Giving to the church is an amazing opportunity to benefit God’s love to your local community and others in distant lands.
Direct gifts: We have an account with EDGE (Bank of America) where you can transfer stocks and bonds that have appreciated in value and get a deduction for the appreciated value and not what you paid for the stock. We have a link on our website where you can donate an old and or unwanted vehicle. (We once had a plane donated to us). Other assets can be reviewed on an individual basis.
Indirect gifts: Thesecan be made in many different ways. You could consider giving the RMD (required minimum distribution) from your IRA or 401K, 403B directly to the church and it would not be included in your income for the year. Have you considered listing the church as a beneficiary of a life insurance policy or one of the beneficiaries of your 401k/IRA?
An additional way to give to the church is through a designation in a bequest from your will or revocable living trust as follows:
Allow session, through the administration committee and along with church staff’s input, to determine the best use of the money. The ultimate goal and use of these gifts is to find a balance between funding current needs of the church, long-term capital projects and/or by increasing the size of an endowment fund.
Example: An individual or family finds that they have been financially blessed and wish to gift cash or stock to the church. This can be done at any time. If no specific designation has been made, the gift would be considered unrestricted (Gifting appreciated stock directly may grant better tax benefits to the donor).
Permanently Restricted Gift
This would be a gift where the principal/corpus would never be spent, only the income and appreciation would be available for use for general use for the church or as designated by the donor. These and all endowment Funds would be administered by the Presbyterian Foundation upon receipt of restricted and endowment funds.
Example: Upon an individual’s death it was designated that $100,000 be placed in endowment for the benefit of the upkeep of the Circle Preschool. (Only the amount of interest earned from the $100,000 investment would ever be available for use by the preschool)
An individual or family either through a direct gift or through designations in their will and bequests would designate that a gift be specifically used by a ministry or for a single purpose.
Example: Upon my death I designate $10,000 to be used for the landscaping around the church. (The whole $10,000 would be available to beautify the campus of the church).
There are other planned gifts available through the church and the Presbyterian Foundation. We would be happy to discuss these opportunities with you. A few examples of these include:
Charitable Annuity: This allows for you to make a tax deductible gift to the church. The church will guarantee a fixed interest payment to you for the remainder of your life. Any principal remaining after your death would go to the church, as an unrestricted or restricted gift per your desire. Interest rates are extremely favorable to any current CD or Treasury Rate of interest. We would be happy to find out the rate and get a quote for you.
Charitable lead or remainder trusts: These trusts allow you to receive immediate tax deduction while granting certain rights for determining charitable gifts over time. These can be complicated but can also provide larger estates with significant tax advantages while being able to benefit designated charities.
General Endowment funds: These funds are set aside to grow to an amount usually 3 to 4 times the amount of the church’s budget. Then a portion of the interest would be available for the church to use as the fund designates.
Once we have sparked an idea as to something you would like to do, we can assist in more information before you see your tax and or financial advisors. Please contact us at firstname.lastname@example.org
There can be significant income and estate tax benefits when implementing a gift. Please consult your tax and investment professionals for specific advice.