Planned Gifts

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Disclaimer

**The information contained on this website is intended only as a general discussion of charitable giving opportunities.  Individual circumstances will vary and are subject to sometimes complicated state and federal law.  You should consult with legal counsel, tax advisor, and financial advisor.  Gifts are subject to the approval of the Evangelical Presbyterian Church Foundation.

  PresentPlanned Gifts

With a Life Income Plan, the EPC Foundation pays you an income for life.  The Foundation offers two types of Life Income Plans. They are known as a Charitable Gift Annuity and a Charitable Remainder Trust (of which there are many types and variations).  We can offer you and your heirs the benefits of combining effective Christian stewardship with sensible tax planning and ensure an income stream for life. 

Many people establish a life income gift just before they retire so that they can utilize the charitable tax deduction during their highest earning years.  Other benefits include the ability to convert low or non-income producing assets into a gift with an attractive income stream.  Also, there are additional savings on income, capital gains, gift and/or estate tax depending on each situation.

A Life Income Plan can also help you diversify your assets.  If you are heavily invested in one type of stock, bond or mutual fund planned giving can help.  You can make a gift of that investment to a Life Income Plan, eliminate or reduce the capital gains tax, potentially diversify your investments, take a tax deduction for a portion of your gift and benefit your church or a ministry of the Evangelical Presbyterian Church. 

Charitable Gift Annuity

A Charitable Gift Annuity allows a donor to give an asset in exchange for a fixed payment to one or two individuals over their lifetime.  The payments may be received monthly, quarterly, or annually.  The idea behind a gift annuity is to provide some amount of income to the donor for life and providing the left over value of the assets to the charity.  Because a charitable gift annuity is a "gift", the interest rate provided is not more favorable than that provided commercially.  Many charitable organizations utilize interest rates suggested by the American Council on Gift Annuities.  These interest rates are designed the estimated intent of providing an average residual or gift to the charity of 50% of the amount originally donated.  Payments received from the Charitable Gift Annuity may be subject to income tax at a combination of capital gains rates and ordinary income rates.

Charitable Remainder Trust

Nest Egg 2One of the most efficient and creative strategies that can be used in the estate planning process is the charitable remainder trust.  What makes the charitable trust so unique is its flexibility in meeting a wide variety of individual and family needs.

This irrevocable trust provides a fixed or variable income to you, your spouse or other family members over a specific term of years or for life.  The trust then distributes the remaining trust assets after your death to your favorite Christian ministries.  The distinguishing characteristic is that the remainder beneficiary must be a charitable organization.  It may be your local church, designated to a specific project within the Evangelical Presbyterian Church, or another Christian ministry.

What are the Advantages of a Charitable Remainder Trust?
  • You will receive an immediate income-tax deduction for the value of the charity's remainder interest.
  • You will receive annual income payments for the life of one or two individuals.
  • You may defer capital-gains tax if you fund the trust with appreciated assets.
  • You will have the privilege of knowing that you have provided for the training and development of future leaders within the Evangelical Presbyterian Church and sustained the vision, outreach and evangelism in your local church.

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What Do I Do Next?

The Evangelical Presbyterian Foundation can show you how to develop a good plan and make wise decisions for yourself, your family and the ministries that you care about the most.  To find out more, simply fill out the Estate Information Worksheet and return your Worksheet to our office. We will assist you with any special concerns you may have.  Your inquiry will be kept strictly confidential and places you under no obligation.  We will review your information and provide you with assistance.  Certain minimum gift amounts may apply in order to make this strategy economically feasible, or certain minimum gift amounts may apply depending upon the type of asset given (e.g. real estate).

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Donor - Advised Fund

The Evangelical Presbyterian Foundation can facilitate permanent charitable funds that will help you meet the ministry needs and challenges that are important to you and your family.  You make requests for distributions from your fund for grants to the various ministries and churches that are important to you .  With the EPC Donor - Advised Fund you can now transfer your gift of one appreciated asset and benefit your church as well as a multitude of Christian organizations.  

The EPC Donor - Advised Fund not only simplifies your giving, it also offers you many tax advantages and the full deductibility of your contributions.  Most of all, the Fund provides you with the personal fulfillment of knowing that your financial resources are helping meet critical ministry needs  and advancingthe Gospel.

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Simple Will and Revocable Trusts

GrandparentsEvery Christian believer has the desire to leave spiritual values with children, family and friends.  All of us want to be remembered when we leave this earth.  It is important for us to have lived a life filled with spiritual character qualities that can be passed on to the next generation.  Leaving a spiritual legacy takes a lifetime of sharing family traditions and biblical wisdom to your children, family members and even church members.  Your legacy also includes passing on special skills, knowledge and even your possessions to your family, friends, church and Christian ministries.  For many Christians, establishing or even reviewing your legacy plans is something we know we should do but somehow we manage to always postpone until a more convenient time. 

