Almost all of our expenses at UUC are used for property maintenance or wages in one way or another. UUC is funded by the donation model, we do not charge an admission fee. Simply put, it takes money to run an organization such as ours. Someone has to pay for it. One way members donate to UUC is through Pledges. Another way members donate to UUC is through Planned Giving.
In order that we can plan our expenses out more than the next seven days, we use annual pledges to determine our operating budget. We use annual pledges to determine what we can afford and what we cannot afford. Everyone hates talking about money but it is necessary.
Please read the following for more information about how you can easily and simply create a financial legacy or planned gift for UUC. There are many types of gifts to consider in estate planning.
Bequests can be by Will or Trust. Like other sorts of gifts, bequests can be given for general or specific purposes and uses.
A Bequest for General Purposes: This type of bequest is especially appreciated because it can be put to use where there is greatest need.
A Bequest for Specific Purposes: Many people want to give to something special, a type of gift sometimes called a "restricted bequest." Restrictions are often designed to benefit a particular program at UUC.
Both restricted and unrestricted bequests are made in the following ways:
Specific Bequest: Give a specific asset or collection of assets in the form of cash, securities, or other property. Retirement plan benefits, IRAs, savings bonds, and other items known as "income with respect to a decedent" (IRD) are particularly tax effective gifts to charity. You may designate an amount or a percentage of the property.
Percentage of your Estate: Give a percentage of your total estate.
Residuary Bequest: Give all or a percentage of what remains of your estate after all specific bequests have been satisfied and debts and expenses have been paid. You may specify that charitable gifts be fulfilled first with IRD assets to the extent needed to reduce your tentative estate tax.
Contingent Bequest: Give all or a portion of your estate in the event that a named beneficiary is not alive when you die. This type of bequest can avoid costly litigation or prevent property from reverting to the state for lack of heirs.
Please consult an attorney to assist you in drafting a will or codicil that will achieve your charitable estate plans.
Gifts can be in the form of a beneficiary designation.
Types of accounts requiring Beneficiary Designations:
* Life Insurance Policies
* Deferred Annuities
* IRSs
* 401(k)
* 403(b)
Etc.
Many individuals today have large qualified retirement plans such as an IRA, 401(k), or Keogh plan. These assets have been growing tax-free for years. Once the owner begins to receive payments from the qualified plans, the distributions are taxed. At death, the assets remaining in these plans are also included in the owner's taxable estate. A retirement plan may be an excellent source of funds for making a gift to the Unitarian Universalists of Clearwater.
If you name someone other than your spouse as the beneficiary of your retirement plan at your death, the assets may be subject to both income and estate taxes. If these plans are left to charity, however, the full amount will generally be received and used according to your wishes. The full amount is still included in your taxable estate but is fully deductible as a charitable gift. Other assets can then be left to family members that would not generate income taxes.
Some folks no longer need their life insurance that was purchased years ago to provide for children or other family members. If you are in this situation, you may want to name the Unitarian Universalists of Clearwater as a beneficiary or contingent beneficiary. Any benefit the UUC receives from your insurance will be excluded from your taxable estate. If you name UUC as irrevocable beneficiary and owner of your life insurance policy, you are eligible for an immediate income tax charitable deduction equivalent to the policy's cash surrender value or replacement value. If additional premium payments are due, you can deduct those payments as charitable contributions.
* Bank accounts (saving, checking)
* Certificates of Deposit (CDs)
Any bank account can be enhanced to include "pay-on-death" instructions. You may want to name the Unitarian Universalists of Clearwater as the organization to receive the money in an account after you no longer need it.
* Mutual Funds
* Brokerage Accounts
Any brokerage account can be enhanced to include "transfer-on-death" instructions. You may want to name the Unitarian Universalists of Clearwater as the organization to receive the securities in an account after you no longer need them.