A GUIDE TO PLANNED GIVING AT THE UNIVERSITY OF BRIDGEPORT

Plan Your Purple Knights Legacy

lanned giving is a form of philanthropy arranged as part of one’s overall estate planning or long-term financial planning. Through planned giving, you can create a lasting legacy at the University of Bridgeport while

in many cases securing valuable tax and financial benefits. Planned giving often enables donors to have a greater philanthropic impact than they would have through cash gifts.

Legacy gifts will form an increasingly important part of UB’s financial picture as the University continues to grow and evolve. By making a planned gift, you are making a critical investment in UB’s long-term future. That means providing UB the resources it needs to build its talented faculty and to enhance its innovative support system for students. Legacy gifts also enable UB to open doors for a diverse group of students, many of whom are the first in their families to attend college. For all of these reasons, we hope you consider a planned gift to UB as you contemplate your long-term financial goals.

In this brochure we provide a brief overview of the many forms that planned giving can take, including bequests, charitable IRA rollovers, and gifts of life insurance. Because each person’s financial situation is unique, be sure to consult your financial advisor for more specifics. UB’s Office of Advancement is also happy to help you navigate the options discussed here. We would love to hear from you!

To learn more about planned giving, contact:Marie Muhvic, vice president for advancementE-mail: mmuhvic@bridgeport.eduPhone: (203) 576-4896

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Thank you for considering the University of Bridgeport as you plan your legacy. Through planned giving, you have a wide variety of

options for supporting future generations of Purple Knights. We are excited about building upon UB’s many successes and we hope you are too. Feel free to contact us any time if you would like to learn more.

To learn more about planned giving, contact: Marie Muhvic, vice president for advancement

E-mail: mmuhvic@bridgeport.edu • Phone: (203) 576-4896

$Bequest

In a bequest, you are able to leave a portion of your estate to UB after your passing. Using specific language in your will or living trust, you can ensure that a certain portion of cash, securities, or real estate is transferred to the University to create a lasting legacy.

ADVANTAGES• You have use of the designated assets

until after your passing.

• You have flexibility in determining what kinds of assets and how much you would like to leave behind.

• For those whose wealth is subject to the estate tax, a bequest can be taken as a deduction on the estate tax. (The 2019 estate tax exemption is $11.4 million per individual.)

Charitable Remainder Trust

Like the charitable gift annuity, a charitable remainder trust is an income-generating gift. In this case, you make a donation into an irrevocable charitable trust. You or your beneficiary will then draw a fixed income from the trust for life. After the beneficiary’s passing, the University will receive the remainder of the assets. In addition to cash and securities, you are able to transfer real estate into the trust. The trustee will sell the real estate in order to convert it into an income-generating fund.

ADVANTAGES• You may receive a tax deduction in the

year that you establish the trust.

• Enables you to convert appreciated real estate into an income without paying capital gains tax.

• You can provide a lifetime of fixed income for yourself or your beneficiary.

Donating Real Estate

Donors can gift real estate assets directly to the University. The University will then sell the real estate to fund vital programs. Before the donation can occur, the University must assess the property in order to determine its value and legal status.

ADVANTAGES• You receive an income tax deduction.

• Appreciated real estate transferred directly to a charity is not subject to a capital gains tax. (This enables you to maximize your gift to the University. In contrast, you would pay capital gains if you sold appreciated real estate and then donated the proceeds.)

Gift of Stock

Many people are not aware that donating stock is relatively easy and that it comes with significant tax advantages. You can donate stocks directly to the University through an electronic transfer. To do this, get in touch with your broker.

ADVANTAGES• If you donate stock that you have held

for more than a year, you can take a charitable deduction for its fair market value.

• Donated stock is exempt from capital gains tax.

Giving through Life Insurance

There are multiple ways of using life insurance to make charitable donations. You can name UB as the beneficiary of your policy. You can also donate a permanent life insurance policy to the University if you no longer require the coverage. In this case, you designate UB as the owner and recipient of the policy. Dividends from a policy can also be donated.

ADVANTAGES• In many cases you are able to amplify

your giving power, leveraging premium payments for a larger death benefit paid to your charity.

• If you make UB the owner of your policy, you can potentially obtain a tax deduction on the value of the policy.

Contribute Money from Your IRA

You can make a charitable rollover (also known as a Qualified Charitable Distribution) from your IRA to UB. Unlike most IRA distributions, this rollover can be made tax-free. In order to make a tax-free charitable rollover from your IRA, you must be 70½ or older and your donation must be less than $100,000.

ADVANTAGES• A charitable rollover of less than

$100,000 is excluded from gross annual income reported on federal taxes.

• It counts toward your minimum distribution in the year you made the gift.

Charitable Gift Annuity

In a charitable gift annuity, you provide a significant gift of cash, securities, or other assets to the University. The University then uses a portion of this donation to provide you (or another annuitant) fixed payments for life. After the annuitant’s passing, the University will receive the remainder of the gift.

ADVANTAGES• You may be eligible for a partial tax

deduction in the year that you make the gift.

• A portion of your income stream from the CGA may be tax-free.

• Possible reduction in capital gains tax on appreciated assets donated to the annuity.

• You ensure a lifetime fixed-income stream for yourself or a loved one.

CREATE A POWERFUL LEGACY AT UB

RECEIVE A TAX DEDUCTION

CONVERT APPRECIATED REAL ESTATE INTO INCOME

REDUCE CAPITAL GAINS LIABILITY

USE MY IRA FOR CHARITABLE PURPOSES

USE NON-CASH ASSETS TO BENEFIT THE INSTITUTION I LOVE

With planned giving, I can...

Planned Giving