Types of Planned Gifts

Outright Gifts

Outright gifts are transferred immediately and directly from you to the Foundation, and provide instant resources to support our conservation activities. Outright gifts are tax deductible* and can help reduce your capital gains tax for appreciated assets.

Outright gifts can include:

• Gifts of cash
• Gifts of securities (stocks, mutual funds, etc.
• Gifts of real estate
• Gifts of valuable collectibles

*Some limitations may apply. Consult your tax advisor for deductibility of gifts.

Benefits of Outright Gifts

Cash

• You are entitled to a charitable income tax deduction.
• Your deduction counts against a larger portion of your taxable income (up to 50% of your adjusted gross income) than with a gift of appreciated assets (up to 30% of your adjusted gross income).

Gift of Securities

• Your gift is valued at fair market value for the securities on the date of transfer, and you receive an income tax deduction for the value of the gift.
• You do not pay capital gains tax on the securities you donate.

Real Estate

• You receive a charitable income tax deduction based on the appraised value of your property if the property has been held by you for over one year.
• You may apply the deduction for up to 30 percent of your adjusted gross income and carry it forward for up to five additional years.
• You avoid capital gains taxes on the transfer and the asset is removed from your taxable estate.

Bequests, IRAs, Retirement Plans & Life Insurance.*

You can name NRF as a beneficiary of your will, IRA, retirement plan or a life insurance policy. See Sample Bequest Language for including NRF in your estate plans.

Benefits of Bequests

Bequests

• Your assets remain in your control during your lifetime. If you do not have a will, the Wisconsin Statutes will determine the beneficiaries of your estate.
• You can modify your bequest during your lifetime.
• There is no upper limit on the estate tax deductions that you can take for a charitable bequest.

Gift of Retirement Assets

• By leaving a portion or your entire retirement account to NRF, you can avoid both income and estate tax applied on the residual left in your account.
• You can continue to withdraw from your accounts during your lifetime.
• You can change beneficiaries during your lifetime.
• You can choose to leave retirement plan assets to NRF through your will or revocable trust.

Gift of Life Insurance

• Your gift is valued as the cash surrender value of the policy and you can take an income tax deduction for the value of the gift.
• You may be able to use the cash value in your policy to fund a life-income gift, such as a deferred gift annuity.

Life Income Gifts

A life-income gift allows you to receive secure, tax-exempt income to help meet your current and future financial needs, while making a deductible and lasting gift to the Foundation. Life income gifts can also help you avoid capital gains and estate taxes.

Life income gifts include:

• Charitable Gift and Deferred Gift Annuities
• Charitable Remainder Trusts

Benefits of Life Income Gifts

Charitable Gift Annuities or Remainder Unitrusts

• If you donate appreciated assets, you do not pay capital gains tax.
• You receive an income tax deduction for a part of your contribution to the trust.
• # You, or the recipients you’ve designated as your beneficiaries, receive income for life or a specified number of years.
• You can make further gifts to the trust and receive additional tax deductions.

Differed Gift Annuities

• You receive an income tax deduction for a part of your gift which is higher than you would receive for an immediate payment annuity.
• You can defer your annuity payments until you want to start receiving them, such as when you retire.
• The effective rate of your annuity will increase the longer you defer your payments and the principal will grow tax-free.

Charitable Lead Trusts

• You can receive a gift tax deduction for the present value of the annuity payments to NRF.
• The transfer taxes due when the principal reverts to your heirs can be lessoned or eliminated based on the structure of the annuity payments and the term of the trust.
• Your heirs can receive the appreciation on your trust tax-free.
• The available estate tax credit ($1.5 million per person in 2004; $2.0 million per person beginning in 2006) can be applied to reduce taxes on transfers to your heirs.

The Future Depends on You Today

To learn more about planned giving with the Natural Resources Foundation, and to take a step towards making a meaningful legacy gift, please contact us at info@wisconservation.org.

You can discuss planned giving with an NRF representative by calling toll free (866) 264-4096

The Natural Resources Foundation does not give tax advice. We encourage you to discuss these planned giving options with your financial planner or estate attorney to find an option that is right for you.