Planned Giving

The ABCs of Planned Gifts

A planned gift, as its name suggests, requires planning, and that planning is usually tax planning. The term includes several types of gifts, one of which is the donation of an asset in exchange for an income, usually provided after the asset is put into a charitable trust. At some point, not necessarily immediately, a charitable organization like the American Rescue Workers receives the asset. In other words, the donor parts with the asset today to receive the income and tax benefits, while the actual gift of the asset to the American Rescue Workers is deferred for a period of time, often the lifetime of the donor.

Planned Gifts That Pay

In the context we have established here, a planned gift can include a "life income gift" because you receive an income from the donated assets, in many cases for the rest of your life. Here are two types of life income gifts:

• Charitable Remainder Annuity Trust

  You place assets into a trust (usually a minimum of $100,000) from which you receive a life income at a fixed amount. After your lifetime, and the lifetime of a surviving beneficiary, if desired, the trust remainder goes to the American Rescue Workers.

• Charitable Remainder Uni-trust

  This works like an annuity trust, except that the income you receive varies each year based on a set percentage of the value of the trust assets, re-determined each year.

Consult the Experts

The use of gift planning techniques has grown dramatically over the past 20 years, benefiting thousands of charitable organizations. Each type of planned gift carries its own complexities, which are best negotiated by an experienced professional. Please contact your lawyer or tax planner for more information on this wonderful way to leave a legacy to others.

As a 501(c)(3), The American Rescue Workers is a viable charitable organization that you can leave your estate or a portion of your estate to. More information on this practice is planned for the future on this site. However, you may speak with your lawyer and/or financial planner on the various options available for you when you would like to donate to the American Rescue Workers in this manner.