Our Lady of Victory Homes of Charity Gift Planning Guide
A MESSAGE FROM MSGR. PAUL J.E. BURKARD
Dear Friend of Our Lady of Victory, As President of Our Lady of Victory Institutions, I have witnessed the profound impact our organizations have on so many in the Western New York community. Each year, thousands of loyal friends and benefactors from across the country answer our prayers by providing financial assistance to spread devotion to Our Lady of Victory; to help at risk youth and families work to improve their lives; to secure a safe and loving environment for children removed from their families; and finally, to support Father Baker’s Cause for Canonization. Indeed, your donations solidify Father Baker’s legacy of caring that continues today. Our “Gift Planning Guide” has been developed to share with you ways you might consider to support our mission. We’ve outlined many popular gifting vehicles that will provide transformational support, and allow you to leave a lasting legacy with the Homes of Charity and Our Lady of Victory. Also included in this guide are our new annual giving societies. I invite you to consider joining one as a way to further your commitment to our work, and provide us with an opportunity to celebrate your generosity in a very meaningful way. Thank you for being such a wonderful friend to Our Lady of Victory and to “Father Baker’s.” May Jesus our Savior bless you and may Our Lady of Victory watch over you. Gratefully yours in Christ,
Msgr. Paul J.E. Burkard President Our Lady of Victory Institutions, Inc.
Our Story
The most prominent organizations under the auspices of Our Lady of Victory consist of Our Lady of Victory National Shrine and Basilica, Baker Victory Services and Our Lady of Victory Homes of Charity. These organizations had their beginnings under Most Rev. Bishop John Timon, first Bishop of the Diocese of Buffalo, who founded St. Patrick’s Church in 1841. In 1856, Bishop Timon opened St. Joseph’s Orphanage in what would later become Lackawanna, New York, and expanded the charitable venture in 1864 to include St. John’s Protectory for young boys. In February of 1882, Father Nelson Baker was assigned as new superintendent of the organizations, who soon learned of the burgeoning debt that he had inherited. Immediately, the former businessman emptied his personal savings and used his good name to keep creditors at bay. Still, the humble priest knew a long-term solution was needed if the work of the organizations was to continue. Father Baker, who had begun his lifelong devotion to Our Lady of Victory after a trip to the Basilica of Notre Dame des Victories in Paris in 1874, turned to his patroness for help. His prayers were answered through his founding of the Association of Our Blessed Lady of Victory. Father Baker sent letters throughout the United States asking the faithful for assistance with the dependent children in his care by joining the Association for 25 cents a year. Very quickly his ingenious idea caught on. Soon, the debts were paid in full and the organizations were poised to grow. By the turn of the century, the number of children receiving care had more than tripled, and the Orphanage and Protectory were expanded. Father Baker then constructed Our Lady of Victory Infant Home, which opened in 1908 and served as a safe haven for unwed mothers from across the country, as well as for thousands of abandoned babies who were cared for and placed for adoption. OLV Hospital, which was also founded by Father Baker, started as a maternity hospital and evolved into a general hospital to serve the
comprehensive needs of the community. And finally, in 1926, the magnificent Our Lady of Victory National Shrine and Basilica was dedicated as the crowning jewel of Father Baker’s “City of Charity.” Father Baker oversaw the organizations for more than 60 years. Upon his death in 1936, it was estimated that he cared for more than 100,000 “Baker Boys,” 600 unwed mothers, and placed more than 6,000 infants into loving homes. His Cause for Canonization, first begun in 1987, has seen him named Servant of God by Pope John Paul II, and most recently, elevated to Venerable by Pope Benedict XVI in 2011. Father Baker was also voted the Western New York Region’s “Most Influential Citizen of the 20th Century” by The Buffalo News. The Association of Our Lady of Victory, Father Baker’s pioneering fundraising program, is known today as Our Lady of Victory Homes of Charity; it offers numerous opportunities for spiritual growth and charitable giving. Through the generosity of our benefactors, the Homes of Charity provides financial support and support services to Baker Victory Services, Our Lady of Victory National Shrine and Basilica, Father Baker’s Cause for Canonization and continues Father Baker’s legacy of caring now and into the future. Each year, thousands of children and at-risk individuals receive support provided by our loyal friends and benefactors. In addition, your support provides maintenance and upkeep of Father Baker’s crowning jewel, Our Lady of Victory National Shrine and Basilica, where more than 30,000 pilgrims from around the world visit on an annual basis.
