What is Planned Giving?
Bequests and other forms of planned or deferred gifts let you support Knox Community Hospital in a way that makes financial sense for you.
By including Knox Community Hospital in your will, you are providing excellent healthcare for future generations. A bequest can be structured to suit your family needs, such as providing income for a loved one, before it is distributed to KCH. Your charitable bequest is deductible for estate tax purposes and may offer significant tax savings, depending on the size of your estate.
Knox Community Hospital is happy to work with donors and their legal advisors on the phrasing of a specific bequest or on creating a named fund through a bequest. If you would like additional information regarding bequests, please contact The Foundation at 740.393.9602 or Lori.Wilkes@KCH.org
Gifts & Property
Gifts of tangible goods and property, including real estate, may be accepted depending on the nature and utility of the items. Donors must provide fair market value based on IRS valuation rules and procedures.
Many individuals have life insurance policies that can be used to benefit charities when the loved one dies or, in some cases, during the individual’s lifetime. Life insurance can be used to benefit charities in two primary ways:
By naming Knox Community Hospital as a primary beneficiary or as a contingent beneficiary. Changing your beneficiaries is easy. Simply contact your insurance carrier and request a beneficiary form.
Easy to give – involves little effort or paperwork
Revocable – may change beneficiaries during lifetime
Policy owners can also irrevocably assign the ownership and beneficiary designation to Knox Community Hospital, guaranteeing that the death benefit will pass to the charity. If the policy has cash value, the hospital would have the option of either holding until the maturity date or surrendering and receiving the policy’s present cash value.
Donor may be entitled to an immediate charitable income tax deduction equal to the fair market value or the adjusted cost basis the donor has in the policy
Proceeds will pass free of estate taxation to the Hospital when the insured passes
Charitable Remainder Trust (CRT)
Philanthropy is an important value shared by many families.
There are several mechanisms available to help you and your family give while realizing significant income and tax benefits. Charitable trusts are great tools designed for this purpose.
What is a Charitable Remainder Trust?
A CRT lets you turn an appreciated property (assets that have gone up significantly in value), like stocks or real estate, into lifetime income. These trusts can manage/minimize (pick one) your income taxes now and estate taxes later when you pass away. You pay no capital gains taxes when the asset is sold which helps you provide a giving legacy to worthy charitable organizations like Knox Community Hospital.
How does a Charitable Remainder Trust work?
When you decide to create a charitable trust, your appreciated property is transferred into an irrevocable trust. Your chosen trustee will invest and manage the property so that it earns income for you for a specified period or for your lifetime. You benefit immediately with a charitable deduction on your income taxes. Since the asset is removed from your estate upon your death, there are no estate taxes assessed on the trust property and the remainder of the trust goes to the charitable organization. Additionally, because the asset remains with the charity, capital gains taxes are minimized or possibly eliminated.
Charitable Lead Trust (CLT)
A CLT is often thought of as a charitable remainder trust in reverse. It has the same benefits as the CRT, but instead of the donor receiving income from the trust, the charitable organization receives the income for a specified period of time. Upon the grantor’s death, the beneficiaries receive the asset with significant tax advantages.
We recommend that you consult your financial advisor or attorney for the giving plan that best suits your needs.
Endowed funds are essentially savings accounts from which only the earnings may be spent. The principal is never touched. A new endowment fund will be created with the donor’s name on it with a gift of $50,000 or more.
For information about Planned Giving, or The Foundation for KCH, please contact Lori Wilkes in the Development Office at 740.393.9602 or email at Lori.Wilkes@KCH.org.