Planned Giving

A Charitable Gift Annuity (CGA) is a simple one-page contract between the College and you, the donor. Starting with a minimum investment of $10,000, Champlain College promises to pay a fixed, predetermined amount quarterly, semi-annually, or annually to you, and/or one other beneficiary for life.

If you own highly appreciated securities with low yields, or Certificates of Deposit, CGAs can provide: an immediate tax deduction, increased income, some of which is tax-free, reduction and/or spreading out of capital gains tax and reduced estate taxes.

Unlike a Charitable Gift Annuity, you can make multiple gifts to a Charitable Remainder Trust (CRT). Starting with a minimum investment of $100,000, the assets in the trust are invested for growth and income which is paid to you (and/or other named individuals) for life or a term of years. Additionally, you receive substantial estate tax benefits and income tax deductions in the year of the donation – and potentially a reduction or spreading out of capital gains tax.

A donor may name Champlain College owner and beneficiary of a life insurance policy and receive an income tax deduction in that same year. Many people overlook the value of an insurance policy that they no longer need, but would be included in their estate. The large cash value resulting from a relatively small premium makes a life insurance policy an attractive planned gift.

Gifts of real estate can be especially helpful for people planning to move into a smaller home at retirement, or for those with vacation homes they are no longer using. Real estate can be expensive to maintain or difficult to sell – and if it has appreciated in value, its sale can lead to significant capital gains taxes. Gifting real estate to Champlain College can convert a non-income asset into a life income arrangement for you and/or another beneficiary.

You may deed some or all of the property outright to Champlain, or you may transfer ownership of the property to Champlain while retaining life tenancy rights, known as a gift of a remainder interest. Under this arrangement, you donate your home to Champlain and continue to live in it, receiving a charitable deduction for a portion of the appraised value in the year of donation.

Since their inception, Retirement Plans or IRA’s and other qualified pension plans have become popular means of building wealth. Today, billions of dollars of assets are owned through these tax-advantaged savings vehicles.

These assets can be subject to multiple levels of taxation, potentially as high as 75%. The combination of federal and estate taxes can seriously erode the value of your retirement savings. The law requires that certain minimum distributions must be made after an individual reaches age 70 1/2. Failure to take the required amount could result in penalty tax on the undistributed amount. With careful planning you can avoid undesirable tax costs and may be able to make a larger charitable gift than you thought possible, as well as care for your family. Charitable contributions of retirement plan assets offer significant opportunities for tax savings as part of an overall estate plan.

Bequests are exempt from federal or state inheritance taxes, and offer an unlimited deduction. You might find that a provision for Champlain enables you to make a much larger gift than you might have thought possible. The College has received some of its most significant support as a residual beneficiary in a will or bequest. It is an honor for Champlain College to be included in your financial and philanthropic plans.

You may choose to make an outright bequest (transferring specific property to Champlain), or you may donate a percentage of your estate. You can also bequeath the residue of your estate- the property that is available after other terms of the will have been satisfied.

An unrestricted bequest to Champlain can be made by including this simple provision in your will:

I give to Champlain College Incorporated in Burlington in the State of Vermont ________ percent of my estate for its general use and purposes.

OR

I give to Champlain College Incorporated in Burlington in the State of Vermont _______ dollars ($___________), for its general use and purposes.

Please let us know if you are planning to remember Champlain College in your estate plan so we can celebrate this important gift intention.