Empowering Future Changemakers THE POWER OF A PLANNED GIFT
WHAT LEGACY WILL YOU LEAVE TO EMPOWER FUTURE GENER ATIONS TO BE CHANGEMAKERS? Consider creating a planned gift. Thoughtfully structured planned gifts are uniquely powerful in sustaining and growing the University of San Diego’s ability to serve those in need, while often affording exceptional financial and tax benefits to our planned giving donors.
WAY S T O G I V E Life Income Gifts Charitable Gift Annuity
Bequests Through Will or Living Trust
A charitable gift annuity is a gift that provides financial security for you and/ or a loved one, while ensuring future resources for the University of San Diego. Simply make a gift of cash or publicly traded securities to the University of San Diego and, in return, the university agrees to make fixed payments to you and/or a designated beneficiary for life. Payout rates are solely based on age. The older you are, the higher your payout rate.
For suggested language that can be used to direct a gift to the University of San Diego through your will or living trust, visit plannedgiving.sandiego.edu/bequestlanguage.
plannedgiving.sandiego.edu/charitablegift-annuities For current gift annuity rates, visit acga-web.org/current-gift-annuity-rates.
Bequests can be made to the University of San Diego through your will or living trust. Examples of these estate gift structures include a specific dollar amount, securities, real estate or a percentage or residual of your estate.
Gifts of Securities
If you would like to receive payments on a future date, such as when you retire, you can arrange a deferred charitable gift annuity. Establish the gift annuity today but delay payments until a future date, perhaps after your retirement. You will receive a charitable income tax deduction when you establish your deferred charitable gift annuity and a higher payout rate than if you started your income stream immediately.
A gift of publicly traded securities, including stocks and bonds, can be one of the most advantageous ways of giving to the University of San Diego. A gift of securities held for more than one year, such as stocks, typically generates an income tax deduction at the market value of the securities, regardless of the price paid or the basis of the securities. Moreover, the capital gains tax is avoided through such a gift. Securities are an ideal way to fund life income gifts since the full appreciated amount of this asset is used to fund the life income plan.
plannedgiving.sandiego.edu/charitablegift-annuities
For specific instructions, visit sandiego.edu/ giving/how-to-give/stock-mutualfund.php.
Deferred Charitable Gift Annuity
Charitable Remainder Unitrust If you have a highly appreciated asset, a charitable remainder unitrust may be perfect for you. The appreciated asset is transferred into the newly created trust, and then it can be sold tax-free. You or other named beneficiaries will then receive an income stream for life, a term of years, or both. You will also receive an immediate tax deduction and part of your income is tax-free. plannedgiving.sandiego.edu/charitableremainder-trusts 1
G IF T PL A NN ING Planned gifts include bequests, life insurance, charitable gift annuities, trusts and other gifts that can assist you with achieving your estate planning objectives while providing a generous gift to the University of San Diego. The benefits chart below may help you identify the planned gift that best fits your needs.*
I WANT TO RECEIVE... fixed payments for myself or others
Deferred Charitable Charitable Charitable Remainder Gift Annuity Gift Annuity Unitrust
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payments that vary with trust value
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I WANT THE PAYMENTS TO CONTINUE... for life for a term of years
I WANT TO MAKE A GIFT... during my lifetime after my lifetime (or upon my death)
I WANT TO MAKE A GIFT WITH... cash appreciated securities my personal residence investment real estate family or closely held business interests
I WANT THE FOLLOWING TA X BENEFITS... income tax deduction for charitable gift reduced capital gains taxes reduced estate taxes payments that may be partially tax-free help my heirs avoid income taxes *The University of San Diego provides this information as an educational service. It should not be considered legal or tax advice.
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Bequests Through Will or Gifts of Living Trust Securities
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Retirement Accounts and Insurance
Real Property
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Life Estate Reserved
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Donor Advised Funds
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IRA Charitable Rollover
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WAYS TO GIVE (CONTINUED) Beneficiary Designations Retirement Accounts and Insurance You can name the University of San Diego as one of the beneficiaries of your retirement account or life insurance policy by a simple beneficiary designation form. The University of San Diego can be included as a partial, full or contingent beneficiary. Gifts made by designation pass tax-free to the university and avoid probate. You can also make the University of San Diego the life insurance owner and any premiums paid by you are also tax-deductible. plannedgiving.sandiego.edu/beneficiarydesignations
Real Estate Real Property Your real property may be given to the University of San Diego by executing or signing a deed transferring ownership. You may deed part or all of your real property to the university. Your gift will generally be based on the property’s fair market value, which must be established by an independent qualified appraisal. plannedgiving.sandiego.edu/real-estate Life Estate Reserved You may desire to leave your home or farm to the university at your passing, but would also like to receive a current charitable income tax deduction today. A life estate reserved might offer the solution you need. You deed your home or farm to the University of San Diego with the right to use your home or farm for the rest of your life. You agree to pay the property insurance and taxes and to keep the property maintained. At the end of your life, your home will belong to the University of San Diego. The property will be used or sold to further the university’s mission. plannedgiving.sandiego.edu/real-estate 4
Donor Advised Funds
A donor advised fund (DAF) is a powerful philanthropic vehicle that that maximizes the impact of your gift to the University of San Diego, as well as gifts to other qualified charitable organizations. By establishing a donor advised fund, you can increase the impact of your charitable giving while eliminating the expense and legal complexity of operating a private fund. You receive a tax deduction for all gifts made to your DAF and then can make gifts in subsequent years. Gifts from your DAF cannot be made to pay off existing pledges. plannedgiving.sandiego.edu/donoradvised-funds
IRA Charitable Rollover
Reduce your taxes while increasing your impact.If you are 70 ½ years of age or older and have a traditional individual retirement account (IRA), you can make a gift to the University of San Diego through an IRA charitable rollover. You can donate up to $100,000 in the calendar year and satisfy part or all of your required minimum distribution. Gifts must be made directly to the University of San Diego from your plan administrator. You will not be taxed on the withdrawal, but will not be able to deduct your gift from your taxes if using this IRA rollover provision. plannedgiving.sandiego.edu/iracharitable-rollover
HOW DO I LE A R N MOR E? Planned gifts can be restricted to your area of interest, such as scholarships, academic programs, campus buildings or university initiatives. Before establishing a planned gift, we highly recommend you contact us so we can guide you through this process so we can ensure your intentions will be fully honored. The impact of estate gifts made by generous benefactors has been central to furthering the University of San Diego’s mission. Donors who have included the University of San Diego will become members of our Puente de Oro Society, which honors individuals who have remembered the university through a planned gift. “Puente de Oro” is Spanish for “Bridge of Gold.” It signifies gifts of extraordinary generosity from one generation to another. To learn more, visit, plannedgiving. sandiego.edu/puente-de-oro-society. For questions and additional information, please contact: Erin Kathleen Jones, Director of Planned Giving and Major Gifts at (619) 260-4523 or via email at ekjones@sandiego.edu.
This information is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. The University of San Diego, a California nonprofit corporation, is located at 5998 Alcalá Park, San Diego, California, 92110-2492. The University of San Diego tax identification number is 95-2544535.
University of San Diego Office of Planned Giving Degheri Alumni Center 5998 Alcalá Park San Diego, CA 92110-2492 Phone: (619) 260-4523 Fax: (619) 260-4621 ekjones@sandiego.edu plannedgiving.sandiego.edu