Here is some great news to anyone considering making a gift to Texas A&M University: Gifts are not one size fits all. Whether a current or planned gift, there are many ways to give that fit your giving style, and most importantly, your lifestyle.
Read through our top five reasons to love planned gifts, and maybe you’ll find a reason to love planned giving, too!
1. YOU DON’T HAVE TO GIVE ANYTHING NOW.
Your assets are extremely valuable during your lifetime. While wealth doesn’t equate to happiness, it does provide security to live comfortably in a society where the cost of living continues to rise. However, as the familiar saying goes: “You can’t take it with you when you go.” A planned gift allows you to support a cause you are passionate about after your lifetime without the fear of gifting assets you may need while you’re living.
2. GIFTS CAN SUPPORT LOVED ONES.
A planned gift like a testamentary charitable remainder unitrust, also known as a “give it twice” trust, allows donors to donate to a cause they love, while financially supporting loved ones and taking advantage of tax benefits. A “give it twice” trust can be included in your will or living trust. It is funded after your lifetime and provides payments to your named beneficiaries for a selected term of years or their lifetimes. After the designated timeframe, the trust remainder is distributed for the benefit of the charity.
3. YOU CAN MAKE A BIGGER IMPACT THAN IMAGINED.
It is a major misconception that only extremely wealthy people can make a gift of sizeable impact. This is especially true in planned giving. There are many scenarios in which donors can maximize the value of an asset by investing it in a charitable remainder unitrust or charitable gift annuity, which provides a greater rate of return to the benefactor and overall gift amount. For example, the late Peggy and John R. Hill Jr. ’44 established a charitable remainder unitrust which nearly doubled in value during their lifetimes, amplifying its long-term impact on Texas A&M once realized.
4. TAX BENEFITS MAKE GIFTS A MUTUALLY-BENEFICIAL SOLUTION.
Unfortunately, wealth is often associated with tax burdens. If you are considering donating to a charity, a planned gift could help alleviate this headache. There are many forms of assets you can donate to a charity, such as funds from your IRA, appreciated securities like stocks, and personal property such as real estate, farm equipment, oil and gas royalties, artwork, etc. Using similar assets to create a planned gift will greatly reduce taxes. Refer to our past article, “Maximize Your Year-End Charitable Contributions,” by accounting and tax expert Andy Beakey ’84, for detailed information on the advantages charitable giving provides taxpayers.
5. YOU BECOME A PRESTIGIOUS HERITAGE MEMBER.
If you plan a gift with the Texas A&M Foundation, you receive an invitation to join an elite group of fellow Texas A&M supporters. Once you become a Heritage Member, we recognize your commitment to providing a brighter future for the university by inviting you to annual donor appreciation events, such as the Heritage Tailgate held each fall. Your name is also displayed as a Heritage Member on the glass panels in Legacy Hall at the Jon L. Hagler Center.
