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Ways to Give
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Planned Giving Options
Besides gifts of cash or securities, there are additional ways of supporting The American Boychoir through planned giving.
Please note that the purpose of this information is to provide general information only. The ABS staff will be happy to work with donors and their legal and financial advisors to develop specific gift planning that meets the donor’s needs.
Gifts of Insurance
Insurance gifts provide a tax deduction for a donor who transfers ownership and names ABS as beneficiary of a new or existing policy. The policy may be paid-up insurance that the donor no longer needs. If the policy requires continuing premium payments, the payments are fully deductible as outright cash gifts.
Bequests
Cash, securities, real estate or other property may be bequeathed to ABS by a clause in the donor's will or by a codicil added to the will. The donor retains full control and use of the property during his or her lifetime. At the time of the donor's death, the bequest qualifies as a charitable deduction for estate tax purposes. A bequest may be made for a specific dollar amount, a percentage of the estate, or as a contingent gift, depending on the circumstances of other beneficiaries. It is important that bequests be correctly designated to The American Boychoir School, Princeton, New Jersey.
Life Income Gifts
Donors may wish to consider various forms of "planned gifts" that support ABS while providing tax and income benefits tailored to the financial needs of the donor and his or her loved ones. Creating a charitable trust with appreciated assets may accomplish a number of objectives:
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Avoiding taxes on the appreciated value of stock (capital gains);
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Receiving a higher rate of income for life and for the life of a loved one;
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Providing for asset management for a loved one in the future;
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Receiving an estate tax deduction; and
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Achieving the satisfaction of supporting The American Boychoir School in perpetuity.
To encourage private support of institutions that serve the public good, Congress has enacted laws that provide significant tax benefits for planned gifts to qualified charities, like ABS. For example, irrevocable charitable remainder trusts provide a tax deduction for a gift that will not be received by ABS until the death of the donor (and/or other beneficiary). In the meantime, the donor (and/or someone he or she designates) receives the income generated by the gift. If a charitable remainder trust is funded with appreciated securities, the donor receives a tax deduction - and income - based on the current value of the securities, while avoiding taxes on the capital gain.
Charitable Lead Trust
A charitable lead trust works in the opposite way. Funds put into the trust pay income to ABS for a set period of years, after which the asset returns to the donor or someone he or she designates. Lead trusts are often used to transfer assets to children or grandchildren while making a meaningful gift and saving on taxes. The tax deduction in the year of the gift is determined by actuarial tables and is based on the age of the donor and/or other income beneficiaries - as well as the specific type of gift.
Life Estate Gifts
A donor may receive tax benefits by making a gift of a personal residence to ABS, while continuing to live in it for his or her lifetime and retaining lifetime residence rights for a spouse or other party. A life estate gift could be combined with a life income gift, permitting ABS to provide the donor with income for life as well.
For more information on giving a gift in support of The American Boychoir, contact the Director of Development at (609) 924-5858 ext. 12 or email development@americanboychoir.org.