The most common way to make an immediate gift is by writing a check. This type of cash gift provides immediate liquidity for us and generates a charitable income tax deduction for you, the donor, in the year of the gift.
Another immediate way to give is by making a gift online. Make a donation now using your credit card.
Giving stocks or bonds may provide greater tax benefits. If you have owned securities for more than one year and the fair market value has increased since you purchased them, you can avoid capital gains tax and receive a charitable income tax deduction equal to the fair market value.
A gift of real estate that has been held for more than a year also has the advantage of providing you with a charitable deduction based on the current fair market value, as well as bypassing capital gains tax on the appreciation.
Selected artwork, books and antiques are examples of gifts of personal property that can, in certain situations, be an appropriate gift. However, to ensure that any tangible personal property qualifies for a favorable tax deduction, please contact the HCC Foundation office prior to making a gift.
Sometimes called deferred gifts, the term planned gifts refers to specific strategies that (in most cases) benefit charity at some point in the future while offering immediate benefits to the donor.
The gift of a paid-up life insurance policy is a good example. By designating the HCC Foundation as owner and beneficiary of such a policy, you will receive a charitable income tax deduction that, in most cases, is equal to your cost basis in the policy.
Gifts That Generate Income for You
The benefits of planning compound when you utilize one of a number of strategies that generate income as well as provide a number of other attractive benefits.
The Gift Annuity is a great example of how a gift generates income for the donor. This is actually a contract between a donor and a charity that is part gift and part annuity. In addition to the annuity payment, the donor receives a charitable income tax deduction and a portion of each annuity payment may be tax free.
The Deferred Payment Gift Annuity in which annuity payments are delayed for a number of years, offers rates that make it an attractive supplement to retirement income.
The Charitable Remainder Trust is perhaps the most versatile charitable giving tool. With the CRT, it is possible to bypass capital gains on tax on the sale of highly appreciated assets, generate an increase inincome, receive an attractive charitable income tax deduction, and fulfill your philanthropic objectives.
The CRT is a legal trust that can be constructed to produce a predicable annuity payment each year or take advantageof investment growth opportunities with income payments based on a growing trust principal.
If you would like more information on the strategies discussed here, or any other planning option, please feel free to contact the HCC Foundation office.
Next to writing a check, a bequest may be one of the easiest and most meaningful way to provide for Highland’s future. A bequest is a gift made through your estate. It may be directed by will or through an outright trust disbursement. It may be a specific dollar amount, a percentage of the estate, or a remainder of the estate, after other distributions have been made. You may also choose to restrict the bequest or designate it for purposes to be identified by the College Trustees and Foundation Board of Directors.