Maryland’s Health Matters - Midtown - Fall 2017 - 15

The Power of Planned Giving

A charitable lead trust creates a win-win opportunity for both the donor
and the University of Maryland Medical Center Midtown Campus
Making a planned gift to the University

Bequests

are subject to income taxes and

of Maryland Medical Center (UMMC)

■ Outright gift providing the satisfaction

may also be subject to federal

Midtown Campus is a noble act that

of extending influence and interests

estate taxes for individuals who

conveys a strong commitment to the

beyond the donor's lifetime

inherit them

future of our institution and, most

■ May reduce or eliminate estate taxes
Charitable Gift Annuities Trust

importantly, our patients.
A planned gift can have a dual impact.
It can provide for you and your family
and, at the same time, secure a strong
future for our hospital. Your financial and

Appreciated Securities
■ Charitable income tax deduction for
full fair market value of the securities
■ Avoid capital gains taxes that

philanthropic goals can determine the

would have been due if the donor

type of planned gift that is best for you.

sold appreciated securities
Life Insurance

of assets to the UMMC Midtown Campus

■ May enable the donor to make

the remainder of the donor's lifetime.
When the period ends or the donor

income tax deduction for
a portion of the gift
■ Fixed income for the donor
and/or a second person for life
■ Income payments can begin
immediately or be delayed until

Through a charitable lead trust, for
example, a donor designates an amount
for an established period-typically over

■ Immediate charitable

a date chosen by the donor
■ When the gift annuity ends,

a larger gift than through a bequest

assets are used for a purpose

or cash donation

designated by the donor

■ Gift credit and an immediate income

dies, the remaining funds in the trust

tax deduction for the cash surrender

Charitable Remainder Unitrust

are returned to the donor or his or her

value of the policy

■ Immediate charitable income tax
deduction for a portion of the gift

beneficiaries. This type of trust allows
the donor to give to the University of

Real Estate

Maryland in the present, while ensur-

■ Income tax charitable deduction

ing that their loved ones are financially
cared for in the future.
A charitable lead trust offers appealing tax incentives as well. By donating

based on the full fair market value
of the property
■ Avoid capital gains taxes on the
appreciated portion of the value

■ Fixed or variable income for the
donor and/or another person
■ Specified term (generally the
donor's lifetime)
■ Income based on a payout rate
chosen by the donor
■ When the trust ends, assets

to the UMMC Midtown Campus through
a charitable lead trust, you can avoid

Retained Life Estate

are used for a purpose designated

paying gift or estate tax. Once the pay-

■ Donate property but retain the use

by the donor 

ments to the University of Maryland

of the property (such as a residence

end, the assets left over in the trust are

or farm) during the benefactor's

transferred to the beneficiaries, typically

lifetime

at a much lower tax rate.

CREATING A LEGACY
In addition to a charitable lead trust,
there are many other planned giving
opportunities available to leave a lasting
legacy at our hospital. They include:

410-671-4348 or pcramp@comcast.net.

Retirement Plan Assets
■ Distributed directly to a
beneficiary who is named to
receive the plan assets
■ Extra tax savings from donation
of retirement plan assets, which

LEARN MORE
For more information about
planned giving and its benefits for the UMMC Midtown
Campus, please contact the
University of Maryland Medical
System Foundation at
410-328-5770.

umm.edu/midtown | Fall 2017

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http://www.umm.edu/midtown
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