Stephen, who recently passed away, had an estate valued at approximately $700,000, with $100,000 of it in an IRA. When he was planning his estate, he knew he wanted to make a significant charitable gift at his death, and leave everything else to his two children.
How did gift planning help Stephen with these two goals?
Cynthia and Philip, both retired professors, are married and still in love after all these years. They have a combined wealth of approximately $1 million, and each recieve Social Security and a pension.
Russell and Kathryn are 60 and 59 years old, respectively, and have no children. Russell is a doctor, and Kathryn does not work outside of the home. They are deeply committed to their favorite charity and would like to make a significant gift.
See why it is often WAY better for a donor to testamentary gift of a retirement fund as opposed to making a simple bequest.
WHO: One could be excused for thinking that donors of limited means would be the only sort to donate tangible property, but in fact virtually any donor is a prospect for in-kind gifts. Some examples:
Acceptance of an in-kind gift imposes a legal obligation on your organization: You have to comply with the terms established by the donor. As such, it's in your interest to be certain that the nature and extent of all obligations are clearly understood by both parties and are established in writing.
Questions to answer before you accept an in-kind gift:
Early in any conversation with a potential donor about an in-kind gift, make certain the tangible personal property they are considering as a gift is an item that can be used in the course of your organization's business.