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Gifts & Goals

A planned gift can be either a current or a deferred gift. This chart explains the different types of gifts. To learn more about each type of gift, click on its name or go to the "Types of Planned Giving" page.

*The information on this site is not intended to be legal, tax, or investment advice. Please consult your attorney and/or personal financial advisor to obtain this information.*

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GIFT

Click for more about each type of gift!

BENEFITS TO DONOR

BENEFITS TO MISSION

Cash or Appreciated Property

Current (outright) gift made today which is quick and easy to give.

  • Receive a current income tax deduction based on current fair market value of the asset at the date of the gift
  • Avoid possible capital gains taxation on the difference between fair market value and basis on appreciated assets
  • See goals and dreams fulfilled
  • $60,000 will send a missionary to Cameroon for one year
  • $2,000 will send four teenagers to a Christian music camp in Ohio

Bequest

Deferred gift which will go to charity sometime in the future when there is no longer a need for the property.

  • Control the property during life time
  • Can be changed at any time
  • Can made gift for a particular asset, specific dollar amount, a percentage of estate, the remainder or residue of an estate
  • Avoid possible Federal estate tax
  • $250,000 will construct a church building in Dakar, Senegal
  • $10,000 will buy 2,000 school uniforms for children orphaned by AIDS through the Surviving Children Orphan Trust in Zimbabwe, Africa

Charitable Gift Annuity

Contractual agreement made between a donor and a charity. Provides fixed annual payments for your, and/or your spouse or another’s lifetimes. The residual value of the gift will pass to the charity.

  • Receive a current charitable income tax deduction in the year the gift is made
  • Receive portion of each annuity payment as tax free return on investment and portion as ordinary income
  • Spread capital gains tax over the donor’s life expectancy
  • Avoid Federal gift and estate taxes on assets removed from the estate
  • $25,000 will construct a school for 300 orphaned children in Cambodia
  • $1,000 will fund a scholarship for three students at the Mokwon Theological Seminary, Taejon, Korea
  • $500 will enable ten children to attend The Summer Children and Youth Program - Cookson Hills Native American program, Center in Oklahoma

Life Insurance Policy

Contractual agreement between an individual and a life insurance company. Flexible, convenient, easy, and cost efficient way to carry out charitable intentions. Simply name the charity as beneficiary, contingent beneficiary or owner of the policy.

  • Name the charity as primary or contingent beneficiary on a policy already owned – premiums are tax deductible if charity is made “owner” of the policy
  • Purchase a new policy and name the charity “owner & beneficiary” – premiums are tax deductible
  • Give a paid up policy – the cash surrender value is tax deductible and a current gift is made
  • Assign the dividends – value of the dividends are tax deductible and a current gift is made
  • $375 will provide hymnals for a Lithuanian congregation
  • $7,800 will pay the salary for one year for a local pastor in Vietnam
  • $50,000 will provide prostheses for amputees injured due to land-mine explosions
  • $40,000 will purchase educational and telecommunication resources needed for the deaf community in the US
  • $30,000 will help train leaders in agricultural and nutritional development

Retirement Plan Account

Contractual agreement between an individual and a plan sponsor. Simply name the charity as beneficiary or contingent beneficiary.

  • Control property during lifetime
  • Bypass income tax otherwise assessed to heirs
  • Bypass possible estate taxes
  • $73,000 will provide safe transportation for Women's Ministries and Volunteer-in-Mission teams in Sierra Leone, Africa
  • $11,000 will provide 20 scholarships to send needy children in Lithuania to summer camp.

Real Estate Gift

Current or deferred charitable gifts can be made of real property or real property can be sold to a charity at a bargain price.

  • Avoid possible capital gains taxation on the difference between fair market value and basis on appreciated property
  • Receive a current income tax deduction based on current fair market value of the property at the date of the gift
  • Remove taxable assets from the estate
  • $14,000 will provide a one year scholarship for a student from Russia to work toward their PhD at Emory School of Theology in Atlanta, GA.
  • $110,000 will build a chapel at Budakeszi, Hungary
  • $37,500 will pay for five students to attend the Theological Community in Tegucigalpa, Honduras

Revocable Living Trust

Revocable Living Trusts can be used to make either current or deferred charitable gifts.

  • Retain control and supervision over the trust’s assets
  • Bypass probate and retain privacy
  • Convenient tool for management of assets in event of incapacity
  • Possible savings of gift and estate taxation
  • $300,000 will construct a new church in the Four Corners Native American Ministry on the Navajo Indian Reservation in New Mexico
  • $80,000 will renovate a formally confiscated church building in Latvia

Retained Life Estate

Current irrevocable gift of a home or family farm made to charity today with the right to continue using property for the remaining life time of the donor/donors.

  • Receive an immediate federal income tax deduction for the value of the eventual charitable gift in the year the gift was arranged
  • Remove value of the property from the estate for estate tax purposes
  • Most attractive to older donors
  • $160,000 will build a library and equip a computer laboratory for the Tegucigalpa Theological community in Honduras.
  • $20,000 will support eight local pastors serving congregations in Nicaragua
  • $200,000 is needed yearly to operate Chicuque Rural Hospital in Mozambique

Charitable Remainder Trust

Deferred irrevocable trust which can provide the donor with a current life time income with the remainder going to charity at the trust’s termination.

  • Avoid potential capital-gains taxation
  • Receive a current income-tax deduction for the present value of the charitable remainder interest
  • Exchange a potentially low-income-producing asset for an increased annual income of a fixed or variable percentage for one or two life times
  • Eliminate estate and gift taxes on the assets removed from the estate
  • $100,000 undesignated gift will be used to undergird the most pressing mission need(s)
  • $50,000 will help expand the Cambodia Methodist Bible College
  • $25,000 will ensure that children living with HIV/AIDS can continue to live in a home with medical equipment and supplies, attended to by live-in care- givers in Zimbabwe

Charitable Lead Trust

Current irrevocable trust which temporarily provides a current income to the charity. When trust terminates the assets in the trust will be returned to you or your heirs.

  • Give a current outright gift to charity today
  • Return of assets to donor or their heirs at the termination of the trust
  • Can possibly eliminate estate or gift taxation
  • Most attractive to high net worth donors
  • $2,000,000 - $200,000 a year over the next 10 years will construct new church buildings in Russia
  • $300,000 will provide equipment, medication and a vehicle for St John United Methodist Medical Center, Capital Kampala Uganda

*General tax information - Charitable gifts of cash can be deducted up to 50% and appreciated property up to 30% of adjusted gross income in one year. Appreciated property (securities or real estate) held for at least one year is considered long term and receives long term capital gain treatment.

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