Carol Beck My family’s ties to Father Baker’s go back nearly 100 years. I feel so strongly about the Our Lady of Victory Institutions that I established a Charitable Remainder Unitrust using a portion of the proceeds from the sale of my condo. It decreased my income tax burden, provided a charitable deduction, gives me a moderate lifetime income and provides a legacy gift to Our Lady of Victory Homes of Charity.
Organization Facts Homes of Charity
• Serves as the fundraising and support services arm for Baker Victory Services, Our Lady of Victory National Shrine and Basilica, and Father Baker’s Cause for Canonization. • Promotes devotion to Our Lady of Victory across the country. • Provides critical business services such as information technology, public relations, special events fundraising, maintenance, and payroll for its sister agencies and other Catholic non-profits within the community.
Baker Victory Services • One of Western New York’s largest non-profit organizations, offering underserved children, youth, and adults access to a diverse array of specialized services. These services include: • A Residential Treatment Facility that provides specialized mental and behavioral health treatment for youth ages 12 to 21. • Mental and Behavioral Health Outpatient Counseling for children, youth and families. • Community-based residential care for individuals with developmental disabilities. • A residential memory care home for aging individuals with developmental disabilities who have specialized Dementia and Alzheimer’s needs. • Early childhood special education programs. • Home-based preventive services for at-risk families. • Vocational training and job readiness programs for teens and young adults. • Foster Care and Emergency Foster Care programs for children and youth. • A Community-based dental clinic providing adaptive dental care for special needs patients.
Our Lady of Victory National Shrine and Basilica • The National Shrine and Basilica is Father Nelson Baker’s crown jewel of his “City of Charity” and a lasting tribute to his patroness, Mary. • Construction began in 1921 and was completed in 1925. Remarkably, the Shrine was fully paid for when Father Baker celebrated the first Mass offered there on Christmas Day in 1925. • Consecrated in May of 1926, the Shrine was designated as a Minor Basilica by Pope Pius XI in October of 1926. • Each year, more than 30,000 visitors from around the world visit the National Shrine and Basilica and pray for Our Lady of Victory’s intercession and Father Baker’s Cause for Canonization.
Father Nelson Baker • In 1987, Father Baker’s Cause for Canonization began when he was named Servant of God by the Vatican. • In 1999, Father Baker’s human remains were moved from Holy Cross Cemetery into the National Shrine and Basilica, his final resting place. • In 2011, Pope Benedict XVI elevated Father Baker to Venerable Nelson Baker.
Thank You!
Helping Them
The work in pursuit of our mission at Our Lady of Victory Homes of Charity (“Homes of Charity”) is possible because of the generosity of our wonderful friends and benefactors from across the nation. Thousands of families and individuals inspired and touched by Our Lady of Victory and the work done at Father Baker’s contribute to the support of our charitable works. Their gifts are used to help fulfill the spiritual and material needs of those who turn to the Homes for support and care. While the Homes of Charity’s annual direct mail program provides regular funding to assist Our Lady of Victory National Shrine and Basilica and Baker Victory Services, this guide is designed to help you understand more fully other giving opportunities. Due to the recent tax law changes taking effect in 2018, please remember to consult with your attorney, accountant and/or financial planner before making any substantial planned gifts. Also, it is important to note that the standard tax deduction for both individuals and married couples has nearly doubled. The standard deduction for individuals is now $12,000 and $24,000 for married couples. Should your overall tax deductions exceed your standard deduction, the new tax laws have provided an increase on the adjusted gross income limitations (AGI) for charitable gifts of cash. Charitable contributions in a year are now limited to 60% of a donor’s adjusted gross income (AGI), which is an increase from 50% in previous years. And, a donor can still carry forward up to five years any amount that exceeds the 60% limitation. If you choose to support Our Lady of Victory Homes of Charity, please note that our correct and legal name is:
Our Lady of Victory Homes of Charity Federal Tax ID Number: 16-0743191
Ways To Give Cash
A gift of cash is one of the simplest ways of supporting our mission. Donations can be made by check and mailed to Our Lady of Victory Homes of Charity, or by credit card over the phone or through our secure website located at www.homesofcharity.org. Credit card donations can be a one-time gift, or can be set-up as recurring monthly payments.
Pledges We offer the convenience of making monthly pledge payments for our loyal benefactors who choose to join one of our Annual Giving Societies. By setting up monthly payments, as opposed to a one-time gift, you may be able to commit to a larger annual contribution.
