Planned Giving
Legacy Giving
Everyone leaves something behind - something for future generations. The question is: What will you choose to leave? If you believe that no one should have to make a choice between paying the rent or getting groceries, why not choose to include the Mid-Michigan Food Bank in your estate plans.
You can help provide enough food for the households served by the Food Bank for generations to come via an estate gift. For example, if you typically make an annual gift of $250 to the Food Bank, by making a $5,000 estate gift, the interest generated on that principle would continue to provide $250 every year to help the Food Bank feed hungry households. With such a gift, you can continue your annual giving forever! See the chart below for other, powerful examples:
YOUR ESTATE GIFT ANNUAL INTEREST GENERATED, IN PERPETUITY
$5,000 $250
$10,000 $500
$50,000 $2,500
$100,000 $5,000
It-scSQuote,-s Not Difficult To Give a Legacy Gift
It-scSQuote,-s not as complicated as you might think. Even if you don-scSQuote,-t have a spouse, children or close surviving relatives, it-scSQuote,-s important to leave your estate to someone or to a favorite charitable organization. If you don-scSQuote,-t, the state could keep your entire estate.
A few examples of estate-type gifts include:
• including the Food Bank in your Will with a certain percentage
• indicating in your Will that whatever remains after inclusion of all other beneficiaries be given to the Mid-Michigan Food Bank;
• naming the Food Bank as the beneficiary on a life insurance policy.
Bequests in a will or trust are an easy, yet very important, way to support the mission of the Food Bank. The following is suggested language for unrestricted bequests to be used for the greatest current need of the Food Bank:
I give to the Mid-Michigan Food Bank, a not-for-profit corporation organized under the laws of the state of Michigan and located in Lansing, Michigan ___percent (___%) of my estate OR (the sum of $______) OR (all my right, title and interest in the described property: ________________) OR (all rest, residue and remainder of my estate) to be used in such manner as the board of directors of said corporation shall, in its sole discretion, determine.
Gifts via Life Insurance Policies
One way to "gift" life insurance is to designate your charity of choice as the beneficiary. You will retain ownership of the policy, keeping access to the policy-scSQuote,-s cash value. You will still be allowed to change your beneficiary at a later time, if you choose.
You can also transfer ownership, assigning your charity of choice as BOTH owner and beneficiary. This method will NOT allow you to change your beneficiary or have access to the cash value of the policy, but it will provide tax benefits. If your charity of choice is a 501(c)3 (like the Mid-Michigan Food Bank) then the premiums you pay on the policy should be tax deductible.
Charitable Gift Annuities
Benefits similar to Life Insurance gifts also apply to annuities.
Gifts of Securities Are Also Accepted
If you sell appreciated securities, you could lose up to 25% of your appreciation to taxes. But when you donate a gift of stock or securities to the Food Bank, you avoid capital-gains taxes, thus preserving the full value of your gift. Your tax advisor can help you.
Gifts of Retirement Plans
Your IRA assets will be transferred to a charitable remainder trust, the trust will provide life income to the beneficiary, and then an eventual gift to the Red Cross.
Special Michigan Tax Credit Available for Annual Contributions
Aside from legacy-type gifts annual gifts to the Food Bank are normally eligible for a special Michigan Tax Credit (for up to half of your contribution - a maximum $200 credit, for a married couple, filing jointly, on a gift of $400; and a maximum of $100 for a single individual).