Planning your legacy now will ensure that your love of the arts will be there for future generations to enjoy. As you create this lasting legacy for you and your family, we hope you will consider making a Planned Gift to the Mayo Performing Arts Center.
Planned Giving provides significant financial benefits to both the donor and to the Theatre. When you create your estate plan with your financial advisor, there are many ways that you can reduce your current or future tax burden by initiating tax-saving strategies. These include:
The reason for making a will is to have peace of mind knowing that your intentions for your family and friends will be followed and your philanthropic endeavors will continue. A charitable bequest in your will is an effective way of providing for MPAC while retaining your assets throughout your lifetime. There is no limit to the amount you could leave MPAC or other nonprofit organizations in your will.
If you already have made a will, it is easy to add MPAC as a beneficiary simply by contacting your attorney and adding a codicil to the existing will.
A bequest to MPAC is deductible from your overall estate, which in turn will provide estate tax savings for your family. There are various types of bequests to meet different needs:
Specific Bequest: An easy way to make a meaningful gift is to name MPAC the beneficiary of a stated amount of money, or a percentage of your estate.
Residuary Bequest: Once all specific requests to family and friends have been honored, you can designate MPAC to receive all or part of the remainder of your estate.
Contingent Bequest: In this case, estate assets will go to family members and friends as the primary beneficiaries. However, if the primary beneficiaries predecease you, it is important to name a contingent beneficiary to receive the assets.
Cash and/or Securities
This is the quickest way to make a gift to MPAC and enjoy it in your lifetime.
By donating cash to MPAC, you can reduce your income tax by claiming a charitable deduction on your IRS return, and also reduce future estate taxes.
By donating stocks, bonds or mutual funds to MPAC, you can take an immediate charitable deduction of the full fair market value at the time of transfer and avoid capital gains tax.
Cash and/or Securities are tax-wise ways to donate that can give you the immediate satisfaction of supporting MPAC as one of your favorite charities.
Like bequests, a trust makes you feel secure and confident that your wishes for your family, friends and favorite charities will be carried out. There are several ways to create a trust that works for you and allows you to retain control of your assets. Always consult with your financial advisor or estate planner before choosing the type of trust that includes:
Revocable Living Trust or Family Trust:
By creating a trust and naming MPAC as one of your beneficiaries, you pay no federal estate tax on your gift and you retain control of the trust. If you already have an existing trust, it can be modified through an amendment by having your attorney amend your Trust when you want to add or change beneficiaries, change disposition of your assets in the trust, or change trustees.
Charitable Remainder UniTrust or Annuity Trust:
These types of trusts are created by transferring your assets including cash, property and securities into the trust to counter inflation and supplement your retirement income. Both types provide you an income for life – UniTrust provides a variable income and Annuity Trust a fixed income – and allow you to take an immediate charitable income tax deduction, bypass capital gains, and save on estate taxes.
When the contract terminates, the investment firm you chose will give the remainder of the trust to MPAC and any other charities that you determined in advance.
Charitable Lead Trust:
A lead trust enables you to be philanthropic in your lifetime and then allows your assets to revert back to your heirs. Transferring your assets including cash, property and securities into a lead trust helps you to reduce gift and estate taxes while paying income form the trust to support MPAC’s mission for a specific period of time.
If you donate a valuable collection or item such as a work of art, jewelry etc. that can be used or sold by MPAC, you can take a charitable deduction of the full fair market value and reduce future estate taxes.
Donating property such as houses and land to MPAC or selling it to us below market value can reduce or eliminate capital gains tax and avoid the need to sell the real estate. By donating property, you can take an income tax deduction based on the full appraisal value of the real estate.
Transfer ownership of a Life Insurance you no longer require to MPAC or naming us the beneficiary or partial beneficiary of your policy allows you to take an income tax deduction of the cash surrender value of the policy. If you continue to pay the policy premiums, you can take future deductions too.
Naming MPAC as the sole or partial beneficiary of an IRA, (401)k, or 403(b) will avoid paying income and estate taxes on these highly taxed assets.
If you would like to inform us of your intention to leave a Bequest in your Will or make a Planned Gift, we will automatically enroll you as a member of the MPAC Golden Legacy Society that comes with Special Benefits and Privileges. Informing us of your intention to make a Planned Gift to MPAC is as simple as filling in and mailing the Intent of Planned Gift Form or writing a letter to us.
Gift planning requires careful consideration so that you are able to put your assets to work for you and your family first and for the causes you believe in. Our Major Gifts Manager welcomes the opportunity to work with you and your financial advisor to determine the Planned Giving strategy that will meet your own personal and financial goals. For more information or to make an appointment, please contact Lana Missaggia, at 973-539-0345, Ext. 6526 or email@example.com