Gifts That Give Back

Gifts that Give Back to You

There are several ways you can make a significant future gift to us while retaining, or in many cases increasing, the income you receive from the asset. Because you receive income in return for your gift, your charitable deduction is limited to the portion of the gift that will ultimately pass to Habitat for Humanity. We would be happy to discuss any of these methods with you in more detail or share sample illustrations of how a life income gift can benefit you first, then eventually us.

Charitable Gift Annuity
This is a simple contract between you and a charitable organization that pays you a fixed dollar amount (an annuity) for your lifetime and that of another individual, if desired, based upon your age(s) at the time of your gift. The older you are, the higher the annuity. If you use appreciated property to fund the gift annuity, you will escape the capital gains tax on the gift portion of the transaction and the remaining gain will be apportioned over your lifetime. This is a wonderful way to increase income from stocks that pay small dividends and carry heavy capital gains.

Charitable Remainder Trust
A charitable remainder trust is a trust that will pay the donor (and one or more other named beneficiaries, if desired) a fixed or variable income depending on the type of trust selected. The payments are made either for life or a period of time not to exceed 20 years. The annual payments cannot be less than 5 percent of the initial fair market value of the trust. At the end of the trust's term, the balance in the trust helps support our mission.

Charitable Lead Trust
This type of charitable trust pays income to one or more charitable organizations, typically for a period of years, and then the remaining assets of the trust pass to noncharitable beneficiaries, such as family members. While this type of trust usually does not provide a current income tax deduction, it can effectively pass property to family members at reduced estate and gift tax costs.