What is Planned Giving?
Planned Giving is about preparing a gift for the future from which you also receive a financial benefit. Planned gifts, unlike cash donations, are typically made from assets in your estate, which means your disposable income is unaffected. These gifts often require help from your professional advisors as well as some advance planning.
You can name TKA as the direct beneficiary of specific assets, or a portion of your estate, or of your residual estate after payment of other bequests. Bequests to the school are entirely free from federal estate tax and can, therefore, offer substantial estate tax savings. There is no limit on the amount you can leave to TKA through your will.
If you wish to include TKA in your will or living trust, please use the following language after stating the nature of the gift:
TKA, a non-profit corporation organized and existing under the laws of the State of California, with a current address of 562 Britton Ave. Sunnyvale, CA 94085-3841, and a federal tax identification number of 77-0287771.
There is no limit on the amount you can leave to TKA through a retirement plan beneficiary designation.
Charitable Remainder Trust (CRT)
With the typical charitable remainder trust, long-term appreciated securities are donated to a trust for the ultimate benefit of the school.
Charitable Lead Trust (CLT)
With the typical charitable lead trust, donors transfer assets into the trust for the life or lives of individuals or for a term of years with the TKA named as the income beneficiary.
Donations of real estate may be done through a bequest in a will or living trust. There is also a gift of remainder interest in a personal residence (Life Estate Remainder). With this gift, the donor irrevocably transfers ownership of a personal residence to charity, retaining the right to live in or otherwise use property during the donor's lifetime. This gift creates an income tax deduction for the present value of the calculated remainder gift to charity. Deduction can be carried forward to future years if necessary. This type of gift allows the donor to take the personal residence out of their taxable estate while still residing in it.
You can name TKA as a partial or total beneficiary of your Retirement Plan. You can name TKA as a partial or total beneficiary of your Individual Retirement Account (IRA), pension plan, employer retirement plan. This type of gift to TKA is distributed outside of probate and is entirely free of both federal estate tax and income tax. There is no limit on the amount you can leave to TKA through a retirement plan beneficiary designation.
An Endowment is a long-term investment in the school's future, and is considered "a stretch gift" which is normally larger than a Annual Fund donation, and can be paid over a period of a few years.
For further information about these and other ways to donate to The King's Academy, contact Mike Johnson, TKA Development Director at (408) 481-9900 x4210.