Stock Gifts of appreciated stock are nearly as simple as donating cash, and may be much more beneficial to you, the donor. For example, if you transfer appreciated stock to the Homes of Charity that you’ve held for more than one year, generally you can take a charitable deduction for the stock’s fair market value on the day you donate it to the Homes. You may also avoid capital-gains taxes on any increase in value, which you would have had to pay if you sold the stock. Stock can also be used to start a Charitable Gift Annuity, Charitable Remainder Trust, or Charitable Lead Trust. Make sure you consult your financial advisor or accountant prior to making a stock transfer and to determine your eligibility to itemize on your tax returns in order to maximize your charitable deduction. When making a stock transfer of appreciated stock, we will be happy to provide you or your financial institution with detailed instructions for the transfer and provide a signed Form 8283 for your tax filing.
Real Estate Gifts Real estate comes in many forms, including personal residences, vacation homes, commercial property and undeveloped land. Prior to accepting a gift of real estate, the Homes of Charity will evaluate and analyze the potential gift of real estate to ensure that it can be effectively used or sold to support our mission. Real property gifts that are debt-free, highly marketable and/or highly appreciated generally make the best gifts with the greatest impact to the donor, as well as from a charitable, income tax and estate tax perspective. Charitable trusts can also be initiated through gifts of real estate. Retaining a life estate in a residence is an option that allows an individual to donate his or her home to Our Lady of Victory while retaining the right to live in the home for the rest of the donor’s life. The donor receives an income tax deduction equal to the present value of the residence when ownership is transferred to the Homes of Charity. The donor continues to be responsible for all routine expenses, taxes, and maintenance of the property while the donor continues to live in the home.
Life Insurance, Retirement Plans, and Other Policies A very easy way of leaving a legacy gift is by designating the Homes of Charity as beneficiary of a policy or account. This includes Individual Retirement Accounts (IRAs) or other retirement plans such as life insurance policies or even a commercial annuity. Simply contact the financial institution that manages your account and ask for a beneficiary designation form. When you pass away, any money in the account will be directed to the Homes of Charity. When you do designate the Homes of Charity as a beneficiary, please let us know so that we can honor your gift intention and enroll you in the Victory Remembrance Society!
Employer Matching Gift Programs Many employers encourage charitable giving and may even match employee contributions. Some companies match charitable contributions dollar for dollar, while others may contribute two or three times the employee’s gift. Companies often match retiree gifts, although sometimes at a reduced rate. Contact your employer to see if they offer a gift matching program – a great way to increase the impact of your gift!
Your Will – A Testament to Your Life
Through a bequest in your Will, you too can help us continue the legacy of caring begun so many years ago by our founder, Father Nelson Baker. In many cases, a Will can be prepared by an attorney at a very modest cost. Having a Will protects those you love, and makes certain that your wishes will be followed exactly. An individual who dies without a Will subjects his or her assets to distribution in accordance with the intestacy laws of his or her state, which will set forth who can administer the assets and who will ultimately inherit the assets.
How to Go About Making your Will 1. List your property – Make a complete list of all your assets, including checking and savings accounts, retirement accounts, commercial annuities, stock holdings, savings bonds, life insurance policies, as well as personal property, jewelry and valuable collections. 2. Consult an attorney – A Will is one of the most important documents you will ever sign. The attorney will not tell you how to divide your property, but will advise how best to achieve your goals. If you do not know an attorney, your church or the local Bar Association can be consulted for a listing of estate attorneys in your area. 3. Name your beneficiaries – After directing that any debts you have incurred, including funeral arrangements, are paid, you should name your beneficiaries. Family members, close friends and favorite charities should be considered as beneficiaries. 4. Choose an executor(s) – Your executor(s) will oversee your estate’s administration and ensure your wishes will be carried out as detailed in your Will. It can be a family member, close friend, attorney, or corporate executor.
Charitable Bequests
A monetary bequest to a charity is one of the most common giving vehicles. This is simply a direction that the charity be paid a specified sum of money. Bequeathing to charity the residue of an estate is also a popular option. The residue is what is left of an estate after paying settlement costs, debts, taxes, and specific bequests. You can bequeath specified percentages of your residuary estate. Specific bequests can be used to leave certain valuable personal property to charity, such as savings bonds or real estate. Example language for each type of bequest is as follows:
General/Fixed-Dollar Bequest “I bequeath the sum of $__________ to Our Lady of Victory Homes of Charity, 780 Ridge Road, Lackawanna, NY 14218.”
