Marianapolis Planned Giving Society

In order to donate retirement plan assets during your lifetime you would need to take a distribution from the retirement account, include the distribution in your income for that year, account for any taxes associated with the distribution, and then contribute cash to Marianapolis—with one exception. Under The Protecting Americans from Tax Hikes Act of 2015, Americans over the age of 70½ can distribute up to $100,000 in a calendar year from an IRA to Marianapolis or other charities, tax-free. This distribution to a charity can be a significant benefit for IRA owners who are required each year to take minimum required distributions, which are included in their gross income for income tax purposes. These funds can be unrestricted donations or be used to pay off multi-year pledges, create an endowed scholarship or other permanent fund.

The IRA owner directs the IRA plan administrator to distribute any amount up to $100,000 to charity, the distribution can fulfill the owner's minimum required distribution, but is not included in their income for income tax purposes. Although the IRA owner is not entitled to a charitable deduction for the distribution, the distribution benefits charity. 

If you have any questions, please contact the Advancement office at advancement@marianapolis.org or 860-923-9565.

Click here to download suggested Charitable IRA Rollover Gift instructions to send to your IRA administrator. 

A retirement plan can be a tax-efficient and simple way of including Marianapolis in your estate plan. The best method is to name Marianapolis as a beneficiary on your plan's beneficiary designation form. The tax advantage stems from the fact that most retirement plans (other than Roth IRAs) are subject to income taxes—and possibly estate taxes—if left to an individual beneficiary; however, a charity that is named as the beneficiary does not pay income or estate taxes on the distribution. Thus, the full value of what is distributed can be used by Marianapolis as a gift from your estate, supporting the purpose you designate.

When you establish a charitable remainder trust, naming Marianapolis as a remainder beneficiary, you can receive annual income for the rest of your life. Your irrevocable trust can be structured so that you receive either a variable or a fixed amount. The School will receive the balance remaining in the trust after your lifetime. In addition, you will receive an immediate charitable tax deduction for a portion of the value of the assets you use to establish the trust.

An outright gift of cash is the simplest and most common form of giving to Marianapolis. A gift of cash is not subject to gift or estate taxes, and can be put to work immediately to support the needs of Marianapolis. Other assets, including securities, real estate, closely held stock, life insurance policies, and tangible personal property such as artwork and stamp collections can be donated as well. These gifts provide a charitable tax deduction as well as possible capital gains tax savings.

A carefully written will ensures that your estate will be distributed according to your wishes to the people and charities you care about. A bequest is the simplest way to make the kind of significant contribution to Marianapolis that might not have been possible during your lifetime and can provide major financial and tax savings for your estate and its beneficiaries.

You may wish to consider creating an endowment in the name of someone you wish to honor or memorialize in perpetuity, or in your own name. As with all gifts to Marianapolis, a memorial gift provides income or estate tax benefits for the donor. Consider establishing a named endowed fund to ensure our future in this way.