Congress has authorized the Emergency Economic Stabilization Act of 2008 which extends the law that allows donors to make charitable gifts from their IRA accounts during tax years 2008 and 2009 without incurring income tax on the withdrawal. What is the secret to making a gift that will provide the greatest meaning to you? Plan carefully by looking at your goals, decide how much you can afford to give and take advantage of the tax laws so more of your money can go toward the work you choose to support. Investing in the DSPT is an investment in the future of our Church and of society.
Through planned giving—that is, by including a donation to a charitable organization like the Dominican School of Philosophy & Theology (DSPT) in your financial and estate planning—it is possible to affect how your contributions are used and by whom. With your gift, you choose how your money is used, rather than leaving it up to the government to spend your money. You can support the causes and needs that are important to you.
More and more people are taking advantage of the many options for planned giving. DSPT’s planned giving options, for example, include distributions from wills, charitable bequests, life insurance, charitable gift annuities, publicly traded stocks and charitable remainder trusts.
Keep in mind the following points when considering your financial and estate planning:
- Leaving a bequest in your will provides a tax credit against estate taxes. Donations of as much as 100 percent of income in the year of death can be used for tax relief.
- A charitable gift annuity provides additional income in your lifetime while providing for DSPT’s future.
- Securities can be donated, providing relief against capital gains taxes.
- Donating a life insurance policy allows you to spend a little to give a lot. For example: a woman who is 38 years old and is in the 40 percent tax bracket buys a $50,000 life insurance policy designating a charity as owner and beneficiary. She pays $53.30 per month and in 10 years the policy is paid up. Because of her tax bracket, her out-of pocket cost for a $50,000 gift is merely $3,838 over 10 years.
Over the next few years, the financial needs of DSPT will continue to grow, and private donations will become even more crucial to our ability to complete our mission in the world. Please consider planned giving as an option that benefits your needs as well as those of the school.
To learn more about planned giving at DSPT, please call (510) 883-2085 or email advancement@dspt.edu. Thank you for your continued support.
