at the University of Illinois Springfield GIFT PLANNING IDEAS FROM THE UNIVERSITY OF ILLINOIS FOUNDATION
FALL 2021 | ISSUE 97
Giving Back to the University That Gave Him So Much If you have ever been to a Star Party at the University of Illinois Springfield, you have Charlie Schweighauser to thank. Since 1977, Springfield-area residents have had the opportunity to get a close-up look at the heavens through telescopes atop Brookens Library—thanks to Schweighauser’s dedication and determination to make UIS home to the finest teaching and research equipment for astronomy in Illinois.
Schweighauser with a statue he is donating to UIS titled “Life” depicting the earth with plants stretching toward the warmth of the sun. Image courtesy of The (Springfield) State JournalRegister
That zest has inspired him to continue to enhance the astronomy program with estate gifts designated to the Schweighauser Astronomy Fund. He also plans to donate two sculptures he commissioned for his Pleasant Plains home by famed sculptor Saunders Schultz, a graduate of the University of Illinois Urbana-Champaign.
Schweighauser began teaching at the University parttime in 1973, moving to a full-time appointment in 1974 where he helped develop the environmental sciences program. With an astronomy background, it wasn’t long before he was asked to teach a course in that too. He eventually designed 11 for astronomy alone. “I audited some of his courses,” said his wife Barbara, herself a former UIS employee. “He’s a good teacher.” He helped get the observatory atop the library built for public use and establish two observatories in the country for research purposes. He also helped develop the first telescope in the world for people with disabilities; that, too, sits atop the library. Schweighauser retired in 2002 but kept teaching until 2009.
INSIDE
“I’ve seen it almost since the beginning,” he said of UIS. “I saw it evolve and change, and it offered me incredible opportunities for teaching and research. I wanted to give back to the University.”
• 4 Year-End Financial and Charitable Opportunities • Are You a Non-Itemizer? • Student Spotlight • Create Your Legacy
4 YEAR-END FINANCIAL AND CH YOU DON’T WANT TO PASS UP As 2021 draws to a close, you might ask yourself how your circumstances have changed during the past year and what actions you are taking in response.
Your changes may include: Family status, such as marriage or divorce or the addition of grandchildren or other family members. Health, including yours and the health of loved ones. Employment, such as retirement, a change in your job, or starting or ending a business. Living circumstances, such as selling a home and/or moving to another state. Investment, including gains and losses. Income, which may have increased or decreased. Inheritance, which may have significantly increased your assets. New tax laws, recently passed or anticipated, that may affect your financial situation. Involvement with charities such as the University of Illinois Springfield. Such changes often present opportunities to meet your financial, charitable, and personal objectives. Four of those opportunities are discussed here; for a comprehensive discussion of 14 opportunities, request our complimentary guide, 14 Strategic Year-End Charitable Opportunities for the Smart Donor.
OPPORTUNITY 1 Save taxes now with a gift of stock
Although stock values tumbled in the few months immediately after COVID-19 appeared in the United States, they quickly recovered—and indices reached record highs in 2021. Home values have also risen sharply, especially in certain markets. Consequently, your financial net worth may well be higher than it has ever been. If you have long considered a significant charitable gift as part of your legacy, this could be the time to make it—particularly if you have been thinking of selling some of your highly appreciated securities to harvest your gain and rebalance your portfolio. The net cost of the gift could be lower than you think because you not only receive a charitable deduction for market value but also avoid taxation of the gain.
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HARITABLE OPPORTUNITIES OPPORTUNITY 2 Build your retirement funds Three recent law changes were designed to increase retirement security. The first was increasing from 70½ to 72 the age at which a person with an IRA or certain other plans must start mandatory distributions. The second was, for the year 2020, waiving the required minimum distributions. The third, which becomes effective in 2022, is reducing the percentage of the account balance that has to be withdrawn each year beginning at the age of 72. All of these changes enable more money to be invested in a tax-free account for a longer time. Consequently, your retirement funds will last longer and the balance at the end of your life is likely to be larger.
OPPORTUNITY 3 Save taxes in your estate with a gift of retirement assets
If you want to make end-of-life gifts both to loved ones and to charity, it is better from a tax standpoint to make charitable gifts with retirement funds and to give other assets to your loved ones. The reason is that your loved ones will be taxed on retirement funds (unless from a Roth IRA) whereas a charity will not. Pre-death gain in other property, such as securities and real estate, will not be taxed to loved ones.
