There are many
ways to fund your charitable interests. The
Oak Park-River Forest Community Foundation
receives a variety of assets and can help
you evaluate your options for giving. The
Community Foundation accepts: Cash,
Check, Cashier's Check, Money Order, Wire
Transfer, Credit Card, and ...
Appreciated Stock
Appreciated Stock makes an excellent charitable
gift. Under current tax laws, when an appreciated
asset (such as stock) is sold, a capital gains
tax is due. By making a charitable gift of the
appreciated stock, you can avoid or delay the
capital gains tax. You can also take an immediate
income tax deduction for the current fair market
value of the stock, no matter what was originally
paid for it.
A Bequest Through Your Will
One of the most simple and popular ways to
make a gift that will live after you is to give
through your will. You can make a gift bequest
to benefit one or more charitable not-for-profit
organizations by providing a dollar amount, specific
property, percentage of your estate, or the remainder
(what's left) in a fund at the Community Foundation
We provide an extra level of assurance that your
charitable intentions are fulfilled. Such a designation
can reduce your estate taxes. In many cases,
a simple change to your will can add this bequest
and does not require rewriting your most recent
will.
Charitable Remainder Trust
Donors and spouses can benefit from lifelong
payments from such a trust. The donor selects
the rate of return from these income arrangements
and also chooses a fixed or fluctuating annual
payment to be made to the designated parties
as long as they live. Capital gains tax may be
completely bypassed and you will receive a tax
deduction based on the age of the income recipient
and the rate of return chosen.
Charitable Lead Trust
In a charitable lead trust, assets (generally
cash or securities) are transferred to a trust
that pays income from the fund to the Oak Park-River
Forest Community Foundation for the number of
years you select. At the end of the designated
time period, the trust terminates and the assets
are given back to the person you name. This trust
helps to lower estate and gift taxes that would
otherwise be due on the assets. This option is
especially attractive if you want to leave your
children or grandchildren assets in the future,
but not immediately.
Charitable Gift Annuity
In exchange for a gift of cash, stock or securities,
the Oak Park-River Forest Community Foundation
will pay you, you and your survivor, or another
person named by you, a guaranteed income for
life. In addition, you receive a substantial
income tax deduction in the year of the gift
and part of the annual payment is non-taxable.
Your annuity payment and tax deduction are based
on the age and income of the recipient.
Life Insurance
Insurance is another simple way to make a substantial
future gift at a level that would not be possible
at the same level in cash. Name the Oak Park-River
Forest Community Foundation the owner and beneficiary
to receive the proceeds of an existing life insurance
policy. You will receive a tax deduction for
approximately the cash surrender value, thereby
reducing your tax liability in the year of the
gift.
An alternative is to purchase a new life insurance
policy naming the Oak Park-River Forest Community
Foundation as owner and beneficiary. With this
option, you receive an income tax deduction for
each premium made and make possible a major gift
with a modest annual payment (or one-time premium
payment).
IRA's, 401k
Plans, etc.
Account funds (IRAs or company plans) beyond
the comfortable support of yourself or loved
one may be given (like life insurance proceeds)
to the Oak Park-River Forest Community Foundation
through proper beneficiary designation. Large
pension plan assets can be subject to double
or triple taxation (federal estate, federal income,
and state death and state income tax) that virtually
eliminates the benefits to heirs if tax-wise
alternative planning is not arranged.
Real Estate
For some people, a gift of land, primary residence,
or vacation home is a preferred way to make a
gift. You will receive a tax deduction for the
full fair market value, avoid all capital gains
tax and remove this asset from future estate
taxes. One option is to give real estate to the
Oak Park-River Forest Community Foundation while
you retain a life tenancy. This provides a substantial
income tax deduction by giving (deeding) your
home or farm to the Oak Park-River Forest Community
Foundation now. You continue to live there, maintain
the property as usual, and even receive any income
it generates. At your death the property will
be sold by the Oak Park-River Forest Community
Foundation and the proceeds will support the
organization's mission.
