Providing for The Willows in your will or trust is the very best way to ensure that generations of children to come will continue to receive the benefits of a Willows education. Because your bequest to The Willows is a charitable contribution, the entire value of your bequest is deductible for federal estate tax purposes.
You can make a charitable contribution to The Willows, receive an immediate tax deduction, and receive annual income for the rest of your life. The rate you receive is based on your age and increases as you get older. Upon your death or that of your designee, the remaining principal goes to The Willows. Gift annuities to The Willows are administered by the California Community Foundation.
You can name The Willows as a beneficiary on a new or existing life insurance policy. There are a number of different ways this can positively impact your tax situation. Please talk to your tax professional for particulars.
A charitable remainder trust is another way to provide income for you or your spouse. You may set up the trust so that you receive an income stream either until your death, or for a specified period of years. Unlike a gift annuity, donors have two options when deciding the payout rate of the trust: either a fixed dollar amount, which does not change from year to year, or a fixed percentage of the value of the trust, to be reevaluated yearly. When the trust expires, the remaining principal goes to The Willows.
Many people choose to name a charity as a beneficiary of a percentage, or all, of the assets they have in retirement accounts, such as Individual Retirement Accounts (IRAs) or 401(k)s, to a charitable institution. Why? Since such a designation constitutes a charitable contribution, it often lessens the amount of estate and income taxes due upon death, (a double benefit) which can result in more of your assets being received by your heirs.
Do you have a home, commercial property or an undeveloped lot that you own outright and no longer have use for? Consider gifting the property to The Willows and receive a charitable deduction for you or your heirs, while avoiding capital gains taxes.
A charitable lead trust allows you to place significant assets in a trust that pays income to The Willows, typically for a set number of years. The trust remainder is then payable to either you, the grantor, or to your family. Please contact your tax advisor for an explanation of how charitable lead trusts can reduce personal income tax for you, or reduce gift and estate taxes on assets passing to heirs.