In 1999, Trinity Valley School announced the formation of the Stephen Seleny Society, dedicated to honoring those “family members” who have remembered TVS in their estate plans. While the type and the size of the planned gifts vary, we honor the spirit of giving.
Although a planned gift may provide significant tax savings to the donor, the majority of planned gift decisions are made out of devotion and commitment to Trinity Valley School, rather than with regard to tax consequences.
There are many ways to make a planned gift to Trinity Valley School. Some are very simple and others more complex. The following are only a few examples.
Gifts through Your Will
TVS can be named as a beneficiary in your will in a variety of ways. If you already have a valid, up-to-date will, a codicil may be sufficient; it may not be necessary to rewrite your entire will.
Outright bequest: You can specify an outright gift of cash, securities, real estate, or personal property. Another approach is to bequeath a certain fraction or percentage of your estate to TVS, rather than a fixed sum. This assures that your family’s and/or other beneficiaries’ portion of your estate remains intact.
Residual bequest: A residual bequest might provide that, after specific bequests are made to other named beneficiaries, TVS would receive the “residue” or the amount remaining in the estate.
Contingent bequest: A contingent bequest could provide that TVS would receive certain assets only if particular circumstances exist at a specified time. Example: TVS could receive your bequest only if your spouse does not survive you. This recognizes the need to first provide for the security of your family members.
Testamentary trust: This type of trust can provide income to a beneficiary for life, with the principal passing to TVS upon that person’s death. Conversely, TVS could be given the income from the trust for a certain number of years, with the principal passing to family members or beneficiaries after that time.
Retirement Plan Beneficiary
It is possible to give all or a percentage of your deferred compensation plan [IRA, 401(k), 403(b), or other retirement program funded with pre-tax dollars] to TVS. These types of funds pass “outside of probate” (your will does not control their disposition). This type of gift can be made simply by designating TVS as a beneficiary on the form provided by the administrator of the plan. TVS can be named as either a primary or a contingent beneficiary. Under current tax law, deferred compensation plans are subject to several kinds of taxes - estate and income - which can amount to as much as 80% of the corpus of the plan. Gifts made to charitable organizations like TVS are not subject to any of these taxes.
You may choose to designate TVS as a beneficiary of a life insurance policy, whether acquired by you individually or provided by your employer. If income tax charitable deductions are a priority to you, it is important that you review current tax laws relating to the type of life insurance gift you select.
Charitable Remainder Unitrust
A charitable remainder unitrust allows the donor to make a substantial gift to TVS, yet continue to receive income from the assets contributed to the trust. At the time the trust is created, the donor gives instructions to the trustee to pay the income to the donor or another designated beneficiary(ies) for their life or a specified term of years. The donor may even decide, within limits, the rate of return on the trust’s assets. After the income payments to the donor and/or the other designated beneficiary(ies) terminate, TVS will receive the remainder of the assets in the trust.
TVS recommends that you discuss with your attorney and/or financial advisor the best method of making a planned gift. Your advisor can help you identify gift options that best suit your financial goals and your family’s needs. Trinity Valley School respects the desire to make a lasting gift to the school as a very personal decision, and believes that every gift matters. Everyone can be a philanthropist at TVS.
Estate planning can be a time-consuming task, but your investment in the process can be beneficial to your family and Trinity Valley School. Director of Advancement Margaret Kramer would be happy to discuss planned giving opportunities with you and/or your advisors.
If you have already made TVS a part of your estate plans, the school would appreciate learning of your plans for its future and honor you in the Stephen Seleny Society.