Planned Giving

Securities

You may find that you have enjoyed significant gains in the stock market and other investments. If you own stock, bonds or mutual funds that have appreciated in value, you have a unique opportunity to realize double tax savings by making an outright gift!

You may make charitable gifts of stocks, bonds, mutual funds and other securities that have increased in value while bypassing capital gains tax that would be due on a sale. You can take appreciated assets and take an income tax deduction for the year of the gift based on the current fair market value of the donated property, no matter how much was originally paid for it – provided you have owned them for at least a year and a day. You can deduct up to 30% of adjusted gross income in the year of the gift, using any unused deduction in up to five future tax years.

Benefits:

• Avoidance of capital gains tax for you as well as charity when you contribute long term appreciated stocks
• Charitable contribution deduction for the full fair market value of the stock

  Your gift is deductible up to 30% of your adjusted gross income, with a 5-year carry-over for any excess

Wills

Wills are a convenient method to ensure a lasting legacy for the special needs animals. After ensuring that your family, friends and companion animals are taken care of, consider giving a specific dollar amount, a percentage of your estate, or all or part of what remains, including real estate or specific assets, to Safe Haven Animal Sanctuary. You may wish to notify Safe Haven as to the terms, conditions and circumstances of your will to assure that your gift will benefit Safe Haven for your intended purpose and in a timely fashion.

Benefits:

• Provides a specific and orderly process to transfer assets
• Retains full use of your gift property during your lifetime
• Minimizes or avoids federal estate taxes

Gifts of Real Estate

You can make a gift of commercial or residential real estate to Safe Haven Animal Sanctuary and receive substantial financial benefits. If you wish to give the property outright, you qualify for a charitable income tax deduction based on the appraised value of the property.

Trusts

Trusts are often used to provide for the management and eventual distribution of your assets, and are formal legal arrangements where you choose a trustee (either yourself or someone you trust) to receive and hold legal title to property and administer the property according to your instructions. A trust can provide for your children, grandchildren or other relatives, for a number of years – with the remainder divided among any number of charities. Alternatively, a trust can provide for a charity for a number of years or a lifetime, and then go to any number of heirs or beneficiaries.

The following two examples are trusts that allow you to retain income from your property for life:

1. With a Charitable Remainder Annuity Trust your funds are held separately and invested while you (and/or another beneficiary) are paid a fixed dollar amount every year for the rest of your life – with no investment worries or responsibilities. The benefits can include a fixed and certain dollar income for you for your life, an immediate charitable deduction, a way to increase income from a low-yield holding, freedom from investment responsibilities, and avoidance of capital gains tax on appreciated assets used to fund the trust. When you die, (or after the lifetime of a surviving beneficiary) the amount remaining in the trust is available to support Safe Haven Animal Sanctuary.
2. With a Charitable Remainder Unitrust you also place assets in trust while you (and/or another beneficiary) receive lifetime income from the trust, after which Safe Haven receives the remainder. The amount you receive as income, however, will increase or decrease with the value of the assets placed in the trust, which means the amount may change a little each year. If the value of the trust investments increases, you receive more income; likewise the income will be less if the value of the assets decline.

Benefits:

• Provides lifetime income for you, your spouse or a loved one
• Entitles you to an immediate charitable income tax deduction for a portion of your gift
• Defers or reduces capital gains on appreciated assets used to fund the trust, thus allowing the full sales proceeds to be reinvested
• Freedom from investment responsibilities

Memorial Gifts/Tributes

Honoring a loved one through charitable gifts is an especially thoughtful way of paying tribute. There are several possibilities – gifts of cash, other property, life insurance; any of the options discussed above can be implemented to establish a living memorial.

Benefits:

• Remember the people or animals you care about
• Variety of planned giving options available to establish a memorial
• Reduce certain estate and inheritance taxes, depending on your planned giving choice

Many people are often concerned about tax implications. Taxpayers are generally permitted to deduct gifts to qualified charitable institutions. You can deduct up to 50% of your adjusted gross income for gifts of cash and cash equivalents and up to 30% of your adjusted gross income for gifts of appreciated property. If you exceed these limits, the excess can be carried over and deducted over the next five years.

Note: Safe Haven Animal Sanctuary is not engaged in rendering legal or tax advisory services. For advice and assistance in specific cases, the services of an attorney or other professional advisor should be obtained. The purpose of this publication is to provide accurate and authoritative information of a general character only.