Residual Bequest “I bequeath the residue of my estate, after the satisfaction of all specific bequests, to Our Lady of Victory Homes of Charity, 780 Ridge Road, Lackawanna, NY 14218.”
Percentage Bequest “I bequeath to Our Lady of Victory Homes of Charity, 780 Ridge Road, Lackawanna, NY 14218, an amount equal to ____ percent of the net value of my residuary estate.”
Specific Bequest “I bequeath to Our Lady of Victory Homes of Charity, 780 Ridge Road, Lackawanna, NY 14218, my Savings Bonds Numbers 0123 and 4567 OR my property located at 987 Rainbow Road OR my antique coin collection.”
Giving Societies
With gratitude to our loyal friends and benefactors for their commitment to furthering our mission, Our Lady of Victory Homes of Charity has established a number of giving societies in recognition of their steadfast support. We invite you to consider joining one of the following societies. Our development staff will be happy to provide you with details on the spiritual and other benefits offered to our members in celebration of their generous support.
Monsignor Robert C. Wurtz Leadership Society All annual gifts, or one-year pledges of $1,000 or more, will be celebrated with enrollment into the Monsignor Robert C. Wurtz Leadership Society. As Pastor of Our Lady of Victory National Shrine and Basilica and Administrator of Our Lady of Victory Institutions for more than 32 years, Msgr. Wurtz oversaw the care of tens of thousands of infants, children, teens, and families in need. In celebration of his remarkable dedication to continuing Father Baker’s legacy, all members of the Monsignor Robert C. Wurtz Leadership Society are invited to renew their membership on an annual basis.
Venerable Nelson Baker Legacy Society An annual gift or one-year pledge of $5,000 or more will be celebrated with enrollment in the Venerable Nelson Baker Legacy Society. Voted the region’s “Most Influential Citizen of the 20th Century” by The Buffalo News, Father Baker served as the first administrator of the Institutions, which he grew from a small Protectory and Orphanage to his “City of Charity” in Lackawanna, New York. Father Baker’s 60 years in the priesthood were spent sheltering the homeless, feeding the hungry, caring for the sick, and giving hope to the destitute. His charitable legacy lives on today as Our Lady of Victory Homes of Charity and Baker Victory Services, which provide many of the same kinds of services Father Baker began decades ago.
Our Lady of Victory Alliance “She did it all.” Father Nelson Baker’s devotion to Our Lady of Victory was inspired during a visit to Notre Dame des Victoires in Paris while on pilgrimage in 1874. For the remainder of his life, Father Baker relied on his patroness, Mary, to provide spiritual guidance. Members of the Our Lady of Victory Alliance provide transformational support to carry on Father Baker’s “City of Charity” with annual support of $25,000 or more each year.
Victory Remembrance Society Members of the Victory Remembrance Society celebrate their deep commitment to our missions by including the organizations in their estate plans. To be included in the Victory Remembrance Society, simply contact our development staff at the Homes and provide a written notification of this provision within your Will, Trust, IRA, or other retirement or life insurance policy. In addition to knowing that your legacy will help carry on the work here at “Father Baker’s,” you will have the peace of mind knowing that your intentions will be honored when you pass away.
Benefactors Memorial Society All loyal benefactors who provide for Our Lady of Victory Homes of Charity through their estate with a gift of $5,000 or more will be gratefully honored with enrollment in the Benefactors Memorial Society. Members will be celebrated for carrying on our mission for years to come and will receive special spiritual benefits.
Mrs. Marilyn Baker & Linda Coblitz As members of the Baker family, we are blessed to know firsthand the wonderful works of Father Nelson Baker. Our family has supported the Homes of Charity for many years and are dedicated to furthering Father Baker's Cause for Canonization.
Estate Planning Checklist
✔ Do you have a Will or trust in place? If so, has it been professionally reviewed within the last two years? ✔ Have you had any major life events in the past few years (marriage, divorce, move to a different state, death of a loved one, birth of children or grandchildren or drastic change in financial situation)? If so, consider revisiting your Will or trust.
✔ Does your current health care power of attorney permit the person of your choosing (spouse, child or family) to make emergency health care decisions for you in the event you are unable to do so?
✔ Are you certain that your current estate plan will minimize possible state and federal estate taxes at your death, including taxes on your house, life insurance, and IRAs?
✔ Have you taken steps to avoid possible Will contests and disputes during the administration of your estate?
✔ Are all of your estate documents kept in a secure location? ✔ Within the past year, have you conducted a review of your beneficiary designations on your insurance policy,
IRA, investment account, or other policies? It’s a simple process to make a change or addition to a beneficiary designation, and charities can be named as beneficiaries as well.
