Receive Income Now and Save Taxes

It's a win-win-win!

Receive income now, save taxes, and support causes you care about - like the UMRC-Porter Hills Foundation. Here's How:

Care with a Share: Make a Gift of Appreciated Stock

With a gift of appreciated stock to the UMRC-Porter Hills Foundation, you will:

• Save the capital gains tax from the stock
• Get an income tax deduction to offset your taxable income

Gifts of publicly traded securities that have appreciated in value allow you to avoid capital gains taxes while also receiving a tax deduction for your gift. Plus, you may specify the area you would like the proceeds to support (such as Benevolent Care or Capital Improvements) or contribute them to our Unrestricted Fund to be used where needed most. The Foundation benefits by selling the stock without paying taxes on the gain, and you benefit from making a contribution that may be larger than what you might have been able to donate in cash. 

"It is gratifying to help our donors make a gift with stock so they never have to pay capital gains taxes." - Rachel Webster, UMRC-Porter Hills Foundation Director of Philanthropy 

Before a transfer of stock is made, please notify us at Advancement@UMRCPH.org or call 734.433.1000 ext. 7502 or 616.577.2297.

The following are the DTC instructions for the UMRC-Porter Hills Foundation for the transfer of stock:

Custodian: SEI Private Trust Company
Contact: seic.com/contact-us or call 1-800-DIAL SEI (1-800-342-5734)
DTC Participant #: 2039
Institution #: 94952
Agent Internal Account #: 11102-C
Interested Party Account Name: UMRC-Porter Hills Foundation
Interested Party Account Number: 210071-STK
Tax ID #: 38-3443089

Give Away Your IRA Required Minimum Distribution  Each Year -

If you are age 70.5 or older, you can make a tax-free donation, or Qualified Charitable Distribution (QCD), directly from your Individual Retirement Account (IRA) to a qualified charity such as UMRC-Porter Hills Foundation. This allows you to avoid paying income taxes on your Required Minimum Distribution (RMD). 

Here's How: 

• Inform your IRA administrator to give all or part of the RMD directly to a nonprofit like UMRC-Porter Hills Foundation.
• The amount given to the nonprofit is not taxed, providing you the same benefit as a tax reduction.
• Best of all, you do not need to itemize your tax deductions to receive this tax saving benefit! 

Provide your IRA administrator with the necessary information for UMRC-Porter Hills Foundation.

Legal Name: UMRC-Porter Hills Foundation
Address: 805 W. Middle Street, Chelsea, MI 48118 or 1049 E. Paris Avenue SE, Grand Rapids, MI 49546
Federal Tax ID Number: 38-3443089

After the transfer, please notify us at Advancement@UMRCPH.org to confirm your donation.

Receive Income from Your Gifts with a CGA -

Receive guaranteed income and a tax deduction NOW while giving to the UMRC-Porter Hills Foundation and LATER with a Charitable Gift Annuity (CGA).

In return for transferring cash or stock that are earmarked for the UMRC-Porter Hills Foundation after your lifetime, you can receive:

• Lifetime annuity payments that may greatly *exceed current CD and money market interest rates
• An immediate income tax charitable deduction
• Avoid paying capital gains taxes if you contributed a stock
• Receive largely tax-free income if you contributed cash; and
• Leave a lasting legacy with the UMRC-Porter Hills Foundation when the Foundation receives the principal of the CGA after your lifetime. 

*Your annuity payments are based on your age at the time of your contribution. Here are the current rates: 

Single annuitant age 65 – 5.7%                  Two annuitant ages 75 – 6.2%
Single annuitant age 70 – 6.3%                  Two annuitants age 80 – 6.9%
Single annuitant age 75 – 7.0%                  Two annuitants age 85 – 8.1%
Single annuitant age 80 – 8.1%
Single annuitant age 85 – 9.1%                  Single annuitant age 65 defers
Single annuitant age 90 – 10.1%                first payment for 10 years – 11.1%

Receive Income from Your Gifts with a CRUT - 

Receive variable income after selling your real estate without paying capital gains taxes and receive a tax deduction with a Charitable Remainder Unitrust (CRUT)

By putting your real estate into a charitable remainder unitrust (CRUT) before you can sell the property, you can:

• Have CRUT sell your real estate without paying any immediate capital gains taxes
• Receive an immediate income tax charitable deduction
• Leave a lasting legacy with UMRCPH because UMRCPH would receive the remaining principal of the CRUT after your lifetime

You can also diversify your stock portfolio if you contribute appreciated stock into the CRUT and have the CRUT sell the stock.

Here is an example: Henry, age 70, is tired of managing his rental property (his rents are low and his headaches are high). He wants to sell his property, but does not relish paying a big capital gains tax bill. He paid $500,000 for the property, which is now worth $2 million. He holds no mortgage. 

By putting the entire property into a 7% charitable remainder unitrust (CRUT) BEFORE he sells the property, Henry:

• Receives a large income tax reduction ($783,000 based on his age and current interest rates) 
• Pays NO capital gains tax when he sells the property
• Receives $140,000 in income annually (7% of the property value), which is far greater income than his current rent
• May receive increased income in future years because his 7% payment is based on the annual valuation of the CRUT principal
• A nonprofit, like URMC-Porter Hills Foundation, will receive a transformative gift of the principal after Henry's lifetime. 

Contact Kelli Smith, CFRE, President & CEO of the UMRC-Porter Hills Foundation, at 734.433.1000 ext. 7502 or 616.577.2254 to receive a personalized illustration and learn about more ways to save taxes while making a meaningful impact on the lives of older adults.