What Do You Know About Charitable Gifts?

November 1st, 2013

Mary Beth Crawford, ESQ.
Principal Cummings & Lockwood, LLC
Chairman of the DLC Planned Giving Committee

A donation to charity can create an improved sense of well-being. Knowing that you sacrificed something such as time, finances or property in order to help others in need can give you a sense of purpose in life. Planned gifts can provide that satisfaction along with benefiting the donor’s financial and estate plans. Take this quiz to see how much you know about Planned Giving options.

What Do You Know About Charitable Gifts?

Take our Quiz to Find Out

  1. With a charitable gift annuity, a donor transfers assets to a charitable organization in exchange for the organization’s promise to pay one or two annuitants payments for a set number of years. True or False
  2. An arrangement in which your home can become a valuable gift David Lawrence Center even while you are still living in it is called:
    • a home preservation gift
    • a retained occupancy estate
    • a retained life estate
    • an estate occupancy gift
  3. A charitable lead trust is an excellent choice if your goal is to make a charitable gift that also secures lifetime payments for yourself and a second individual. True or False
  4. When you establish a charitable remainder trust, you may receive an income for the rest of your life, as well as a current income tax deduction. True or False
  5. A simple gift you can designate for David Lawrence Center by adding specific language to your will is:
    • a. an honorarium
    • b. a bequest
    • c. a remainder provision
    • d. a charitable addendum

For answers to these questions and much more information about charitable gift types, visit our planned giving website, www.DavidLawrenceCenter.org and click on “Ways to Give.”

Answers:

  1. False: The charitable gift annuity offers payments to one or two annuitants for life.
  2. C
  3. False: The charitable lead trust provides payments to a charitable organization for a stated term, with the trust remainder returned to you or others you designate.
  4. True
  5. B

© The Stelter Company
The information in this publication is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are based on current rates at the time of printing and are subject to change. References to estate and income tax include federal taxes only; individual state taxes may further impact results.

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