Estate Gifts

Your Legacy - make a planned gift in your estate

Imagine the power in saying:

Generations will remember me because...
I teach kids to read.
I save endangered wetlands.
I support cutting-edge research.

How will you be remembered?

A charitable gift that will be realized in the future is a smart, often used tool for estate planning. The gift will have meaning and impact for years to come at the same time providing you valuable estate and tax planning advantages.

Ways to Create Your Legacy With a Planned Gift

Direct Gift
A bequest is the simplest way to include a charitable gift in your estate. The inclusion of a provision in your will or trust documents can provide for a specific amount, asset or remainder. This is an easy way to add to or create your Fund while potentially reducing your estate taxes.

Gifts That Provide Income To You

A Charitable Gift Annuity is simple and offers reliable income. When you establish one with The Miami Foundation for $25,000 or more you:

  • receive an immediate tax deduction
  • guarantee an attractive rate of return for life
  • create a more favorable tax position
  • save on probate costs and estate taxes

Payments on Charitable Gift Annuities can also be deferred providing you with a current tax deduction and augmenting future retirement income on a tax-sheltered basis.

For current Charitable Gift Annuity rates click here.

To Your Loved Ones
There are two creative options to consider when you wish to provide income to others and make a charitable gift at the same time.

A Charitable Lead Trust contributes the income from the Trust to a Fund at The Miami Foundation while leaving the principal to your designee(s).You state in the documents how much is contributed and for how long and if payments are variable or fixed.

These Trusts are effective for excluding certain assets and their appreciation from your estate.

Consider establishing a Charitable Lead Trust with your Fund at The Miami Foundation as beneficiary when:

  • it is a year that you have a large amount of taxable income and can benefit from a large tax deduction
  • you are looking to reduce gift taxes and/or probate costs
  • there are assets that you would like to transfer to others at a low cost

A Charitable Remainder Trust pays income from the Trust to your designee(s) or you, for an established period of time. At the end of the time period, the remainder then establishes your Fund at The Miami Foundation.

These Trusts are very flexible. Payments can be made to you and then to your designee(s) after your death or this type Trust can be established in your estate to benefit a loved one.

Payments from the Trust can be variable – a Charitable Remainder Unitrust; or fixed – a Charitable Remainder Annuity Trust.

The payout rate from an Annuity Trust must be at least 5% of the initial fair market value of the gift. You'll receive a tax deduction for this value and avoid capital gains taxes on the transfer of appreciated assets and securities. Note that once established, additional contributions may not be accepted.

A variable payout rate is determined by the fair market value of the Trust. As the Trust's assets increase, the payments will. Law stipulates that at least 5% must be paid out per year. When performance is higher than the 5%, or rate you specify, the gains are reinvested and increase your principal and payments. If however, performance is lower than the stipulated rate, you will work against the Trust's principal.

Consider establishing a Charitable Remainder Trust with your Fund at The Miami Foundation as beneficiary when:

  • an asset is putting off low yields and you would like to increase
  • there is liability in your estate that you would like to decrease
  • you are looking to avoid capital gains taxes on a highly appreciated assets and/or securities
  • reduce gift taxes and/or probate costs
  • there are assets that you would like to transfer to others at a low cost

 

Legacy Society

When you include a gift at a certain level in your estate, you will become a member of our Legacy Society. This elite group is comprised of forward-thinking individuals who share a commitment to protect and strengthen this community.

Each year, you will be included in an exclusive annual event for Legacy Society members. Members are recognized in our publications and at various philanthropy events throughout the year.

You may of course, always choose to remain anonymous in your philanthropy. Understand that the leadership you are demonstrating by your participation in the Legacy Society can encourage others to join you. Our collective hope is that they too may have an enduring impact on our community and about the issues for which they care.

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There are numerous implications that should be considered when making decisions about your estate. We are happy to work with you and your team of professional advisors to develop a solution that makes the best sense for you and your goals.