For your estate planning purposes, please remember that our correct and legal name is:
Our Lady of Victory Homes of Charity Federal Tax ID Number: 16-0743191
Charitable IRA Distributions
The primary purpose of an IRA or other retirement plan is to provide funds for retirement years. Generally the tax law requires individuals to make withdrawals from these accounts starting at age 70½. In the event that you do not need the income from your IRA, you can use it to make a charitable IRA distribution of up to $100,000 per year tax free to the Homes of Charity, which will count toward your required minimum distribution. By making an IRA charitable distribution, you may benefit by reducing your federal income tax rate should your minimum distribution be a significant amount each year. In order to achieve full benefits of the charitable IRA distribution, it is important to sign the distribution directly over to the Homes of Charity, rather than receive the funds and then make a donation, as you will have to pay income tax on the distribution.
Office of Major Gifts and Planned Giving 780 Ridge Road • Lackawanna, New York 14218 Phone (716) 828-9610 • (800) 525-4906 plannedgiving@homesofcharity.org
Charitable Gift Annuity
When you fund a Charitable Gift Annuity (“CGA”) with Our Lady of Victory Homes of Charity, you establish a lifetime income for yourself or a loved one, while also providing a charitable donation to further our mission. A CGA is a contract between the donor and the Homes of Charity. In return for transferring assets of cash, stock, etc., the Homes of Charity agrees to pay a fixed amount of money (annuity) to one or two beneficiaries for the remainder of their lifetime. The donor may also benefit from an immediate income tax deduction for the gift portion of the CGA should they exceed their standard deduction. And, a portion of the income over the life of the annuity is tax free. Annuity payments may begin immediately or can be deferred to a later date. The amount of the income stream is determined by the value of the donation, the age of the individual(s) receiving the CGA, and a payout percentage rate offered at the time of the gift. While not available in all states, the Homes of Charity requires a minimum age and gift amount to establish a CGA.
Office of Major Gifts and Planned Giving 780 Ridge Road • Lackawanna, New York 14218 Phone (716) 828-9610 • (800) 525-4906 plannedgiving@homesofcharity.org
Trust Options
Charitable Remainder Trusts Charitable Remainder Trusts (“CRT”) are tax-exempt, irrevocable agreements designed to reduce the taxable income of individuals by first dispersing income to the beneficiaries of the CRT for a specified period of time and then donating the remainder of the CRT to the designated charity. They are ideal ways for donors to make very impactful charitable commitments, while also providing income for themselves. Because CRTs are legal documents and require attorney involvement to establish, a minimum of $100,000 is recommended to establish a CRT. Once established, the CRT’s assets are invested by a trustee, with the trust paying a fixed percentage (unitrust) or fixed amount (annuity trust) to the donor or designated beneficiaries. The term of the CRT can be the beneficiary’s lifetime or a fixed term of up to 20 years. At the end of the term, the charity named will receive the balance of the assets within the CRT. Upon creation of a CRT, the donor may receive a charitable tax deduction equal to the amount anticipated to be left to the Homes of Charity. The CRT also avoids estate taxes and is generally settled outside of probate. Charitable Lead Trusts Charitable Lead Trusts (“CLTs”) distribute income payments to a charity throughout the life of the trust, with the remainder paid to a non-charitable beneficiary at the end of the trust. The term of the trust can be the life of the donor or a fixed term of up to 20 years. There are income and estate tax benefits to CLTs as well. Please contact your attorney or financial planner to discuss this gifting option. Revocable Living Trust A Revocable Living Trust is created to hold and administer the grantor’s assets during his or her lifetime, with provisions for what happens to the assets if the grantor becomes incapacitated or passes away. The trust is revocable because it allows the grantor to invest, spend, or move assets to and from the trust as he/she chooses. Taxes are paid on trust-held assets, just as if the grantor continued to hold the assets personally. Should the grantor become incapacitated, the successor trustee named in the document takes over management of the assets. When the grantor passes away, the trust becomes irrevocable and the successor trustee distributes the remaining assets to the trust’s beneficiaries, including charities. Although Revocable Living Trusts do not avoid estate taxes, they are private, are generally settled outside of the probate court, and avoid the delays and fees inherent during probate.
Office of Major Gifts and Planned Giving 780 Ridge Road • Lackawanna, New York 14218 Phone (716) 828-9610 • (800) 525-4906 plannedgiving@homesofcharity.org