|
||||||||||||||||||||
|
|
Ways to GiveMaximizing Stewardship Using Charitable Gift AnnuitiesDid you know that it is possible to increase your present income by supporting abused and neglected children? As improbable as that may sound, it is possible through the use of a Charitable Gift Annuity. Are you retired, living on a fixed income and disappointed in the interest you are receiving from your CD investments? Then you will want to consider the benefits of owning a Charitable Gift Annuity. You will want to consider this opportunity to "Maximize Your Stewardship" because a Charitable Gift Annuity can increase your income while you are alive and then when you go to be with the Lord, it can benefit abused and neglected children at Missouri Baptist Children’s Home. Here is an example of how a Charitable Gift Annuity would benefit Ima Baptist. Ima is a 75-year-old widow who cannot afford to make a current gift to the Children’s Home because she is on a limited, fixed income. But Ima does plan to make a deferred gift through her estate plan. Ima has a $10,000 CD that currently pays her 3.2% which she wishes was higher. She could increase her income by using that $10,000 to purchase a Charitable Gift Annuity. That Gift Annuity would provide her an income for life and the amount of the income would be based on Ima’s age. For a person 75-years-old, the Gift Annuity would provide an annual annuity payment of 7.1% or $710. This is a significant increase over the income from her CD. But Ima will also receive two significant tax benefits not available through her CD. First, a portion of her annual income from the Gift Annuity (67.2%) will be TAX FREE until the year 2015 (her life expectancy). None of her CD interest is tax free. A second tax benefit from Ima’s Charitable Gift Annuity is that she will get a charitable tax deduction for a portion of the $10,000 she puts into the annuity. At her age, she will receive a charitable tax deduction of $4,081, which could save her as much as $612 in taxes since she is in the 15% tax bracket. Again, her CD offers NO charitable deduction. When you consider both the increase in income and the tax savings, Ima’s annuity is similar to receiving an 8.46% taxable return (significantly higher than the 3.2% she is now receiving from her CD). But perhaps the greatest benefit of all is that Ima knows that when she goes home to be with the Lord, whatever is left in her annuity will go to Missouri Baptist Children’s Home to help provide care for abused and neglected children and to help find homes for children who need "a place to find love." For more information and a calculation of benefits tailored specifically for your age and situation, call the MBCH Development Office at 1-800-264-6224. Pay Less State Tax While Helping Care for Hurting ChildrenOur donors have always loved the idea of "matching grants." These occur when a foundation pledges to "match" any gift a donor makes to our agency. Some foundations match 1-for-1. I know of another foundation that matches 2-for-1, which our donors really loved. Missouri’s Tax Credit Program has the effect of "matching" gifts that donors make to the ministry of the Children’s Home. A donor in the 10% tax bracket (who itemized deductions) can make a gift to the Children’s Home and receive back 66% of that gift in tax benefits from the state and federal governments. That means for a $100 gift, the donor only pays $34 of the gift after he receives his $66 tax refund for the gift. That’s like a 2-for-1 match. A donor in the $25% tax bracket (who itemized deductions) can make a gift to the Children’s Home and receive back 81% of the gift in tax benefits. That’s like a 4-for-1 match. A donor in the 35% tax bracket (who itemized deductions) can make a gift to the Children’s Home and receive back 91% of the gift in tax benefits. That’s like a 9-to-1 match – unbelievable! If you like to "Maximize Your Stewardship Opportunities" through "matching programs," then you are really going to love the opportunities presented by the Missouri Tax Credits available through Missouri Baptist Children’s Home. At first glance, this seems "too good to be true" and you know what your daddy taught you about things that seem "too good to be true." It might help you to know why the state of Missouri is offering these 50% tax credits. They are doing so to encourage people to support the ministry and services we provide. They offer this incentive because they know that if we don’t provide this service, they will have to provide it themselves. If they have to provide it, then they will have to pay for ALL of it instead of 50% of it. So it is cheaper for the state to encourage donors to "pay for" half the cost with charitable gifts, than to have the state responsible to pay for ALL of it with taxpayer’s money. I’d also like to think that the state understands that when it comes to this type of ministry and service, we at the Children’s Home "do it better and cheaper" than they can do it through a bureaucratic structure. For more information or application forms, call the development office at 1-800-264-6224. Cash GiftsCash gifts are one of the most popular ways of helping children in our care. Cash can be given easily and a receipt verifying your gift will be issued for tax purposes. We need people willing to give annual gifts and/or monthly gifts to provide for the on-going needs of our children. Read a Special Appeal for Our Children Gifts of Appreciable AssetsGifts of stock, bonds, real estate and other appreciated assets are regularly accepted and used by the ministries of MBCH. Memorial and/or Tribute GiftsThis is an excellent way of helping children in need while paying tribute to someone special. Memorial and Tribute gifts are recognized monthly in “The Messenger” – the newsletter of Missouri Baptist Children’s Home. Gift of Life InsuranceThe gift of a life insurance policy is a very affordable and popular method of giving. In-Kind GiftsThe MBCH Foundation accepts gifts of clothing, school supplies, personal hygiene supplies and other items used directly in our ministries. Our Campus Needs page provides a list of items specifically needed this month. We can also receive items such as used automobiles and convert them to either a usable asset or cash. Bequests by Will or TrustA testamentary gift can be made by including Missouri Baptist Children’s Home in a will or a revocable living trust. The bequest can be in the form of a specific dollar amount or a percent of the estate. The MBCH Foundation staff is available to help you with the establishment of your estate plans. Go to the Estate Planning page for more details on this type of gift. Life Income ArrangementsThe charitable remainder unitrust is an arrangement by which you permanently transfer property to a charitable trust. The trust then pays an income for the life of one or two beneficiaries (or for a term of years), after which the remainder of the trust assets (or income) goes to the charity of your choice. A gift annuity can similarly provide a life income while providing significant tax savings. For More InformationCall the MBCH Foundation at 1-800-264-6224 or e-mail development@mbch.org. | |||||||||||||||||||
|
________________________________________________________________________________ | ||||||||||||||||||||
