What is a planned gift?
By planned gift, we usually mean any contribution that affects the donor’s estate plan. This can include anything from outright cash to an asset donation.

What are the most common planned gifts?
The most common planned gifts are will and trust bequests, charitable gift annuities, charitable remainder trusts, and life insurance policies.

What is a bequest?
A bequest is any gift you pass on through your will or trust. Creating a will or trust enables you to designate what will happen to your property upon death. You will owe less in estate and inheritance taxes with a will. But without one, even your spouse and children may not receive what you intended for them!

What is a charitable gift annuity?
A charitable gift annuity is a contract through which a donor permanently transfers ownership of at least $10,000 in cash, securities, property, or other assets to a not-for-profit organization such as The School Sisters of Notre Dame of St. Louis. In exchange for this gift, the donor enjoys a substantial tax deduction plus guaranteed, fixed, annual income for life and a reduction on the claim for ordinary income.

The annual payment percentage rate is based on the donor’s age at the time of the gift, and the annuity may begin immediately or be deferred until a later time.

With a charitable gift annuity, the donor may name a secondary beneficiary (upon the death of the donor) who would begin receiving the annuity for life.

Can you explain the charitable remainder trust?
A charitable remainder trust is an irrevocable agreement in which a donor names a charitable organization to receive the remainder of a trust upon the death of the last income beneficiary. The donor retains an interest in the trust for life or for a specified number of years.

This charitable gift provides significant tax benefits, as well as lifelong annual income to the donor and/or other beneficiaries.

A donor incurs no capital gains tax when appreciated property (used to fund the trust) is transferred to The School Sisters of Notre Dame of St. Louis. With a charitable remainder trust, no gift tax is assessed and estate taxes are reduced or eliminated.

We have little disposable income. Is there any way to make a significant gift to a charity such as The School Sisters of Notre Dame?
Yes. A number of generous friends in similar circumstances have named The School Sisters of Notre Dame of St. Louis as the beneficiary of a new, existing or paid-up life insurance policy.

The donor receives a tax deduction for the value of the paid-up policy. If the policy is not paid up, the donor receives a tax deduction for the amount of the annual payments.