Planned giving is a way you can make a considered choice about how you want to use your assets now and after your death. It usually involves financial or estate planning; however, it is not reserved for the wealthy. We would be happy to work with you and your financial and legal advisors if you are interested in leaving a legacy at Stephens through planned giving. Alumnae and friends who make a planned gift are recognized as members of our Within the Ivy Society.
To learn more about the various planned giving options, click on the links below.
For more information about any of these options, please contact Marissa Todd, JD, MBA '10, Director of Advancement Services and Planned Giving, at [email protected].
Consider the advantages of making a gift of life insurance to Stephens College.
Life Insurance Gift Options:
A will is perhaps the easiest and the most common way of planning an estate, and yet the majority of people die without one. A will allows you to designate an executor for your estate, name a guardian for minor children, and dispose of property to whomever you choose. Without a will, the state will decide what happens to your children and property.
Many people choose to include charities in their wills. A charitable bequest can help you support a worthy cause even after you are gone. Your gift can be unrestricted, allowing Stephens to use it for our greatest needs, or restricted for scholarships, endowment, or some other area of Stephens you wish to support.
A gift through your will can take the form of a set amount of money, a percentage of an estate or a specific asset. Below is some sample language for including Stephens in your estate plans.
Sample Bequest Language:
"I give, devise and bequeath (state amount, asset or percentage of the estate) to Stephens College, Columbia, Missouri, to be used (describe use) or as the College's governing board deems appropriate."
A charitable gift annuity gives you a way to provide for you and your family's financial future with a dependable, guaranteed lifetime income. Charitable gift annuities typically enjoy a higher rate of return than most conservative investments and are never subject to market fluctuations. In addition, part of your annuity income is tax-free.
A gift annuity can be established with a gift of cash, appreciated stock or other assets. Gift annuities are a simple contract which guarantees that Stephens will pay you a fixed income for the rest of your life or the lives of both you and your spouse (or another beneficiary that you designate). The rate of the annuity is based on your age (or ages for a two-life annuity).
Stephens College can offer gift annuities in the following states: Alaska, Arizona, Colorado, Connecticut, Idaho, Indiana, Iowa, Kansas, Kentucky, Louisiana, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, North Carolina, South Carolina, Texas, Utah, Vermont, Virginia, West Virginia, and Wisconsin.
Benefits of Charitable Gift Annuities:
The minimum amount to establish a gift annuity is $10,000. If you are interested in a calculation, please contact our office.
A charitable remainder trust allows you to make a gift to Stephens while providing yourself with lifetime income. A charitable remainder trust can be established with your legal and/or financial advisors. We are happy to work with you to ensure your ultimate gift supports Stephens in the way you wish.
Benefits of Charitable Remainder Trusts:
For many families, real estate has been an excellent investment because its value usually increases over time. Few people realize that the real estate itself might be the source of a substantial gift. If you do not need to use your property, you can give it to Stephens now and receive a charitable deduction. You may also receive income for life if you put the property into a charitable remainder trust. If you want full use of the property but wish to leave it to Stephens upon your death, you can establish a life estate or bequest.
Benefits of using real estate as a charitable gift:
Bill and Barb own a home worth $200,000. They want to make a substantial gift to Stephens College, but they want to continue living in their home. They give Stephens their home but retain a life estate for themselves. They continue to live in the house until their deaths. Bill and Barb gain a large and immediate income tax deduction and remove the house from their estate, thus reducing future estate taxes. They also have the satisfaction of knowing they have made a major deferred gift to Stephens.
One of the simplest and most "tax wise" ways to make a gift to Stephens College is through your IRA, 401(k), 403(b) or other qualified retirement plan. You can name Stephens as the direct or contingent beneficiary of all or a percentage of your plan. A simple fund agreement between you and the College will ensure that Stephens uses the money according to your wishes.
There are two major benefits to using retirement assets to fund a charitable gift. First, you will avoid federal estate taxes on the value of the assets that pass to Stephens. In addition, heirs are subject to income taxes when they receive distributions from retirement plans. Designating Stephens as beneficiary bypasses these taxes.
Marie has an 401(k). She does not want to leave the funds to her family members because she knows they will have to pay income tax on any distributions from the 401(k). Marie decides to name Stephens as the beneficiary of her 401(k). Upon her death, the funds in the account will transfer to Stephens. She will avoid paying estate taxes on the value of the account and make a generous gift to Stephens in the process.
*The information contained on this website is intended as general educational material, not financial or legal advice. You should consult your own tax or legal advisor to determine how the concepts discussed on this site apply to your circumstances.