Since its establishment in 1975, the Dean McGee Eye Institute has become nationally recognized for the finest in clinical eye care and for productive research in the treatment and prevention of blinding eye disease. Yet, we realize that our significant accomplishments and expertise are only a beginning. New technology, new treatments spawned by innovations in molecular biology, new public health problems, and the revolution in health care delivery mean new challenges. The Dean McGee Eye Institute’s great potential for improving the quality of life for future generations is only limited by funding. There is so much to do. Won’t you assist us by making a planned gift?
Exploring The Possibilities
You may wish to consider making a substantial gift to the Dean McGee Eye Institute Foundation in support of the Dean McGee Eye Institute but feel you cannot afford to give up the asset or the annual income produced by the asset. Our planned giving program offers several ways to help you make such a gift while maintaining control of your assets or retaining an income for your life.
The benefits to you, the donor, vary according to which planned giving vehicle you select. Each vehicle has certain features which may be attractive to you. Most often, planned gifts are made by bequest or by will. Other vehicles include several varieties of trusts which are advantageous where a donor desires income for life.
Bequests By Will
The will is the foundation of an estate plan and is one of the most important documents you will ever sign. Through a will you direct who will receive the property you own and in what amounts or proportions your property will be distributed. Many types of assets may be given to the Dean McGee Eye Institute Foundation through your will including cash, securities, real estate, and personal property. A bequest to the Foundation can be designated unrestricted according to the greatest need, or, for a specific purpose such as an endowment for research, and endowed position, clinical or research equipment funds or for a specific research program.
Executing a will to include the Dean McGee Eye Institute Foundation is neither difficult nor expensive. Your attorney can help you draw up or update your will to fulfill your personal financial and philanthropic intentions.
Benefits Of A Gift By Will
Remembering the Dean McGee Eye Institute Foundation in your will has many benefits. Through a gift by bequest you can:
- Reduce or even eliminate federal estate taxes. In addition, state inheritance or estate taxes may also be reduced.
- Make a substantial gift to the Foundation which reflects your personal interests or goals.
- Perpetuate your support of the Foundation and provide for its future.
Types Of Bequests
- Fixed Amounts/Percentage – The Dean McGee Eye Institute Foundation receives a specific dollar amount or percentage of your estate. This gift represents the most common type of bequest to the Foundation.
- Personal and Real Property – The Foundation receives a specific asset, such as a parcel of land, a work of art or securities.
- Contingent – The Foundation receives a gift from your estate-usually in the event that you are not survived by your primary heirs.
- Residual – The Foundation receives a designated share of the entire remainder of your estate after heirs are provided for and necessary expenses are paid.
Gifts That Provide Income
If you would like to make a substantial gift to the Dean McGee Eye Institute Foundation but feel you cannot afford to give up the annual income produced by certain assets, our planned giving program offers several ways to help you make such a gift while retaining an income for your life.
Life-Income Giving Options
Life-income gifts can be made using cash or other assets such as appreciated securities, real estate, or personal property. There are specific tax advantages for each type of asset given.
- Charitable Gift Annuity – A charitable gift annuity pays you a fixed dollar amount for life (and to another beneficiary if you desire) in exchange for an irrevocable gift to the Dean McGee Eye Institute Foundation. The fixed amount is determined at the time of the contribution, and is based on your age and, if you have designated another beneficiary, on his/her age as well.
You can take an income tax deduction for the gift portion of the annuity, saving you tax dollars. In addition, a portion of each annuity payment is tax-free, as determined by U.S. Treasury tables.
- Deferred Gift Annuity – An option exists to defer the receipt of income until a later date, such as retirement. This offers several benefits. The annual income is higher when the payments begin and the contribution secures a larger current income tax charitable deduction.
Charitable Remainder Trust
There are two basic types of charitable remainder trusts that provide ways of giving to the Dean McGee Eye Institute Foundation while retaining an income for life. Each can be managed by the trustee of your choice. Under each of these trust arrangements the assets are irrevocably transferred to the Dean McGee Eye Institute Foundation, and you (and another beneficiary, if you wish) retain an income for life.
- Unitrust – A charitable remainder unitrust pays you a variable income because it is based upon a percentage of the fair market value of the trust assets, as re-valued each year. When the trust is established, you choose the payout rate, which must be at least 5%. A high rate, however, inhibits growth of the principal and reduces the charitable deduction.
If a charitable remainder unitrust is funded with cash, the trust can be invested in tax-exempt securities that pay tax-exempt income.
An important advantage of the unitrust permits a trustee to accept non-income-producing assets, such as real estate, into a trust. The trust can then sell these assets and reinvest to produce income without paying the capital gains tax which would otherwise be due at the time of transfer.
- Annuity Trust – A charitable remainder annuity trust pays a fixed amount each year as determined in advance by you. The amount must be at least 5% of the market value of the assets at the time the trust is established. As with the unitrust, a high payout rate inhibits growth of the principal and reduces the charitable deduction.
The chief advantage of an annuity trust is that it provides you with a predictable income each year regardless of any fluctuations in the earnings or value of the portfolio.
- Term-Certain Trust – An annuity trust or unitrust can also be established for a specific period of years not to exceed 20. This feature can be especially useful if you want to provide an income stream for a fixed period of time. The tax and investment benefits of a term-certain trust can be substantial.
We welcome the opportunity to meet with you and your advisors to discuss how to include the Dean McGee Eye Institute Foundation in your estate plans. All discussions are held in the highest confidence and are absolutely without obligation. For more information, call or write to:
Dean McGee Eye Institute Foundation
608 Stanton L. Young Boulevard, Ste. 346
Oklahoma City, OK 73104