Life Income Gifts
Life Income Gifts are individually designed to meet the needs of the donor. They provide many benefits but require careful financial planning. Benefits include:
- Continuation of your Christian stewardship through a gift
- Annual payments for the rest of your life
- Income and estate tax benefits
- Fewer worries about investments of money management
- A giving plan that fits most older adults
- Flexibility to fit your needs
- A unique way to give
Pooled Income Fund
This income fund permits you to "pool assets" with other donors for greater earning power. You own shares in the fund
and the income generated by them is paid each year. You may arrange for the income to be paid to yourself, your spouse,
a dependent child or any person you want to benefit with lifetime support.
Cash or appreciated securities are excellent assets to use in funding a pooled income fund gift. All capital gains taxes a
re eliminated. Upon the death of the last income beneficiary, your gift becomes the absolute property of Red Bird Mission
as you have directed.
The income generated depends on prevailing interest and dividend rates. The return has followed trends that compare
favorably with many types of investment income. Your gift may be in any amount. There is no maximum or minimum limit.
Red Bird Mission uses the General Board of Global Ministries Pooled Income Fund that is managed by the United States Trust
Company of New York, NY as Trustee.
Charitable Remainder Trusts- Unitrust or Annuity Trust
The unitrust is the most flexible and the most frequently used charitable remainder trust. The unitrust is individually
designed to meet the needs of the donor, paying periodic income based on a fixed percentage of the fair market value of
the trust. Payouts can increase as the value of the trust increases.
A Unitrust can be funded with cash and other investment such as stock, bonds, and real estate.
Unitrusts provide all the basic trust features:
- Management
- Earnings
- Tax Benefits
- Savings
- A Charitable gift to Red Bird Mission upon your death
Gift Annuities
The Charitable Gift Annuity is used by many Christians who wish to give to the mission of the church, but must retain
income for life.
The donor transfers property (cash, securities, etc.) to Red Bird Mission while retaining the right to receive income
for the donor's lifetime at a guaranteed rate. During the donor's life annual, semiannual, or quarterly payments are
made to the donor. Upon the death of the donor, the remaining balance will be paid to Red Bird Mission.
The life income rate of return on the gift is based on the age of the donor. The rates are determined by Red Bird
Mission based on industry standards and IRS considerations. Younger donors receive a lower rate. Older donors receive
a higher rate.
A Gift Annuity provides a guaranteed source of income at competitive rates without the need for complicated investment
strategies. A portion of you gift can result in an immediate charitable tax deduction. In addition, a portion of your
annuity income is tax exempt. For specific information on charitable tax deductions or tax-exempt income please contact
us directly for an illustration or your financial advisor.
Please Note:
The information here is only intended as an educational tool. Please contact your legal or financial advisor before making a decision about any planned gift.
If you are ready to begin the process to receive your free financial planning report
with recommendations please email:
Mission Advancement
or call 606.598.3155
Thank you for your interest in the future of Red Bird Mission!