How Do I Make An Outright Gift?

How Do I Receive An Income From MY GIFT?

A life payment plan allows you to make a substantial gift to the Travelers Aid Society while still providing for your financial need. These types of plans are attractive to many donors because they offer substantial tax benefits and may increase cash flow to you and/or another beneficiary.

Gift Annuities: This is the simplest of the charitable life payment plans. In exchange for a transfer of cash, marketable securities or, in some circumstances, real estate, the Travelers Aid Society of Los Angeles contractually guarantees to pay a specified annuity to you and/or another beneficiary. You can claim current charitable deduction for the portion of the transfer that represents the charitable gift. As with other types of annuities, a portion of each annuity payment may be free of income tax over the life expectancy of the annuitant. If appreciated assets are used, then only a portion of the capital gain must be recognized over your life expectancy.

Charitable Remainder Trusts: These are popular plans because of the financial and estate-planning flexibility the offer. They are similar to other types of trusts, except that the Travelers Aid Society of Los Angeles, the charitable beneficiary, receives the remainder interest. You entrust property, specifying how trust income and the remainder interest will be distributed. A trust created during your life takes advantage of income, capital gain, and estate tax savings. A trust effective at the end of your life is especially useful for accepting retirement-fund assets.

Charitable Remainder Unitrust: The primary feature of a unitrust is that it provides for payment to Travelers Aid Society of Los Angeles of an amount that may vary. Travelers Aid Society of Los Angeles receives a percentage, a minimum of 5%, of the fair-market value of the trust assets as valued annually. If you fund the unitrust with appreciated property held for more than 12 months, you can increase the tax benefits. A unitrust is the vehicle of choice for converting marketable real estate and unmarketable securities to income production. You may choose to make additional gifts to the unitrust in the future

Charitable Remainder Annuity Trust: The annuity trust shares many common features with a unitrust. The principal difference is in calculating the stream of payments to Travelers Aid Society of Los Angeles. The annuity trust provides a fixed payout of not less than 5% of the initial fair-market value of the gift in trust. The fixed payout feature of the annuity trust makes it particularly suitable for a beneficiary who needs the security of specified income.

Deferred giving is a very effective way to leave a significant gift to the Travelers Aid Society of Los Angeles that you may not have been able to during your life time.

Gifts by will or bequest: Gifts by will allow you to give in ways that you were not able to during your life and can take various forms:

Specific Bequests direct that the Travelers Aid Society of Los Angeles receives a specific piece of property such as real estate, artwork, or jewelry.

General Bequests direct that Travelers Aid Society of Los Angeles receives a specified dollar amount.

Residual Bequests are used to give all or a portion of whatever remains after all debts, taxes, expenses and all other bequests have been paid.

Life Insurance: Many, if not most, people want some form of life insurance because of its unique ability to meet a variety of needs for financial protection. You can name Travelers Aid Society of Los Angeles the primary beneficiary or as a successor beneficiary of a life insurance policy. When the proceeds are paid to Travelers Aid Society of Los Angeles, your estate will be allowed an estate tax charitable deduction.

Gifts of Real Estate with Retained Life Interest: A gift of a remainder interest in a personal residence, vacation home or farm will provide you with a charitable deduction. What may be more important is that you can continue to occupy the residence or operate the farm without disruption.

Gifts of Retirement Benefits: Did you know that retirement plan benefits payable at your death may be subject to both income and estate taxes? If you name the Travelers Aid Society of Los Angeles as the beneficiary, the full amount of the retirement benefit will pass free of estate and income taxes.

The information on this website is not intended to be legal, financial, investment or tax advice. You should consult your attorney, financial or tax advisor when considering any legal or financial matter.