Charitable Giving: Hot Topics & Techniques

1. Charitable Gift Annuity

• Immediate Income Tax Deduction
• Charity Benefits from Entire Asset
• Lifetime Income to Donor & Family

2. IRA Charitable Rollover (Qualified Charitable Distribution-QCD)

• Charitable contributions from IRA count toward Required Minimum Distribution (applicable for individuals age 70 1/2 and older)
• Contributions excluded from donor's taxable gross income (up to $100,000)
• Transfers must be made directly to public charities (no donor advised funds)

3. Charitable Remainder Trust (CRT)

• Immediate Income Tax Deduction
• Income to Family, Remainder to Charity
• Donor/Trustee Controls Investments

4. Charitable Lead Trust (CLT)

• Immediate Income Tax Deduction
• Income to Charity, Remainder to Family
• Donor/Trustee Controls Investments

5. Private/Community Foundation

• Immediate Income Tax Deduction
• Donor & Family Controls Investments
• Donor & Family evaluate charities & make distributions

6. Life Insurance

• Immediate Income Tax Deduction
• May leverage annual premiums into a larger future gift.

Note:  The amount and availability of any immediate income tax deduction depends on the particular facts of each case and should not be the primary reason for making a charitable gift.