PLANNED GIVING
FLEXIBILITY
Several types of funds can be set up within the Foundation by donors. An unrestricted fund can be set up to help meet a variety of needs or donors can specify a purpose or area of concern for which income from the fund is to be used. Donors can also name the fund that they endow for themselves, a spouse or family member, a company or special friend. Fund names can convey a specific goal or purpose and often hold a special meaning for the donor. Any donation, large or small, may be contributed to an existing general or special purpose fund. This is often the best choice for modest contributions which are joined with others’ gifts for maximum charitable benefit.
ACCOUNTABILITY
A volunteer investment committee, comprised of experienced financial professionals, works with the Board of Directors to set overall investment policies and carefully monitor the performance of investments. Annual financial audits and reports to donors ensure the Foundation’s integrity with regard to its sound financial practices and charitable goals.
FINANCIAL BENEFITS
The CFLC’s approach to planned giving offers a number of important financial benefits to our donors. Administrative costs and fees are minimized by pooling smaller endowments together within the community foundation thus allowing more money to be dedicated for community needs.
TAX ADVANTAGES
The maximum tax advantages provided by law are possible with contributions to the Community Foundation of Lincoln County.
KNOWLEDGABLE MANAGEMENT
Determining the comparative merits of organizations seeking support for worthwhile causes is a daunting challenge for many donors. Because the Board of Directors is comprised of community leaders familiar with the broad range of needs of Lincoln County, the Foundation is uniquely qualified to help donors identify the most promising funding opportunities across a diverse spectrum of community needs.
UNIQUENESS
The CFLC offers many people the satisfaction of being a philanthropist. It is one of the few charitable organizations where you can contribute funds today and know they will still be fulfilling your charitable intentions for many generations to come. The Foundation serves as a focal point for large lifetime, memorial, testamentary, and philanthropic gifts which might otherwise leave Lincoln County – or never be made at all.
ESTABLISHING A FUND
Whatever your area of interest or concern, the CFLC will help you make a profound difference in the daily life of your community. It is very easy to set up a fund; simply contact a member of our board to discuss the type of fund you want established and state its purpose. The Foundation will prepare an agreement for your approval and officially welcome you to an era of compassionate and effective philanthropy.
INVESTING YOUR CHARITABLE DOLLAR
A sense of compassion inspires you to give something back to your community, but the sheer number of charitable organizations along with the many different options for giving can seem overwhelming. How do you gauge their comparative merits according to your own interests and objectives?
The CFLC exists precisely to make these decisions easier for our donors. Our mandate is to help donors identify and respond to the pressing needs in Lincoln County while affording them the flexibility to contribute either cash or other chosen assets.
The CFLC helps donors achieve their philanthropic goals through a permanent endowment that can respond to current and future needs in Lincoln County. The Foundation manages and distributes both permanent and short-term charitable gifts from a variety of sources. Both affluent and modest donors alike benefit from the professional administration of their funds while their charitable goals are carried out. In accordance with the wishes of its donors, the Foundation supports community development, health and human services, the arts and humanities, and other worthy projects designed to improve the quality of life in Lincoln County.
PERMANENCE
The Foundation is the caretaker of donor funds that favorably impact the community in perpetuity. Unless otherwise specified, the endowed funds are held in trust permanently with only the income distributed for the charitable purposes defined by our donors.
HOW CFLC HELPS OUR DONORS
CHARITABLE REMAINDER TRUST
Creating a Charitable Remainder Trust (CRT) can give you or a beneficiary an income either for life or for a set number of years. The remainder or principal of the trust would go to the CFLC at the end of the trust term. Selling assets that have appreciated significantly can create serious capital gains tax obligations, but a CRT may be able to eliminate them entirely. You can also claim an income tax deduction for the present value of the gift, thereby reducing your current income tax obligation. In addition, a CRT can provide an income for you or another beneficiary for life and can eliminate or reduce some probate expenses for the administration of your estate after your death.
LIFE INSURANCE
There are several benefits to donating a life insurance policy:
Assign the dividends to the Community Foundation of Lincoln County (CFLC).
By assigning the policy dividends, the value of the dividend becomes an annual donation, which is also tax deductible.
Donate a policy on which you are still paying premiums.
Your charitable deduction is about equal to the cash value and future premium payments on the policy.
Donate a paid-up policy.
You may find you no longer need your life insurance policy because your financial circumstances have changed or you no longer have dependents. By naming the CFLC as the beneficiary and/or transferring ownership of the policy to the CFLC, you can claim a charitable income tax deduction that is almost equal to the policy’s cash value.
BEQUESTS
Another way to make a gift to the CFLC is by including a bequest in your will or trust instrument. The following is an example of the language you could add to your will or trust: I hereby give, devise and bequeath to the CFLC a 501(c)(3) non-profit corporation organized and operating under the laws of the State of New Mexico, PO Box 2750, Ruidoso, NM, 88355, the sum of $ __ (or __ percent of the rest, residue and remainder of my estate) to be used for the general purposes of the organization.
SECURITIES AND OTHER APPRECIATED ASSETS
With a gift to the CFLC of stock, securities or other appreciated assets, you may be able to gain additional tax advantages. You can avoid the potential capital gains tax liability that would result from the sale and be entitled to an income tax deduction for your gift. With securities or other assets that have declined in value, it may be advantageous to sell them and donate the proceeds to the CFLC. Simply contact your broker and indicate you would like to make a stock gift to the CFLC.
CREATE A NAME ENDOWMENT
You can create an endowment for a loved one, community cause or civic organization by making a donation of cash or property. This can be one way to leave a lasting legacy for you or a loved one. Please visit our Grants page to learn more.
A wonderful way of honoring a special person, loved one, or organization is with a gift that allows you to recognize them. An acknowledgement of your gift can be sent both to you and the honoree or family of a deceased loved one. Whichever method you choose to make your gift, you will receive a written acknowledgement for your donation. You are entitled to an income tax deduction for the gift in the year in which it is made. Please consult your financial advisor as to how the rules apply to you.
A meaningful gift to the Community Foundation of Lincoln County (CFLC) can be made with a planned or deferred gift that the CFLC would receive after your death. This type of gift is made through your will or trust instrument and includes gifts of life insurance proceeds, charitable gift annuities or charitable trusts. The benefits of planned giving can include estate tax savings, income tax deductions and capital gains tax consideration. Gifts of this type can protect your assets while providing benefits to your heirs and possibly increasing your annual income. Your attorney or financial advisor can advise you which type of gift is the most beneficial for your personal situation.
A cash gift is an easy way to make a donation. If you choose to send a cash donation, please mail your check, payable to the Community Foundation of Lincoln County, to PO Box 2750, Ruidoso, NM, 88355. You will receive a receipt for tax write-off purposes.
