Martin E. Marty Legacy Circle

A gift annuity is an arrangement whereby you, the donor, give a sum of money or property to the Christian Century and receive a fixed, lifetime income (or income that covers the lives of two people) from the gift. You receive an immediate income-tax deduction in the year of the gift.

Deferred annuities allow you to make a gift to the Christian Century and defer income to a later designated date, while still receiving an income-tax deduction. Annuity rates are much higher on deferred gift annuity agreements, making them an excellent retirement supplement.

A charitable remainder trust is an irrevocable trust set up by you to pay income to yourself and/or your beneficiaries. The amount paid is based on either the initial fair market value of the assets or on the annually revalued fair market value of the assets. A trust can be funded with cash, real estate, stocks, bonds, and certain other assets. You receive an immediate income-tax deduction upon the creation of the trust.

Since each charitable remainder trust is a separately managed trust, the charitable giving alternative can be customized in many ways to produce the particular benefits most attractive to you. A customized investment approach can be used to make a charitable remainder trust function as a retirement savings vehicle.

Remembering the Christian Century as a beneficiary in your will or trust offers you the opportunity to make a more substantial gift than what might be possible during your lifetime. It allows for the preservation of capital during your lifetime. The amount can be changed as circumstances warrant. Postdeath income and/or estate tax benefits are often available in connection with such gifts. You may consider:

• Specific bequest by dollar amount
• Specific bequest by a percentage of your estate
• Bequest with the Christian Century as contingent beneficiary

Using a revocable living trust in your estate plan allows you to avoid probate. This type of agreement offers the following advantages:

• Reduces administrative costs
• Provides for prompt distribution of your estate
• Avoids interruption of income to heirs at grantor’s (estate owner’s) death
• Provides for the private distribution of estate
• Allows the estate owner to see how the trust will work
• Provides the capability to transfer management without court involvement

A revocable living trust does not reduce income or estate taxes. It can, however, provide for and fund gifts directly to a charity or a charitable remainder trust for the benefit of loved ones. It does not eliminate the need for a will.

A revocable living trust agreement is drafted by an attorney and signed by the principals involved. The trust is funded by transferring a title to the trust during one’s life. Probate is avoided only to the extent that nearly all assets are transferred to the trust.

You may have retirement benefits left at death that have not been used during retirement. The Christian Century can be named as a postdeath beneficiary. No income tax will be paid on the untaxed benefits passed along to the Christian Century.

Life insurance policies provide a unique way to make a charitable gift during life but effective at death. You may consider:

• A life insurance policy that is no longer needed for its originally intended purpose. The policy may have originally been purchased for people who no longer need support. This option may provide an attractive charitable income tax deduction when assigning ownership to the Christian Century.
• A life insurance policy that designates a percentage of policy benefits to the Christian Century. Your estate may claim an estate tax deduction after death.