| Your
Help... Estate Planning |
Have you made
plans for the rest of the week? For the next month? For the next
year? As we look further into the future, planning our lives naturally
becomes more challenging. This is one reason many people put off
making long-term provisions that could help assure greater financial
security for themselves and their loved ones.
In the absence of a valid will and/or other basic provisions, state
laws will automatically distribute your assets without regard to
what your wishes may have been. We can share some simple guidelines
for taking charge of the planning process for your benefit and for
the well-being of your family and other loved ones.
The
Salvation Army is a worldwide organization committed to serving people,
changing one life at a time. Our diverse ministries attract a wide
variety of participants and supporters, from single parents needing
help to dedicated volunteers seeking meaningful outlets for service
to philanthropists and charitable foundations wanting to contribute
to their community.
Your
Will
One of the simplest
planned gifts is a bequest through your will in which you designate
either a specific dollar amount or a percentage of your estate after
other disbursements. In addition to supporting The Salvation Army,
it serves as an example to your heirs of the values and ideals you
hold dear. A bequest also can reduce the amount of your taxable
estate, which may increase the actual amount available to loved
ones.
Is your will
a vigorous up-to-date, contemporary planning tool that is ready
for duty when the time comes? Your will needs regular review and
updating to eliminate needless confusion and expense for surviving
family members. Below are 14 events that usually require a modification
of your will:
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- Birth
of a child or grandchild
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- A child
reaching adulthood
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- Increases
in the value of your assets
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- Acquisition
of new assets by gift or inheritance
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- Giving
away or selling assets mentioned in your will
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- Death
of a beneficiary named in your will
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- Changes
in the needs of your beneficiaries
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- An
executor or trustee dies, moves or becomes disabled
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- You
move to a different state
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- Purchase
or sale of real estate
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- You
decide to make additional bequests, such as a gift for the
future support of our program
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You should take
time at least once a year to review your will to assure that it
is up to date with your current needs and circumstances. Ask your
lawyer to review your will every two or three years to make sure
any changes in the state or federal laws are incorporated.
When you review
your will we hope you'll consider one more satisfying change: a
thoughtful bequest for our future. We can provide the correct legal
name and other information along with ideas for planning your bequest.
For information
on updating your will or living trust, please contact our Planned
Giving Department at 414-302-4300.
Charitable
Gift Annuities
A gift annuity is an agreement between you and The
Salvation Army. In exchange for your irrevocable gift, The Salvation
Army pays a fixed dollar amount during your life and/or the life
of a designated loved one. The amount you receive is determined
by the size of your gift, your age and the age of your beneficiary.
Your income is guaranteed, regardless of market fluctuation. A major
portion of your income is a tax-exempt return of principal and the
income may be deferred until a later time as part of your retirement
plan.
To encourage gifts to schools, churches, hospitals,
community foundations and other public charities, the federal government
gives tax benefits to those who transfer money or securities in
exchange for a charity's agreement to pay the donor (and survivor
beneficiary, if desired) a fixed income for life. A charitable gift
annuity pays you a guaranteed income for life with no investment
worries or responsibilities. You receive an attractive rate of return
and you have the pleasure of making a meaningful charitable gift.
Contact our Planned Giving Department for additional details and
information.
For
information on charitable gift annuities, please contact our Planned
Giving Department at 414-302-4300.
Planned
Gifts
A planned gift is arranged by you legally during
your lifetime. The principal benefits accrue to The Salvation Army
at a later time, after your death or the death of your last named
beneficiary. Planned gifts take many forms, providing additional
income for you and/or your heirs, reducing income and estate taxes,
relieving you and your heirs of complicated financial management
responsibilities and helping to fulfill your personal, humanitarian
and charitable objectives. Planned gifts can be made in cash, real
estate, stocks, bonds, personal property or life insurance.
Charitable Remainder Trust:
A charitable trust transfers ownership and management of cash and/or
appreciated securities to The Salvation Army. The Army manages the
trust and pays income to you for the remainder of your life and/or
the life of another beneficiary. An annuity trust provides a fixed
annual income for those wanting consistent, predictable payments.
A unitrust pays a variable return based on market changes, providing
an effective hedge against inflation.
Pooled Income Fund:
A pooled income fund is a trust designed to provide variable yet
reliable income. Like a commercial mutual fund, it combines your
gift with the contributions of other fund participants, wisely investing
the sum for a balance of income and growth. Dividends are paid to
the shareholders in proportion to each person's contribution. Your
donation results in a tax deduction for the year your gift was made,
elimination of capital gains tax if you invest appreciated securities,
and reduction of estate taxes for your heirs.
Life Insurance:
Contributions of life insurance can provide a substantial gift to
The Salvation Army. The value of an ordinary policy at the time
of the gift is tax deductible. If you continue paying the premiums,
they also are deductible as charitable contributions. If a paid-up
policy is given, the cost of purchasing a new paid-up policy at
your current age is the value of the charitable deduction.
Hometown Endowment:
A hometown endowment is a perpetual gift that can be designated
for a specific Salvation Army location or program. The original
gift remains intact, and the income is used toward the designated
area of service. An endowment can be established in memory of a
loved one or a donation can be added to an existing fund that will
contribute to your local community indefinitely.
Begin Planning
Salvation Army planned giving advisors are professionals with many
years of experience in estate and gift planning who care about your
goals and plans. They will work with your attorney or accountant
to explain the many gift opportunities available to you and the
financial advantages of each. For
more information regarding the difference you can make with your
donation, please call us at (920) 497-7053. |
