The federal estate tax can erode a significant portion of one’s estate; often far more than the income tax. It pays to plan for the future with your attorney or other professional advisors. A charitable bequest to MCDS will save estate tax dollars and have an enduring impact on the school for generations.

A life income gift allows you to transfer cash, stock, or other property now while continuing to receive income from the asset. Life income gifts are often made through a trust arrangement called a unitrust or an annuity trust. These gifts can allow you to increase your income for life, receive a generous charitable contribution deduction, and avoid any capital gains tax on the appreciation if you contribute appreciated property.

Gifts of long-term appreciated stock offer two-fold tax savings. First, you may avoid paying any capital gains on the increase in value of your stock. In addition, you receive a tax deduction for the full fair market value of the stock on the date of the gift. For income tax purposes, the value of such gifts may be deducted from adjusted gross income with an additional five-year carry forward.  Check with your accountant for details on your specific situation.

If you have owned your own home, a vacation home, acreage, or a farm for many years, a charitable gift of that real estate can be especially tax-advantageous.

If you own a life insurance policy that is no longer needed, consider it as the perfect vehicle for a charitable gift to Madison Country Day School.