foundation as a Beneficiary

You can also designate Akron Community Foundation as the beneficiary of your life insurance policy. You will continue to own and can make use of the policy during your lifetime. The policy will be included in your taxable estate when you pass away, but your estate will benefit from an estate tax charitable deduction for the value of the gift to us.

Advantages:

  • Receive an income tax deduction for the value of policy when transferred
  • Ongoing gifts to charity deductible; charity pays premium
  • Make a large gift in future at a small cost now

Size of Gift:

  • Unlimited

Giving paid-up policies

Advantages:

  • Tax deduction based on current value of policy

Size of Gift:

  • Unlimited

ACF as beneficiary but not owner

Advantages:

  • Enables you to make large future gift at small cost
  • You may change beneficiary later
  • You may borrow on policy

Size of Gift:

  • Unlimited

You might also be interested in:

  1. What is Planned Giving?
  2. How We Can Help
  3. Planned Giving FAQs
Margaret Medzie
Margaret Medzie Vice President and Chief Development Officer
Call me at 330-436-5610 or email me
Interested in Starting a Conversation?

Together, we can create a strategic plan for your charitable giving.