Plan Now To Make More Possible

Thank you for your interest in making a difference now and in the future to TLC and the extra-special individuals we serve. For 50 years, TLC has been working to enrich the lives of children and adults with intellectual and developmental disabilities in the Triangle community. From our inclusive community group homes, to our early childhood intervention services, to our K-12 school and respite care services —TLC’s work has made a large impact on the lives of the individuals we serve.

Everything we have accomplished, we have accomplished together. Our work has been successful in the past and will be successful in the future because of the partnership and support of individuals who have made a financial commitment to TLC. In addition to immediate gifts, there are a number of ways you can support TLC in the future.

Giving through your estate and financial plans can take many forms, but the simplest way to accomplish this is through a gift in your will or living trust. Gifts through your retirement plans or life insurance are other options. Most of these types of gifts feature various tax benefits. They all, however, have one thing in common: Each gift makes an impact on the important work we do.

Giving Through A Will Or Living Trust

In addition to fulfilling an important role in providing for the future financial security of your family and others, your will or living trust can offer a way to make thoughtful charitable gifts to charitable interests as part of your long-range estate and financial plans. It can be satisfying to know that a portion of your property will continue to fund your charitable priorities in the future.

A gift made through a will or living trust can be simple to arrange. A simple provision or amendment prepared by your attorney at the time you make or update your will or trust is all that is necessary. Gifts included in wills and living trusts are popular because they are flexible, easy to arrange and may be changed with your life circumstances.

Ways To Give Through Wills And Trusts

• Make a gift of a specific amount. A gift of a particular amount may be designated for general use or to fund a special need.
• Provide for a gift of a particular property. Real estate, stocks and other items of value are examples of properties that can be used to fund charitable bequests.
• Designate that a percentage of your estate be given to TLC through your will or living trust.
• Give the remainder, or residue, of your estate—that is, what remains after all other bequests to friends and loved ones are satisfied.
• Name charitable interests to receive a bequest in the event other heirs are not there to receive their legacies.

There is no limit on amounts deductible from federal gift and estate taxes for charitable gifts made by will or trust, so these taxes will not normally be due on assets given in this way. Estate taxes are also imposed by a number of states, and charitable gifts may be exempt from those taxes as well. To plan a charitable bequest, inform your attorney of your wishes when your will is being prepared and ask for advice regarding federal and state tax considerations and the best form for your gift.

Give Through A Charitable Trust

Charitable Trusts are flexible planning tools that may be used to accomplish a number of  personal and financial goals. Many choose to rely on trusts to provide for management of assets by someone they trust. Others make use of trusts to delay or otherwise manage the transfers of property to loved ones or others due to their age or other circumstances.

Here’s how a charitable remainder trust works:

• A trust is drafted by an appropriate advisor in consultation with those who will manage the trust.
• Assets are transferred to the trust to be managed by you or another person or entity you choose to be the trustee.
• Payments are made from the trust to you and/or others you name for life or other period of time you determine.
• You may benefit from a federal (and perhaps state) income tax charitable deduction and you may enjoy capital gains tax savings in the year you create the trust. Amounts used to fund your trust may not be part of your probate or taxable estate.
• When the trust ends, its remaining assets become a gift to TLC. The gift portion is known as the charitable remainder.

There are two primary types of charitable remainder trusts. The charitable remainder annuity trust, which provides you with a level and predictable income, and the charitable remainder unitrust, which provides you with a variable income.

A Gift With Predictable Income

A charitable remainder annuity trust is a way to make a gift while ensuring a fixed, regular income. Income from such a trust can be a reliable income supplement in retirement years. The payments received each year will be 5% or more of the amount originally placed in the trust. You determine the exact amount when your trust is created.

A Gift With Variable Income

Like the annuity trust, the charitable remainder unitrust provides for a gift to TLC that allows a donor to first retain income for life or other period of time. But unlike the annuity trust, the income from a unitrust fluctuates over time with the value of the assets placed in the trust.

You determine the annual payment percentage when the gift is made. Each year this percentage (5% or more) of the value of the trust assets is paid to you or others you name. When the value of the investments increases, more income is received. The income will be less if the value of the trust assets declines. If provided for in the trust agreement, additions can be made to a unitrust and an additional tax deduction is allowed for part of any additional amounts contributed.

For those who would like to provide for an income that can grow over time, the charitable remainder unitrust can be an attractive option. Another benefit of charitable remainder trusts is the fact that no tax is payable by the trust at the time investment gains are realized, making it possible to enjoy increased income over time based on tax-free growth within the trust. This can be especially attractive to those who anticipate increases in growth in investments over time.

Additional Information

Planned gifts may be made to either Tammy Lynn Memorial Foundation, Inc. (56-0999619), or Tammy Lynn Endowment, Inc. 56-0999619. If you have any questions regarding which fund to donate, or the best way for you to benefit from a planned gift, please contact Alyson Stoffer, Director Strategic Impact & Outreach, at astoffer@nctlc.org or 919-755-2667.