For others, estate planning is a sensitive issue.  Some people even refuse to discuss it, not wanting to make any specific plans and decisions.  In that situation, your estate may pass to people you don't intend or to people you intend but not in the amount you thought they would receive.  There is no law that says you have to have a will or other estate plans.  But there are laws that dictate what happens to your property if you don't.  Also, you may want to consider the amount of taxes that the government may take from your estate if there is no planning involved. 

On average, only one in four people over age 60 years have a current will.  One of the first things you can do is to learn more about the basics of estate planning.  Here are some ideas:

  • Take some time with an attorney or trusted financial advisor
  • Attend an estate planning seminar in your community
  • Read several good books regarding wills, trusts and estate planning

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Simple Will

Why do I need a Will?

A will is one of the most important documents that you will ever sign.   It allows you and your family to keep your assets titled in your name throughout your life while creating a plan for distribution after your death.  In addition, you are allowed to nominate the persons who will be responsible for handling your estate and who will serve as guardians of your minor children.  A will lets you direct precisely who will receive your property while also expressing your desire to leave a gift to your church or a Christian ministry of your choice.

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What are the Advantages of a Will?
  • It will provide a clear blueprint for your family. A simple will provides a clear blueprint for your loved ones.  It allows your family to understand your wishes and values.  It provides precisely your distribution plans for your family and the ministries that you care about most.

  • You can appoint your own executor. A will goes into effect only upon your death.  You retain ownership and control of your property until that time.  The personal representative or executor that you appoint through your will takes care of all of your estate details, including all distributions to spouse, family members and the ministries of your choice.

  • It protects your family. Through a will you may appoint a personal guardian to care for your minor children and even a corporate trustee to manage their financial affairs.  A will can also protect your spouse and children by creating a trust that provides income to them for the rest of their lives.  Furthermore, a will must go through the probate court system.  One of the advantages of probate is that the court can resolve any disputes involving your estate, especially when first and second marriages and other challenges may arise.  Also, establishing a will is neither difficult nor expensive, especially when you consider how much your plans can add to the security and well-being of your family and support the ministries that you care about the most.
Should I Consider a Living Will?

Yes, there are three distinct personal care forms that are very important documents that should be added to your will.

1: Living Will
A living will is a simple directive by you, in writing, as to the instructions for your life-sustaining treatment. It is limited to those quality of life issues where you have a terminal medical condition and death is imminent

2: Power of Attorney for Health Care
A health care surrogate allows you to designate another individual to act on your behalf with respect to your medical and personal care decisions in the event you suffer from incapacity or long-term incompetence.

3: Durable Power of Attorney
A durable power of attorney allows you to designate another individual to act on your behalf with respect to your legal and financial matters in the event you suffer from incapacity or long-term incompetence.

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Revocable Living Trust

A trust is a legal document in which an owner transfers legal title to certain property and assets to another party, called a trustee.  The trustee holds the property and assets for the benefit of the owner and/or another individual, called a beneficiary.  The terms and conditions under which the property and assets are held by the trustee are set forth in a written document, called a trust. A trust can provide for one's own future care, support a surviving spouse or children.  With a revocable trust, usually called a Living Trust, the owner reserves the right to control the property and assets of the trust and change the terms of the trust at any time.  If a trust is irrevocable, the owner gives up the rights to the trust assets and cannot change the terms of the trust.

The Advantages of a Revocable Living Trust

A properly established trust can be used to:

1.  Manage and protect your property and assets during your lifetime.

2.  Provide continuity in the management of your affairs after your death, disability or incapacitation

3.  Control how and when your assets and charitable gifts are distributed

4.  Avoid the stress, costs, delays and publicity of probate court

5.  Provide privacy and confidentiality in the handling of your affairs

6.  Control income and principal distributions to children and grandchildren

7.  Reduce estate and gift taxes        

Listed below are several types of Trusts:

Living Trust:  This revocable trust is for the purpose of allowing the owner to control the management, investment and distribution of assets throughout life.  In the event of disability, incapacity or death a successor trustee is prepared to handle the affairs of the trust.  A successor trustee can be the spouse, family member, friend, or organization.

Credit - Shelter Trust:  This trust is usually funded at the death of the first spouse with assets or property that is equal to the Federal Estate Tax Credit exclusion amount.  This trust provides tax-sheltered assets for the children of current or previous marriages.  It can also provide income to the surviving spouse or family.  In many instances, it can also provide principal to the surviving spouse under certain conditions.

Irrevocable Life Insurance Trust:  This trust removes life insurance proceeds from your estate and from any estate tax liability.

BootThe Next Step?

The Evangelical Presbyterian Foundation can show how to develop a good plan and make wise decisions for yourself, your family and the ministries that you care about the most.  To find out more about how to proceed with your will and estate planning, simply fill out the Estate Information Worksheet and return your Worksheet to our office. We will assist you with any special concerns you may have.  Your inquiry will be kept strictly confidential and places you under no obligation.  We will review your information and provide you with assistance.

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