So Many Ways

• Contribute what you can when the December flyer comes your way

• Class Reunions - Take up a collection or share what is leftover from your expenses

• Memorials made in honor of a loved one or to recognize a certain individual or cause

• IRA Transfers (see 1. below)

•  Endowments (Permanent Funds) for Scholarships or Excellence in Education projects (see 2. below)

• Civic Organizations committed to a specific community or school endeavor

1) IRA Transfers:

A Special Opportunity for those who are 70 ½  years and Beyond…

We know that reaching seventy (a Septuagenarian) is a notable milestone but one that comes with certain advantages.  One such is finally having access to those individual retirement accounts (IRAs) that have been built (through contributions and through asset growth) over the years.  This can be a WIN WIN opportunity to do some charitable giving without creating a taxable income situation for the giver.

 For those who have a traditional IRA, there is a required minimum distribution (RMD) starting at age 70 ½ and thereafter annually, that can be donated DIRECTLY from the IRA to a qualified charity, (and, yes, the Iowa-Grant Educational Foundation’s affiliation with the Community Foundation of Southern Wisconsin makes it an ‘eligible’ charity), thereby keeping the money free from federal income tax. 

 As an explanation, in late 2015, the PATH (Protecting Americans from Tax Hikes) Act made the IRA charitable rollover tax incentive ‘permanent law.’  What does that mean?  A person, age 70½ or older, may distribute up to $100,000, per taxable year, to an eligible charity (and, yes, the Iowa-Grant Educational Foundation’s is once again an ‘eligible’ charity).  There is no withdrawal penalty.  And, the distribution to the charity does NOT count as income for the person making the contribution. 

 The process for making contributions from an IRA including the direct donation of an RMD  to the Iowa-Grant Educational Foundation are not cumbersome.  Contact Sarah Latimer (sarah@cfsw.org), 608-314-2671) with your questions or for directions.

2)  Endowments: (Permanent Funds)

We are also building endowments which will support scholarships and educational enrichment now and for years to come.  In addition to cash donations, we are also able to receive stock, real estate, tangible property, bequests and trusts, life insurance and retirement plan distributions as you set up an endowment.  Most of the endowed funds have come to IGEF as memorials, establishing a legacy that lasts into perpetuity.

Named Fund - Scholarship Endowments require a minimum gift of $25,000 which can be pledged over a 3 year period.  Donors can choose an area of interest to focus their scholarship award toward if desired.  The foundation acknowledges the following named scholarship endowments: the Thomas and Mary Jane Limmex Scholarship, the Millard ‘Mick’ Gundlach Agriculture Scholarship; the Mae E Austin Memorial Scholarship; the James E Schroeder Scholarship Fund; the Glen & Connie Gard Family Scholarship; the Christianson Family Scholarship; Jim Kohlenberg Scholarship; J. Bruce & Margaret L. Bradley Scholarship; Melby Family Scholarship, and the Dennis & Marilyn Carr Scholarship,

Named Fund - Excellence in Education Endowments (EIE) require a minimum of $10,000 over a 3 year period.  This type of fund generates monies on an annual basis that is distributed in the form of grants that support school projects guided by staff members.  Donors may assist in establishing the grant award criteria, as allowed by law.  The Iowa-Grant Educational Foundation is proud to make an annual award from the Elizabeth Summers Scholastic Achievement Endowment and from the Marge & Clyde Wagner Excellence in EIE Fund, Rewey Alumni Association EIE Fund and the Merlin, Lorraine, Bruce & Loralee Fritsch EIE Fund .

3)  Outright Gifts:

You can make a gift of cash, stocks, bonds, real estate or other assets, such as real property, to the Iowa-Grant Educational Foundation that will qualify for the maximum tax benefit under state and federal law.  We also accept gifts made with credit cards.

4)  Deferred Gifts:

Deferred gifts, or bequests, allow you to designate a gift or portion of your estate to the Community Foundation and in some cases receive substantial reductions in federal gift and estate taxes.

Life Insurance: You can name the Community Foundation as the beneficiary and owner of life insurance policies that you no longer need. If the policy is not paid up, the premium payment is fully deductible as a charitable contribution. At death, the proceeds pass to the Community Foundation free of estate taxes.

Pooled Income Fund: You can place cash or property in the Community Foundation’s Pooled Income Fund and receive annual income yourself, or for another named beneficiary, for life. At death, the proceeds are removed from the Pooled Income Fund and placed in a new or existing component fund in the Community Foundation that you have selected. You receive a partial charitable income tax deduction based on the calculated remainder value of the gift.

Qualified Retirement Plans and IRA Benefits: You can use assets accumulated in qualified retirement plans or IRA accounts to fulfill charitable goals, thereby keeping these assets free from tax liability. After you reach age 70 ½, you may be able to transfer a portion of these assets to charity to satisfy minimum distribution rules rather than take these assets in income that will be taxed. Note: the IRA Charitable Rollover Provision has been extended until the end of 2014.

5)  Life Income Gifts:

Life income gifts are gifts that provide charitable tax-deductions and income for the donor or other named beneficiary during their lifetime.

Pooled Income Fund: You can make a gift to the pooled income fund and receive lifetime income. At death, the proceeds are removed from the pooled income fund and placed in a new or existing component fund in the Community Foundation. Grants are then awarded to charities or causes of your choice. You receive income tax benefits the year you establish the trust.

 Charitable Remainder Trust: You can place cash or property in a trust that pays annual income to you or another named beneficiary for life. After your death the remainder of the trust sum is transferred to the Community Foundation and placed in a charitable fund you’ve elected. You receive income tax benefits the year you establish the trust.

Wealth-Replacement Trust: You can use life insurance in addition to a charitable remainder trust to increase the amounts received by heirs.

Charitable Lead Trust: You can place cash and property in a trust that pays a fixed amount to the Community Foundation for the number of years you select. Once this time period ends the assets held in your name are transferred to the fund that you name. In some cases you receive a substantial reduction in federal gift and estate taxes.

6)  Civic Organizations:

A special note of thanks is due the Linden Masonic Lodge who, for many years, has made IGEF the recipient of one of their monthly breakfast fundraisers.  The community support is much appreciated.  This money is used to help fund the "Excellence in Education" grants for special school projects.

 *We encourage donors to discuss their giving options with their professional advisor — lawyer, accountant, estate planner. The CFSW staff is always ready to answer your questions and provide any information that you may require regarding the establishment of a fund.