OPPORTUNITY 4 Save taxes with the IRA rollover If you are 70½ or older, you can authorize your IRA administrator to make a qualified transfer of up to $100,000 cumulatively to one or more public charities (other than a donor-advised fund or supporting foundation). This is popularly known as the IRA charitable rollover. The amount you transfer within this limit will not be subject to income tax, resulting in tax savings. If you are 72 or older and your required minimum distributions have begun, the amount transferred—within the same $100,000 limit—counts toward the required minimum distribution. The information contained herein is offered for general informational and educational purposes. The figures cited in the examples and illustrations are accurate at the time of writing and are based on federal law as well as IRS discount rates that change monthly. State law may affect the results illustrated. You should seek the advice of an attorney for applicability to your own situation. Copyright © by Pentera, Inc. All rights reserved.
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Are You a Non-Itemizer?
If so, and you made cash contributions to public charities (other than a donor-advised fund or supporting organization), remember that you can claim a deduction on your 2021 return. The limit is $300 for a single filer and $600DO forNOT a married couple IMPORTANT: ENLARGE, REDUCE OR MOVE the FIM and POSTNET barcodes. The Special care must be taken to ensure FIM and POSTNET barcode are actual size AND placed filing jointly. The non-itemizer to meet both USPS regulations and automation compatibility standards. deduction will not be allowed after 2021 unless it is renewed.
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UNIVERSITY OF ILLINOIS FOUNDATION HARKER HALL MC-386 GIFT PLANNING AND TRUST SERVICES UNIVERSITY OFMC-386 ILLINOIS FOUNDATION HARKER HALL 1305 W GREEN ST URBANA IL 61801-9934
STUDENT SPOTLIGHT Artwork for User Defined (3.75" x 5") Layout: sample BRM Env with IMB.lyt “It always been a goal of Aprilhas 29, 2011
mine to continue my education; and when I learned about the PAR program, I knew it was a perfect fit for me. Receiving a PAR scholarship meant I could focus all of my time and energy on being successful in the program, and for that I am extremely grateful.” ——Grace Barbic, Class of 2021, Public Affairs Reporting Reporter for the Chicago Daily Law Bulletin UIS Mary and Jim Beaumont Public Affairs Reporting Scholarship Recipient Vu Nguyen Memorial Scholarship Recipient
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CREATE YOUR ILLINOIS LEGACY
Use this language to benefit the University through your will or living trust: I leave [$x/x%/residue] to the University of Illinois Foundation, a nonprofit corporation (Tax ID 37-6006007) located in the State of Illinois, to support the University of Illinois Springfield [optional—program/department/college]. Use this language for an account controlled by a beneficiary-designation form: University of Illinois Foundation fbo University of Illinois Springfield [program/department/college] Tax ID#: 37-6006007 Attn: Gift Planning and Trust Services 1305 W. Green Street Urbana, IL 61801 Contact us to ensure your specific language can be honored as you intend.
PLEASE SEPARATE THE CARD BELOW AND RETURN!
Please send me a complimentary copy of your new guide(s): n 14 Strategic Year-End Charitable Opportunities for the Smart Donor n Planning Your Will for All It’s Worth n Please send me information about making a gift that would also provide income for me and/or others. n I already have included, or am considering including, the University of Illinois in my estate plan and would like to discuss my options. You can also download these materials at uis.giftplans.org/guides
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We appreciate support for our students and would be pleased to help you create the kind of impact you would like at UIS! For more information contact us at (217) 244-0473 or e-mail GPinfo@uif.uillinois.edu.
Please know that we are here for you as you pursue your financial, charitable, and personal objectives.
In this issue of Generations, you will learn how one man is supporting both a program he loves, astronomy, and the UIS campus where he spent much time. You’ll also find some tax-saving gift opportunities.
We know it has been an unusual year for you, too, and perhaps it motivated you to plan for the future for both your family and causes important to you.
There is great excitement on campus this fall as the school year unfolds. Students are grateful to be back in person and connecting with friends and faculty.
GREETINGS FROM THE UNIVERSITY OF ILLINOIS SPRINGFIELD!
Office of Gift Planning and Trust Services University of Illinois Foundation 1305 W. Green St., Rm. 214 Urbana, IL 61801-2962
uif.giftplans.org
Justin Seno Director of Gift Planning University of Illinois Foundation (217) 244-8273 jtseno@uif.uillinois.edu
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