What are the ways to give?
Planned Gifts (7 ways)
Many of our pharmacy alumni and friends would like to make a financial contribution to the University of South Carolina or the Medical University of South Carolina, but may feel unable to do so because of current financial obligations. Through various planned giving strategies, you can discover ways to make a meaningful gift as well as enhance your long-term financial security. There are several philanthropic options available to you that ensure you and your family are taken care of and that your charitable goals are addressed.
The following provides you a snapshot description of some available planned giving tools:
Outright Gifts (10 ways)
Outright gifts are present-day gifts whose value pass to the campus of your choice immediately and can vary from cash to real estate to stocks and bonds. Such gifts can establish scholarships or fellowships, support faculty positions, and provide capital support to the College. Your gift allows the pharmacy program to excel and continue to provide outstanding resources to our students – the future pharmacists of the State of South Carolina and beyond.
There are a variety of ways described below to provide an Outright Gift to the College of Pharmacy – and you indicate the campus you wish your gift to benefit.
A Bequest is a gift made through your will. Bequests are fully tax deductible for estate tax purposes, and can often times significantly reduce your total estate taxes. Bequests offer you the opportunity to commit a generous gift through a variety of planned giving vehicles.
2) Gift Annuities
The Charitable Gift Annuity is an excellent way for you to earn a guaranteed rate of income for the rest of your life, or the life of a loved one. The annuity is agreement between you and the non-profit institution in which the institution agrees to pay you an annual income in exchange for your gift. Because (your receipt of) the income can be deferred until a later date, during which time your annuity continues to grow, the charitable gift annuity can serve as an excellent retirement planning tool.
An outright gift of cash is the most simple and direct way to provide support. These gifts may be made through personal or certified check, automatic bank draft, money order or credit card transactions. You may either designate your gift for a specific area or purpose, or earmark it for an undesignated fund, which allows us to use your gift where it is needed most.
Gifts of real property can consist of a house, condo, townhouse, vacation home, commercial building, lots or an undeveloped parcel of land. The gift can be for all of your interest in the property or an undivided fractional interest.
3) Charitable Remainder Trust
A Charitable Remainder Trust is an excellent way to earn regular income for the rest of your life from a highly appreciated, non-income generating asset - a piece of undeveloped property, for example. It also is a useful way to dispose of any appreciable asset, such as stocks, without having to pay capital gains taxes, gift taxes or estate taxes.
Here's how it works: You place an appreciable asset, such as stocks or property, in a trust. The trust will then make payments (based on an agreed-upon percentage of the asset's value) to you for the rest of your life. At the end of your life, the remaining value of the trust asset is transferred to the institution of your choice.
There are several advantages to a Charitable Remainder Trust.
- You receive income for life.
- You receive an immediate charitable income tax deduction, even though the Health Sciences Foundation might not receive your gift for many years.
- You can reduce your estate taxes.
- And, if your trust is funded with appreciated securities, you can avoid paying capital gains taxes.
- If you wish, you can defer the payment of income until retirement, thereby receiving higher payments.
When this approach is used, the Charitable Remainder Trust is sometimes called a retirement trust.
Gifts of Stock
With a stock gift the donor enjoys a tax deduction for the full value of the stock based on the average of the high and low prices for which the stock is selling on the day it is given.
Items such as books, manuscripts and art can be deducted at their full fair market value, as long as they are used to support the College’s tax-exempt mission. Otherwise, these gifts may be deducted at the initial cost of the object, rather than its current fair market value. The deduction is limited to 30 percent of your adjusted gross income, with a five-year carry-over period.
4) Charitable Lead Trust
The Charitable Lead Trust is like a charitable remainder trust, in reverse. You place an asset in the trust, and the trust pays an annual income to the non-profit institution for a predetermined number of years. At the end of that period, the remaining trust assets are then transferred to your named beneficiaries.
There are several benefits to making a gift through this method. Perhaps the most notable advantage is that it allows you to make a significant gift without actually giving away your property. Furthermore, you qualify for a charitable income tax deduction as though you had given the asset away. The trust can help you remove highly appreciated asset from your estate, thus minimizing gift and estate taxes.
You receive a double tax benefit from a gift of securities, real estate, or other property that has appreciated in value. First, you receive an immediate charitable income tax deduction. You also avoid the capital gains taxes that would be due if you were to sell the asset. The immediate tax deduction is limited to 30 percent of your gross adjusted income, with a five-year carry-over period.
Gifts of appreciated stocks or bonds offer donors a variety of tax saving opportunities as well. Individuals may deduct the current fair-market value of the donated security as a charitable gift and avoid any capital gains tax on the appreciated value of the security. Gifts of securities may be made by either a direct stock transfer through your broker or you can forward your stock or bond certificates directly to the campus of your choice.