Your support today makes it possible for us to reach out today to families in our community who need hope and a helping hand. But when you give to Chaffee County Habitat for Humanity through your estate or long-term financial plans, you are forging your life legacy with our housing ministry and ensuring that later generations can secure decent, safe and affordable housing.
Planned giving is the perfect way for you to leave your legacy and continue to touch the lives of families in Chaffee County after your lifetime. Planned giving can be done through a myriad of options including: bequests, charitable gift annuities, life insurance, memorials and honorary gifts, real estate, and securities.
In this month's newsletter we will provide you with basic information on Charitable Gift Annuities and Charitable Remainder Trusts. Through planned giving you can easily include a gift to Chaffee County Habitat for Humanity and benefit personally from your gift. We encourage you to contact your financial advisor or attorney to see which planned giving path is right for you.
Charitable Gift Annuities
Give and receive with a charitable gift annuity (CGA). If you'd like to support our mission and receive steady payments during your retirement years, a charitable gift annuity may be right for you. Always consult with your attorney or tax advisor to see if planned giving is right for you.
Through a simple contract, you agree to make a donation of cash, stocks or other assets to Chaffee County Habitat for Humanity. In return, you (and someone else, if you choose) receive a fixed amount each year for the rest of your lifetime.
In addition to providing a gift to Chaffee County Habitat for Humanity and receiving fixed payments for life, check with your financial advisor to see if you may also receive these benefits:
- Your initial gift is partially income tax-deductible.
- Your charitable gift annuity payments are partially income tax-free throughout your estimated life expectancy.
- Your payments are not affected by ups and downs in the economy.
- The gift annuity can be for one or two people, so your spouse or another loved one can also receive payments for life.
- If you use appreciated stock to make a gift, you can usually eliminate capital gains tax on a portion of the gift and spread the rest of the gain over your life expectancy.
Charitable Remainder Trusts
In the right circumstances, this plan can increase your income, reduce your taxes, unlock appreciated investments, rid you of investment worries and ultimately provide very important support.
With a charitable remainder trust, you or other named individuals can receive income each year for life or a period not exceeding 20 years from assets you give to the trust you create. Payments can be either variable or a fixed amount. After the life of the named individuals or the set period of years, the balance in the trust goes to the charities of your choice.
Your Possible Benefits
- A partial charitable income tax deduction
- Potential for increased income
There are two types of charitable remainder trusts:
The annuity trust pays you, each year, the same dollar amount you choose at the start. Your payments stay the same, regardless of fluctuations in trust investments.
The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.
Consult your attorney or financial advisor to see if planned giving is the right path for you.
