Gifts that Provide Income
MCHT offers a variety of gifting techniques that give donors regular income payments for life, or for a fixed term of years, in exchange for a gift of cash, appreciated securities, or other assets, including real estate. Listed below are several options, each slightly different from the other.
- Charitable Gift Annuities
- Deferred Charitable Gift Annuities
- Charitable Remainder Unitrusts
- Charitable Remainder Annuity Trusts
While the benefits to donors will vary for each option, there are many advantages to these gifts:
- The donor can choose to be the sole recipient of income (a one-income plan), or choose a plan that provides income to two successive donors (a two- income plan).
- Income can be a fixed amount or variable, depending on the option selected.
- There will be an income tax charitable deduction for a portion of the gift, which is calculated in part by the age(s) and gender(s) of the recipient(s).
- For gifts of appreciated securities or property, your deduction will be based on appreciated value and will not be subject to capital gains tax.
- Once the one or two income beneficiaries have died, the donor can choose how the remaining value of the gift will be used to support the mission of MCHT, either for MCHT’s general purposes, or restricted for one of MCHT’s core missions.
Agent for MCHT
MCHT uses Bar Harbor Bank & Trust Company as its Agent for investment management and administrative services for gifts that provide a life income. MCHT reserves the right to change or add agents in the future. A donor may also choose to select a different Agent for investment and related fiduciary responsibilities. MCHT may also be willing to act as co-trustee of a charitable trust when the trust names MCHT as an irrevocable beneficiary of 50% or more of that trust.
To request a personal illustration, please contact David Warren, Planned Giving and Major Gifts Officer. All illustrations and conversations will be done on a strictly confidential basis.