Planned Giving

Planned gifts offer the opportunity to balance your personal or family financial goals and your charitable giving goals, while achieving substantial benefits for both you and Young Harris College.  For you, planned giving offers such advantages as the federal income tax charitable contribution deduction and the avoidance of capital gains taxes.  In some cases, a planned gift can provide you or a loved one with income for life.  For Young Harris College, planned giving means gifts from generous donors that will strengthen our efforts for many years to come.

Designating a planned gift for Young Harris College makes you a member of the W. Harry and Harriet Hill Society for Planned Gifts.  Hill Society members receive a planned giving newsletter.  Read on to learn about various planned giving options. 
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>> Wills
A properly drawn will is an excellent way for a donor to remember Young Harris College and make a significant contribution. This gift, known as a bequest, is in a specific dollar amount or percentage, part of an estate, or all of the residue of a will given at the time of the donor's death.

>> Living, or Revocable, Trusts
Living trusts, also known as revocable trusts, are trusts with provisionst hat can be changed at a later date.  A donor may, in his or her lifetime, enter into a legal agreement or contract for the benefit of an organization such as Young Harris College. The donor funds this trust with assets, but retains the right to terminate, cancel, or revoke the trust. Many individuals create rovocable trusts in order to have a trustee (such as a bank or an individual) mangage assests for them in the event of their disability or infirmity.  The trustor or grantor transfers property of any kind to the trustee, who invests and reinvests the property and pays the income to a named beneficiary. When the trustor dies, the trust is terminated or continued for beneficiaries for a definite period of time. At some time, either at the trustor's death or at the death of his or her beneficiaries, the principal goes to Young Harris College.

>> Real Estate and Retained Life Estate
Significant support can be provided to YHC through a gift of real estate.  Such a gift can be particularly advantageous from a tax point of view. A residence, vacation home, farm, acreage, or vacant lot may have so appreciated in value through the years that its sale would mean a sizeable capital gains tax.  If given to Young Harris College instead, you would avoid the capital gains tax and, at the same time, receive a charitable deduction for the full fair market value of the property.  The fair market value should be established through an appraisal done by a qualified professional.

In the case of a retained life estate gift, you may contribute a personal home, a farm, or other assets to Young Harris College and retain the right to live in the home or farm, and use the property to produce income for the rest of your lifetime. At death, the property would go directly to the College without going through probate or taxation.  This is not only a way to make a gift of real estate to YHC while still retaining use of the property, but it also offers the benefit of more spendable dollars as a result of the tax deduction.

>> Deferred Annuity
The donor makes a charitable gift to the institution before retirement, and the institution agrees to pay a guaranteed life income, beginning when the donor retires or at any date he or she specifies. This program is ideal for donors who would like to make a sizable charitable gift, but are concerned about having sufficient retirement income.

>> Charitable Remainder Unitrusts
A unitrust is generally created as an irrevocable trust, providing substantial tax benefits for the donor.  It is one type of charitable remainder trust (the annuity trust being the other type).  Created by the donor, this life-income plan irrevocably transfers assets to a trust, which pays the donor an annual income for life. The income is based on a fixed percentage, which is determined by the fair market value of the trust assets as re-valued annually. Upon the death of the donor, the trust assets are transferred to Young Harris College.

>> Charitable Remainder Annuity Trusts
Annuity trusts are very similar to unitrusts except that, with an annuity trust, the life income beneficiary or beneficiaries receives annually a fixed dollar amount, rather than a fixed percentage of the assets in the trust.  The donor can also provide income for another person. At the time of the donor's death, the trust principal becomes the property of Young Harris College.

>> Charitable Lead Trusts
Charitable lead trusts are essentially the reverse of charitable remainder trusts.  With this plan, payments are made to first to Young Harris College for a predetermined time, after which the trust corpus goes to you or your heirs.  There are essentially two types of charitable lead trusts.  One type allows you to pass the assets on to your heirs either completely free or substantially free of estate and gift taxes.  The other type allows you to receive an up-front income tax charitable deduction in the year the trust is created.

>> Charitable Gift Annuities
With a gift annuity, an individual transfers cash or other property to Young Harris College, in return for which the College pays the donor a specified amount annually or quarterly for the remainder of the donor's life. It's a great way to receive a high, steady stream of income and also receive tax advantages for your gift. Because the rate of return on a gift annuity is often higher than that of savings accounts, money market funds, and other alternatives, many donors choose this mutually beneficial gift option.
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These details are presented for general information only and should not be acted upon without qualified professional assistance.

For more information on how you can become a part of the W. Harry and Harriet Hill Society for Planned Gifts, contact Bert W. Huffman '97, Vice President for Institutional Advancement at 706-379-5112 or 1-800-241-3754.