Ways of Giving to the Campaign

Following are highlights of the many giving options available to donors during the campaign.

Cash and Personal Property
Cash gifts are the most common charitable gifts because they are simple and easy to deliver and result in a charitable tax deduction for the year given. To obtain an income tax charitable deduction for a gift of property other than money and publicly held securities, the Internal Revenue Service requires that the property’s fair market value (if more than $5,000) be established by an appraisal that meets specific tax law requirements.

Gifts of appreciated stocks or bonds may offer advantages beyond the charitable income tax deduction because a donor usually can avoid the capital gains tax that must be paid if appreciated securities are sold.

Closely Held Stock
Gifts of stock in companies that are not publicly traded can be beneficial because they entitle a donor to an income tax deduction for the stock’s full market value. In addition, capital gains tax on the appreciation can be avoided, and the corporation may redeem the stock at a later date.

Real Estate
Gifts of appreciated real estate, such as a home, vacation property, condominium or undeveloped land, may allow a donor to avoid significant tax liability. An individual can donate property to the college in several ways: outright gift, deferred gift, retained life estate and bargain sale of property.

Life Insurance
Gifts of life insurance to the college allow a donor to provide for beneficiaries, achieve substantial tax savings and make a larger gift than might otherwise have been possible. There are a number of ways to give a gift of life insurance: a policy can be contributed to the college or the college can be named as a beneficiary or successor beneficiary of the policy.

Charitable Remainder Trust
Charitable remainder trusts are specially designed life-income plans that are customized for the donor. A gift of a charitable remainder trust allows a donor to make a significant gift to the college while alive, and at the same time preserves an annual income for the donor or other beneficiaries. There are two forms of charitable remainder trusts: the unitrust, based on a fixed percentage of the trust’s assets; and the annuity trust, based on a fixed dollar amount payout.

Charitable Lead Trust
A charitable lead trust works in the opposite manner of a charitable remainder trust. Instead of income flowing to a donor or designated beneficiaries, income is provided for the college for a set period of time. This type of gift may reduce a donor’s gift or estate taxes so that more assets may eventually be transferred to your beneficiaries. A donor interested in helping Hudson Valley complete a particular project may be interested in exploring this type of gift.

A bequest is a gift of any form or amount made outright in an individual’s will. Charitable bequests to Hudson Valley can be included when executing a new will or added to an existing will through a codicil.

Bequests are simple ways to distribute estates, are fully deductible for federal estate tax purposes and can be structured in several ways to meet a donor’s particular circumstances.

After providing for the needs of their loved ones, a donor may choose one of several ways to benefit Hudson Valley Community College. The following is suggested language for incorporating a provision for the college into a will:

I give and bequeath to Hudson Valley Community College Foundation, Troy, N.Y., the sum of ___________ dollars. This bequest is unrestricted, and the Board of Directors of the Foundation may use and expend it for the benefit of the college as it deems appropriate.