Planned Giving
Most of us would like to leave a lasting legacy- to feel that we have made a contribution that will benefit future generations. A planned gift with the Canton Symphony Orchestra allows donors the opportunity to share their dedication to quality music in Canton for many years to come, while providing numerous tax advantages and other benefits. Support can come in the form of outright gifts, deferred gifts and bequests.
TYPES OF DEFERRED GIFTS
Charitable Income Lead Trust
Charitable lead trusts involve the transfer specifying the income be paid to one or more charities for a term of years. At the end of the term, the remaining principal can revert to you or pass to an individual beneficiary, such as a child or grandchild. Your lead trust can be established during your life or in your will, and can be arranged so that estate and gift taxes are substantially reduced.
Retained Life Estate
These attractive gift arrangements allow you to transfer the title of your home or farm to the Canton Symphony Orchestra while retaining the right to live on the property and receive all its income. At your death, the property immediately becomes the possession of the Orchestra, avoiding the probate process. In addition, your estate may receive an estate tax deduction for the gift. If the transfer is made irrevocable during your life, a current income tax charitable deduction is available for you.
Charitable Gift Annuity
A Charitable gift annuity is a simple agreement that will benefit the Canton Symphony Orchestra. In exchange for your gift of cash or securities, you receive a fixed, guaranteed income rate for the rest of your life. Individuals or couples can establish gift annuities for a minimum amount of $5,000. In return for their gift, donors are assured income for life, an immediate tax deduction in the year the annuity is made, (with partial tax-favored income each year for the life expectancy of the beneficiary), and an excellent rate of return.
Deferred Payment Gift Annuity
Deferred payment gift annuities have all the outstanding features of regular gift annuities. The difference is that since the payments are scheduled for a future date, the annuity rate and tax deduction are even higher. Deferred gift annuities are a popular retirement planning alternative for those no longer eligible to make tax-deductible IRA contributions. There is no minimum age to establish a deferred annuity, but annuity payments cannot begin until at least age 60.
Charitable Remainder Trust
Charitable remainder trusts involve the irrevocable transfer of your property to a trust. In return, an income stream is paid (at least annually) to you and one or more beneficiaries for life or for a term of years. Income received is based either on a fixed sum each year (annuity trust) or a percentage of the trust’s assets valued annually (unitrust). The percentage will be set by you, the donor, and cannot be less than 5%. In addition to estate benefits, a charitable trust established during your lifetime provides an immediate income charitable deduction based on the beneficiary’s age and the percent of income that is paid to the beneficiary.
Wealth Replacement
An increasingly popular strategy with many donors, in effect, lets you “replace” in your estate the value of an asset you contribute to charity. Although its effectiveness depends on several factors, this plan can minimize or eliminate shrinkage of a donor’s estate.
Life Insurance
Gifts of life insurance allow you to give a gift larger than you might believe possible. You simply secure a policy in the usual manner and name the Canton Symphony Orchestra as the beneficiary and owner of the policy. Your annual premium, paid to the Orchestra, is tax-deductible. You may also receive a deduction or a gift of an existing policy.
For more information on any of these, please consult with your financial planner or call Tracy Jeffries, Director of Institutional Advancement, at 330-452-3434 ext. 607 or email tjeffries@cantonsymphony.org.
