When you provide financially for the Children's Home, the interests and well-being of deserving children, youth and families are addressed in vital Christian ministry. Through this Home, the influences of God's tender mercies and noble human compassion powerfully combine and intervene to lasting benefit, preserving and transforming life.
The Charitable Gift Annuity is a combination of a gift to charity and an annuity. For senior persons, the annuity rates may be 8%, 9% or even higher. Since a portion of the annuity payment is tax free return of principle, the gift annuity may provide the donor with a very substantial income. The combination of partially tax free income and the initial charitible deduction makes this agreement quite attractive.
For more information about a charitable gift annuity, please contact the Financial Development Office.
A Charitable Remainder Unitrust, is an irrevocable trust with percentage of return agreed on in the beginning which does not change. The donor recieves a percentage of the current value each year.
In other words, the assets in the trust are revalued each year, and the donor recieves a fixed percentage of the value for that year. The payments could go up or down, depending on how well the trust investments produce. If invested prudently a unitrust can provide a hedge against inflation.
The income arrangement can be for two lives in which case the income would be payable for as long as either shall live.
The unitrust is an ideal method for the tax free reinvestment of appreciated assets. First, the donor transfers the property to the trustee. Since the trust is tax exempt, the trustee can sell the assets, reinvest the sale proceeds and bypass the capital gains tax. Usually, the trustee is able to reinvest in a much higher yeild investment and greatly increse the yield on the trust assets. Finally, in the year that the trust is funded, the donor recieves a current income tax deduction based upon U.S. Treasury tables.
When an individual wants to make a large gift, but also needs to keep a reserve fund in case of an unforseen financial setback or emergency, the Revocable Living Trust may be the answer.
You can make the gift you want to make, recieve the income from the trust for yourself or someone else you designate, and at your death whatever remains in the trust becomes a gift to the Florida United Methodist Children's Home. In the meantime, if you need part or all of your gift back, you simply ask for it. It's yours, no questions asked.
The amount that eventually goes to the Children's Home is completely deductible from estate taxes, and, because its a trust, some estate settlement costs may also be saved. However, since the gift is revocable there are no income tax deductions.
Securities can be especially effective gifts because of tax advantages.
Securities (including stocks, bonds, and mutual funds) are considered long-term if they have been held longer than six months. These are the securities that have the best tax benefits when given to the Florida United Children's Home.
Securities can be given to the Children's Home in exchange for a life income arrangement either as a Charitable Remainder Unitrust or Gift Annuity program.
A bequest is a gift by will and is an ideal way to continue helping the Florida United Children's Home. Your bequest to the Children's Home can be for:
1. A specific dollar amount.
2. A percent of the Estate.
3. The residue of the Estate after other bequests.
4. A specific dollar amount or percent plus part
or all of the residue.
5. A fixed life income to a loved one(s) with
residual to the Children's Home
6. A fixed monthly income to the Children's
Home for a specific number of years with
the residue to the family or another
charitable organization.
