We understand a planned gift is just a part of one’s estate plan. We want each person considering a planned gift to view and understand that gift in the context of that broader experience and to be certain that the gift chosen best meets that person’s financial, estate planning and philanthropic objectives. At Northland College, the best planned gift is the one that best serves the donor.
Since we concentrate on the desires and needs of our prospective donors, the descriptions of the various planned gifts will concentrate on the financial effects upon them. Nevertheless, we understand and appreciate the selfless and generous motives that prompt Northland College alumni and friends to consider a gift to us, and we are most grateful for their desire to help our students and further the mission of Northland College.
Simply stated, there are two categories of planned gifts. The first and largest is comprised of gifts taking effect at the donor’s death where the benefit received by the donor is largely federal and state death tax relief. Gifts included in this category would be revocable, (gifts which can be changed or eliminated prior to death), that are made through a person’s will or revocable living trust, or by naming Northland College as the beneficiary of a portion or all of a retirement plan, (i.e. IRA, 401(k) plan or 403(b) plan), or a life insurance policy.
The second category consists of gifts that may provide additional income to the donor or her/his designated beneficiaries, and then upon the death of the donor or the designated beneficiaries, the remainder of the gift passes to Northland College. These gifts are irrevocable, (cannot be changed or eliminated). At the time the legal documentation for the gift is signed, the donor will be entitled to a federal income tax charitable deduction, may be able to eliminate tax on any gain in value on assets used to fund the gift, and the gift will not be included in the donor’s estate for federal or state death tax purposes. Gifts included in this category would be Charitable Gift Annuities, Charitable Remainder Trusts, and Retained Life Estates.
Deferred Gift Types
- Gifts by Will or Revocable Trust
- Gifts of Retirement Assets
- Gift of Residence with a Retained Life Estate
- Charitable Gift Annuity
- Charitable Remainder Trusts