CHARITABLE
BEQUESTS (top of page)
How to Name the Zoo in Your Will
A charitable bequest to the zoo will help build a strong and solid funding base
that will support the zoo far into the future. Your bequest can take several
forms, and these are some examples of wording for your advisors to consider:
A general bequest is for a certain dollar amount of property, usually
cash: "I give to Woodland Park Zoo, Seattle, Washington, or any successor organization
thereto, the sum of $100,000."
A specific bequest directs that the zoo is to receive a specific piece
of property: "I give to Woodland Park Zoo, Seattle, Washington, or any successor
organization thereto, 500 shares of XYZ stock."
A residual bequest designates all or a portion of whatever remains after
all debts, taxes, expenses and other bequests have been paid: "I give Woodland
Park Zoo, Seattle, Washington, or any successor organization thereto, fifty
percent (50%) of the rest, residue and remainder of my estate."
You may designate that your bequest be used for a particular purpose, and you
may indicate whether it is for current needs or endowment. Because a bequest
is revocable, there is no immediate income tax deduction, but your gift will
be deductible from your taxable estate. Please consult with an attorney when
writing your will in order for your wishes to be clearly articulated.
CHARITABLE GIFT ANNUITIES (top
of page)
Guaranteed payments for life
Gift annuities are popular plans that can help you make a substantial
gift to Woodland Park Zoo while still providing for your personal
financial needs. They
offer significant tax benefits and, depending on the asset contributed, may
even increase your cash flow. You will receive income for life
where a portion is
most often tax-free and receive an immediate tax charitable deduction. You
can also reduce your estate tax in certain cases.
Note: The tax aspects of a gift annuity depend on the age of
the beneficiary(ies), the annuity rate, the timing of the payments
and the IRS discount rate in effect
at the time. The actual gift annuity contribution is made to The
Seattle Foundation, a highly respected philanthropic institution chosen
by the zoo to administer gift annuities on its behalf. When the annuity ends,
the
residuum provides funds for the zoo.
CHARITABLE REMAINDER TRUSTS (top
of page)
You may have an asset that you would like to give to Woodland
Park Zoo, but for now you need the income it provides.
One possibility is to leave it as a bequest.
But with a charitable remainder trust, you can make your gift now and
continue to receive income for life or a term of years.
Benefits:
- You receive an income tax charitable deduction for the present value of
the estimated remainder that will be left to support the zoo. This can result
in significant tax savings over the period during which you report the deduction
on your tax returns. For many donors, an even greater benefit is the avoidance
of tax on the capital gain at the time the asset is sold by the trust.
- Increase current cash flow.
- Provide supplemental retirement income.
- Provide for other family members.
CHARITABLE LEAD TRUSTS (top of page)
If you have a large estate you are planning to pass on to your children, you
should know about the charitable lead trust. Estate and gift taxes can severely
reduce the value of property passed on to your heirs. A charitable lead trust
enables you to minimize or even eliminate gift and estate taxes and make a charitable
contribution to Woodland Park Zoo at the same time.
In establishing a lead trust, you make an irrevocable transfer
of assets to a trustee. The zoo receives income from the trusts
for a certain number of years
or until the end of your life or another's. At the end of the term, the principal
is distributed to your heirs. This greatly reduces gift and estate taxes.
POOLED INCOME FUND CONTRIBUTIONS (top
of page)
A pooled income fund, which operates
much like a mutual
fund, enables you to receive life income
when you make a contribution
of cash or certain securities. The pooled income
fund available to the zoo donors is a trust, in
which the contributions
of many separate donors are "pooled" and invested
under professional management by the trustee, The
Seattle Foundation.
Benefits:
- You receive a regular share of the Fund's net income in proportion to the
shares you own.
- Because your contribution to the Fund is an irrevocable charitable gift,
it yields important tax benefits.
- You receive an income tax charitable deduction in the year of your contribution.
- If you contribute certain appreciated securities, you receive a second
tax benefit because you pay no tax on the capital gain.
GIFTS OF LIFE INSURANCE (top of page)
There are several ways you can use life insurance
to support the zoo. One simple method is to designate
the zoo as the beneficiary
of a policy's proceeds. You can also contribute a policy you already
own but no longer need, or purchase a new one as your gift. And
if you have other assets you'd like to contribute to the zoo, you
may wish to obtain life insurance to replace the value of those
assets for your heirs.
GIFTS OF REAL ESTATE (top
of page)
You may donate a personal residence (not necessarily your principal
residence) or farm to the zoo, but retain the right to occupy
or make other use of it for
the duration of your life. You receive an income tax deduction for the present
value of the remainder interest and avoid any potential tax on capital gain.
The donor may be called upon to agree to pay any property
taxes on the property, to maintain the property, provide
a qualified
appraisal, to provide adequate
property insurance and/or provide a Phase II Environmental Survey. Woodland
Park Zoo will attempt to sell any donated real estate as soon
as feasible.
Who do I contact about a planned gift? (top
of page)
The zoo will be happy to give you more information and
explain how planned giving can work for you. Please contact
our Development
Department:
- By
phone, please call Anne Knapp at 206.548.2443
- By
email at Planned Giving
- By
mail at 601 N 59th Street, Seattle, WA 98103.
The
information above does not constitute legal or financial advice and
should not be relied upon as a substitute for professional advice.
Woodland Park Zoo encourages you to seek professional legal, estate
planning, and financial advice before deciding on a course of action.
All information submitted will be held in confidence.
Last
updated: February 2008 |
