Types of Gifts
Endowments, Gifts in Perpetuity
An endowment is a gift that is placed in a permanent fund. Your gift is invested. Some of the earned interest is disbursed for the purpose you designate. The remaining income goes back into the fund to be able to stay ahead of inflation. This ensures that endowments will provide the same benefits in perpetuity. New endowment donors may name their endowments.
You can specify your gift as "unrestricted" and allow the Midland College Foundation more flexibility in using your gift to respond to new priorities.
Cash Gifts & Pledges
Cash, in the form of personal or corporate checks, is the most popular type of charitable gift Midland College receives. Cash contributions are tax deductible as allowed by law. Checks should be made payable to the Midland College Foundation and mailed directly. Be sure to indicate the purpose of your gift on the check or in a cover letter.
Do you work for a matchmaker? Many companies match charitable gifts made by their employees. In fact, some double or triple their employees’ gifts and a number of companies will even match gifts to Midland College made by retirees and/or spouses. To find out if your company has a matching gift policy, visit the following link http://www.matchinggifts.com/midlandcollegefoundation or your company’s human resources department. Complete the form provided by your company and mail it to:
Midland College Foundation, Inc.
Attn: Deonne Presley
3600 N. Garfield
Midland, TX 79705-6399
Stocks & Bonds
If you have held securities (stocks or bonds) long term, you can give them to the Midland College Foundation and receive a charitable deduction equal to the full, fair market value of the securities. The best method of transferring these assets depends on how they are held by you. Please contact the Midland College Foundation to discuss the best method of transferring assets. Avoid selling the assets and then making a gift of the proceeds, because this may trigger a capital gains liability for you.
IRA Charitable Rollover
Individuals who are age 70½ and older can transfer up to $100,000 in 2009 from an Individual Retirement Account (IRA) to the Midland College Foundation—without incurring federal income taxes today or state and income taxes in the future. The IRA gift amount is treated the same as a cash distribution for purposes of satisfying required minimum distribution (RMD). Each spouse can transfer up to $100,000. Consult your financial advisor for details.
You can give real estate as a current gift or a planned gift (retained life estate, bequest). You will need to have your gift appraised by an independent appraiser to determine the value of your deduction. The Midland College Foundation evaluates all potential gifts of real estate for marketability and potential environmental concerns. We ask you to supply detailed information on the property before accepting the gift.
Memorial & Honorary Gifts - Remember Others Through Your Gifts
A gift, in memory or in honor of a relative, friend, teacher, or student, is a generous and thoughtful way to recognize a person’s life and accomplishments. When you make a memorial or honorary gift to the Midland College Foundation, we notify the honoree or next of kin, and the gift is used as you specify. Send your gift with a note specifying the honoree’s name, as well as the address of the honoree or next of kin.
The Court of Honor at Midland College
Your name or the name of a loved one can be a part of Midland College forever. Inscribe your name and/or message permanently in the Court of Honor. Bricks with the names of friends of Midland College pave the area surrounding the Marian Blakemore Memorial Fountain in Beal Plaza. In the Court of Honor, personalized bricks and benches are permanently placed to honor those who have been so important to you. Your contribution is an investment in the College's Chaparral Circle Endowment Fund, where it will remain in perpetuity as a tribute from you to the future of Midland College.
Leave a Legacy
Looking for a way to get involved in charitable giving? The tools for charitable giving come in all sizes and shapes and one can be tailored to work for you. Some are one-step plans, others involve careful planning and qualified, expert advice.
Your first step is to consult a financial or tax advisor before making the gift. Some assets are better for gifting during your lifetime; others are better for gifting as a portion of your estate. A tax or financial planning expert will work with you to explain the range of options available. Following is a list of some tools for charitable giving:
Write a Check or Give Appreciated Stock
Making a cash contribution is a favored way of supporting charitable organizations. When you fund your gift by giving long-term appreciated stock, you receive a charitable deduction for the full value of the stock without incurring capital gains tax. To receive the benefit, you must give the stock directly to the organization. The charity then sells the stock.
Include a Charitable Bequest in Your Will
Your bequest might be an outright gift of money or property, a percentage of your estate, the balance of your estate after gifts to your family, or a contingency gift—giving your estate to the charity if your family does not survive you.
Retirement or Pension Plans
You can name a charity as a beneficiary of your tax-deferred IRA or 401(k) retirement plan. The money is yours to live on after retirement; what is left at the time of your death is given to the charity. Pension plan assets may be subject to significant taxation (federal estate, federal income and state death taxes), which can virtually eliminate any benefit to individual heirs. Since charities are tax-exempt, the charity will get more from the gift than would an individual.
Gift a Life Insurance Policy
Another simple way to leave a legacy is to name a charity as the beneficiary of your life insurance policy. Another strategy—with tax benefits—is to give the policy to the charitable organization, as well as naming it as beneficiary. Your payment of the annual premium will then be considered an annual gift to the charity, eligible for the income tax deduction.
Charitable Remainder Trust
Donors and their family members can benefit through this planned giving tool. The donor selects the rate of return and chooses a fixed or fluctuating annual payment to be made to the designated beneficiaries during their lifetime(s). While trusts are most often set up to provide income to the donor and spouse, they can also benefit children or non-family members.
Charitable Lead Trust
In a charitable lead trust, assets are transferred to a trust that pays income from the fund to a charity for the number of years you select. At the end of that term, the trust terminates and the remaining assets are given to the beneficiary you name. This form of trust can help to lower estate and gift taxes.
For more information about creating a planned gift and investing in the future of Midland College, please contact:
Kathy Fletcher, Executive Director
Midland College Foundation, Inc.
Midland, TX 79705
Phone: (432) 685-4526
Fax: (432) 685-4714