Options for Planned GivingPrint Article

The St. Paul Center for Biblical Theology is a 501(c) 3 non-profit research and educational institute.

We encourage your prayers and tax-deductible financial gifts and donations. Below we outline briefly some of the more popular options available for you to support our mission as part of your estate planning and planned giving strategies. We would be happy to discuss these or other areas of support with you and your financial adviser. Please call us at (740) 264-9535.

Securities gifts: You can donate stocks and bonds to the St. Paul Center and not have to pay the capital gains tax on the increase in their value since you first bought them. You’ll also be entitled to a charitable-tax deduction on the current market value of your securities.

Real estate gifts: You may want to donate to us the deed to a property you own. This lets you make a substantial, generous gift and relieves you of the burden of maintaining and paying taxes on that property. You can choose to give us your home or your vacation home and retain what’s called “life estate.” That means you keep living in the home until the time of your death, at which time we assume possession. Either way, you’re entitled to deduct the market value of your property from your taxes and you’re exempted from capital gains tax on any increase in the property’s value since the time you bought it.

Gifts of personal property: You can reduce the taxes your loved ones will have to pay on your estate by making a donation to us of valuable property such as furniture, books, antiques, art and coin collections. We’ll sell your gift and use the proceeds for the building up of the St. Paul Center.

Gifts of life insurance: Name the St. Paul Center as beneficiary of some or all of your policy’s proceeds, and you can deduct the policy’s cash-surrender value from your taxes. If you’re still paying premiums on the policy, you can name us as beneficiary and take a deduction on both the cash-surrender value in the year of the gift and on every premium you pay after that.

Retirement-plan giving: You can also name us as beneficiary of your retirement savings accounts such as IRAs, 401(k) and Keogh plans.

A gift in your will: After providing for your loved ones, you can leave a donation to the St. Paul Center in your will.

Charitable gift annuities: This is an increasingly popular estate-planning vehicle. The way it works is this: You can make a donation to us. We in turn invest your donation and from the interest we earn we make annual payments to you, your spouse, a child or to an aging parent or other loved one. The amount we pay out to you depends on your age or the age of the loved one you designate. But once the rate is established it never changes. You get a tax deduction in the year of your gift, and a portion of each payment we make to you is tax deductible for a certain period of time.

Deferred gift annuities: Similar to the charitable gift annuity, under this plan you make a donation and we invest it but “defer” making payments to you until you reach retirement age. At that time, we make quarterly or annual payments to you at a rate calculated on the basis of current interest rates, your age, and the length of the deferral. In addition to providing a substantial gift to the St. Paul Center and providing you with retirement income, you receive a large tax deduction on your donation — usually between 50 and 60 percent of your gift.

Charitable remainder trusts: Under this option, you make a donation to the St. Paul Center that is put in a “trust” set up by you and your financial advisor. You can set up your trust so that it distributes proceeds to you or a loved one or someone else you designate. You can set up an “annuity trust,” which pays a fixed amount of income each year. Or you can set up a “unitrust,” which pays a variable income based on the current value of the assets held in the trust. At the end of your life or the trust period, the property remaining in the trust — the charitable remainder — becomes the property of the St. Paul Center. You receive a tax deduction in the year of your gift and you aren’t subject to capital gains taxes on securities or other property that you transfer into your trust. Nor is the trust required to pay capital gains taxes as the trust assets increase in value.

Revocable living trust: You can use this giving option in order to make a donation to the St. Paul Center from your estate. You establish a trust and designate a “trustee” — either yourself or somebody else — to manage the trust during the course of your lifetime. You also name a “successor trustee” to manage it when you die or no longer able to. You also specify that you want all or a portion of the assets in the trust to be donated to the St. Paul Center upon your death. You retain full control without any restriction over the assets you place in the trust — your home, cash, securities, etc. The trust manager — either you or the person you designate — has the power to distribute principal and income from the trust according to your wishes. And the trust you establish can be canceled or revoked at any time. Hence, the name “revocable” living trust.