Gifts of appreciated securities owned more than one year offer important tax advantages. Their full market value is deductible as a charitable contribution and allows you to claim up to 30% of your adjusted gross income each year when you itemize deductions.
As with gifts of cash, deduction amounts that exceed the limit may be carried forward into as many as five additional years. In addition, you will not have to pay federal or state capital gains taxes on the appreciated portion of the gift.
A bequest to the Waco Foundation ensures that the charitable causes which have become important to you and your family continue to be supported beyond your lifetime. Bequests can be made by will or revocable trust.
Bequests can take a variety of forms, such as a specific amount, a percentage of your estate or a certain asset. You can also name the Waco Foundation as the "residuary beneficiary" of all or part of your estate after other bequests has been made, or as a "contingent beneficiary" in the event other named beneficiaries do not outlive you.
The easiest way to give. And it’s always tax deductible.
A charitable remainder trust is an irrevocable transfer of cash or another type of asset to a trustee who manages the asset and pays income to you or other beneficiaries for life or for a term of years. At the end of the trust term The Waco Foundation distributes the principal accrued according to your philanthropic recommendations, so you can rest assured your gift will always be used to fulfill your original intent.
A charitable lead trust results in immediate funding for charitable work in the community while providing for the eventual transfer of wealth to your heirs at greatly reduced gift and estate tax rates. Assets are transferred to a trust that pays income to The Waco Foundation and when the trust ends, the principal may be distributed to your heirs or returned to you.
Many donors choose to set up donor advised funds to be actively involved in the grantmaking process. You can establish a donor advised fund quickly and easily with a short fund agreement and a single gift. You can then recommend grants from your fund to charitable projects or organizations you wish to support. It is easy to give to multiple nonprofits through a donor advised fund.
Donor advised funds are particularly useful for families who have broad charitable interests but may have a one-time tax or income event that necessitates a large gift that can then be used to fund charitable activity over a number of years.
You can make a gift to the Waco Foundation by naming the Waco Foundation as the beneficiary of a life insurance policy.
You may also designate the Waco Foundation as the owner and beneficiary of a paid-up insurance policy. In that case, you will receive an income tax charitable deduction equal to the lesser of the "replacement" value or cost basis of the policy.
You can also use life insurance as a wealth replacement asset. You may replace the dollar value of an asset transferred to the Waco Foundation with a life insurance policy of which your family members are beneficiaries. The income tax and other tax savings from your gift to the Waco Foundation are often more than enough to cover the cost of the insurance premiums.
Establish a memorial gift at the Waco Foundation to honor a family member or friend.
The Waco Foundation accepts gifts of real estate such as houses or other personal residences, farms, commercial buildings, land, and income-producing property on a case-by-case basis.
A gift of real estate that you have owned for more than a year may entitle you to the same federal tax advantages available for gifts of securities: a tax deduction for the fair market value of the property, coupled with avoidance of capital gains tax.