Here’ s simple way for you to strengthen our ability to provide service in the St. Charles area for years to come.
Life Insurance Gifts
A common “hidden asset” for giving
is the life insurance policy that is no
longer needed for its original
purpose. Let’s assume that your
family has grown and that there is
no longer a real necessity for
retaining a $50,000 policy
purchased many years ago. The
policy has a cash value of about
$20,000. You can make a charity
the owner and beneficiary of the
policy and continue to pay the
premiums. You’ll gain an
immediate tax savings of $7,000
(a $20,000 deduction at an
assumed 35% income tax rate).
And you’ll gain additional tax
deduction savings for the premiums
you pay in future years. These
savings can pass to your
beneficiaries. And the full $50,000,
with no reduction for the estate tax,
will be available to the charity to
benefit future generations.
To make a life insurance gift, ask the
insurance company for forms that
will change the beneficiary and
ownership designations, and send
The Sparrow’s Nest the policy and forms.