Ways to Provide for De La Salle Institute

Bequest

A donor bequeaths either a specific amount or a percentage of his/her estate to De La Salle Institute in his/her will. The donor retains principal and income during his or her lifetime.

Advantages:

• Estate Tax Deduction when gift is paid
• Bequest may be changed at any time
• Enables donor to assure that annual giving will not terminate

Charitable Remainder Trust: Annuity Trust & Unitrust

The charitable remainder trust is an arrangement whereby you transfer money or property to a trustee, requiring the trustee to provide for payments exclusively to you or one or more individuals for life or for a period of years, with principal passing to De La Salle Institute when the rights of the individuals terminate, usually at death. The nature of the recompense to the income beneficiary(ies) distinguishes whether it is an annuity trust or a unitrust.

Annuity Trust

An annuity trust pays a stated dollar amount (equal to at least 5% of the value of the money or property you place in trust) that remains fixed over the life of the trust to the beneficiary you designate. This is a guaranteed payment that is made annually without regard to the investment experience of the trust.

Unitrust

With a unitrust, instead of a specific dollar amount being payable to the income beneficiary, a specific percentage of the value of the property in trust must be paid annually to the income beneficiary you designate. The amount of income paid keeps pace with market changes.

Advantages:

• Gift to De La Salle Institute without loss of income
• Current income tax deduction allowed for future gift
• No capital gains tax

Pooled Income Fund

In a pooled income fund, there is a transfer of property to De La Salle Institute with income retained and an earned income annually to someone for life (other than De La Salle Institute); funds are pooled with other donors and life income keeps pace with market changes.

Advantages:

• Gift to De La Salle Institute without loss of income
• Current income tax deduction allowed for future gift
• Values based on current market value without triggering taxable capital gain
• Beneficiary and/or donor retains lifetime income

Charitable Gift Annuity

A charitable gift annuity allows for a life annuity for one or two lives, issued by De La Salle Institute in exchange for gift property with all of the assets of De La Salle guaranteeing the annuity payment to the annuitant(s) at the time of the gift. The donor increases income by consuming principal and earning over lifetime.

Advantages:

• High income generated by using investment earnings and part of the principal spread over donor's lifetime
• Charitable tax deduction for value of remainder gift
• Basis recovered tax-free over donor's lifetime
• Charity received capital gift when income need ends

Charitable Life Insurance

With charitable life insurance, there is a partial transfer of future income to De La Salle Institute; the systematic premiums on policy are owned by De La Salle and there is a creation of a capital fund to De La Salle without evading estate assets. Premiums may be terminated at any time if financial circumstances change.

Advantages:

• Gift of future income to De La Salle Institute on a present budget basis
• Current income tax deduction allowed for future gift
• Estate assets retained for family

More about Bequests

The following general form is suggested to those friends of De La Salle Institute who wish to help ensure the continuation and growth of our mission of education for the young men at the Institute Campus and for the young women at the Lourdes Hall Campus by means of a mention in their will.

"I give, devise and bequeath to De La Salle Institute, an Illinois not-for-profit organization located at 3455 South Wabash Avenue, Chicago, Illinois, the sum of $____________ (or specifically described property)."

We welcome inquiries about bequests. Through this type of generosity, the vitally important work of De La Salle Institute can continue. Thank you.

Note: This section is intended to show only some of the ways you can benefit the future of De La Salle Institute and minimize your federal tax liability. It is produced with the understanding that we are not engaged in rendering legal, accounting or other professional services. If legal advice or other expert assistance is required, the services of a competent professional in the field of law, accounting or insurance should be sought.