Charitable Gift Opportunities

Outright Gifts

An outright gift enables the UAB Comprehensive Cancer Center to immediately begin addressing the current obstacles standing in the way of progress and gives you the opportunity to see the results and benefits during your lifetime. Outright gifts give you the benefit of an income tax deducation, capital gains tax avoidance and/or federal estate tax reduction. Many donors write a check for their gifts, but there might be a more effective way for you to give through appreciated securities or property you own.

Appreciated Securities

–Can be used to make an outright gift or to fund a life income gift.

–Provides an income tax deduction for the full fair market value of securities held for more than one year.

Charitable Gift Annuity (a life income gift)

–Provides supplemental income payments for lifetime (and/or the lifetime of another individual).

–Offers charitable tax deduction at the time of the gift.

–Serves as both an income stream and charitable gift.

–Supports the UAB Comprehensive Cancer Center for generations to come.

–$10,000 minimum contribution; 55 or older more suitable life stage bracket for an immediate annuity (younger supporters might consider a deferred income payout with higher payout percentage).

Charitable Remainder Trust (a life income gift)

–Enables donor to make a substantial gift to the UAB Comprehensive Cancer Center and receive an income for life or a term of years as well as current tax deduction.

–Donor may receive a fixed dollar amount payment (Annuity Trust) or payments based on a fixed percentage of the December 31 market value (Unitrust).

–Donor receives immediate charitable tax deduction equal to the present value of the gift as determined by life expectancy tables; assets in trust are removed from donor’s estate.

–Can be funded with cash, securities or real estate (minimum funding is $100,000)

–No age limit, but typically benefits a retired individual/couple or someone nearing retirement, between ages 60 and 80, and/or someone wanting to establish an income stream for him/herself and another family member.

Charitable Lead Trust

–Enables donor to fund an endowed chair, scholarship, faculty position, buildling renovation or research project while transferring sizeable assets to heirs with significant tax benefits.

–UAB Comprehensive Cancer Center receives annual payments (either fixed or variable) for a predetermined amount of time after which the remaining assets go to the beneficiary(ies).

–Donor receives charitable tax deduction equal to the present value of payments to UAB based on the time value of money.

–Donor is taxed with net income and capital gain produced within the Trust, but can deduct payments made to UAB.

–$1,000,000 minimum is recommended due to administrative costs of CLTs and in order to create an impactful income stream for UAB.

Life Insurance

–Donor may assign ownership of a current policy to UAB Educational Foundation or may purchase a new policy and name us the owner and beneficiary. Premium payments made on policies owned by UAB are charitable deductions.

–Allows donor to make a substantial deferred charitable gift at a relatively low cost.

–Especially affordable for younger donors.

Retirement Plan Assets

–Because retirement plan assets cost less and are subject to both estate tax and income tax (effectively a 70% tax rate), they are generally better to use as charitable bequests than non-IRD assets.

–Donor may assign the UAB Comprehensive Cancer Center as the beneficiary either in full or as a percentage of the total plan.

–If UAB is the full beneficiary, the donor’s estate avoids income and estate taxes on those assets.

–Owner can take taxable distribution from plan, and then give remaining proceeds to UAB (distributions subject to ordinary income taxation, but may be offset by charitable tax deduction).

Bequests

–Donor makes provisions in his/her will or living trust to include the UAB Comprehensive Cancer Center (or specific cancer program of their choice) as a beneficiary.

–The gift can be a specific dollar amount, a specific asset or a percentage of the estate.

–A charitable tax deduction is applied to the estate in the amount of the bequest.

–Allows donor to direct their estate assets to charitable programs and organizations that are important to them, leaving a legacy of caring.

–Charitable bequests to the UAB Comprehensive Cancer Center should be made in the name of the Board of Trustees of the University of Alabama System for UAB for use by the Comprehensive Cancer Center (and/or any specific program therein).

–The UAB Office of Planned Giving can provide sample language for bequests.

–Please indicate whether or not your bequest may be used to create an endowment.

To make a gift or learn more about planned giving opportunities, please contact one of the following:

Chris Thomason
Senior Director of Development
UAB Comprehensive Cancer Center
WTI 210, 1720 2nd Avenue South
Birmingham, AL  35294-3300
(205) 934-0930
(205) 975-2432 – fax
cthomason@uab.edu

Elizabeth A. Ponder
Director of Planned Giving
University of Alabama at Birmingham
AB 1225, 1530 3rd Avenue South
Birmingham, AL  35294-0112
(205) 934-0759
(205) 934-7686 – fax
eponder@uab.edu

UAB is a non-profit organization under IRX tax code 501(c)(3). This material is meant for informational purposes only and should not be considered legal or tax-related advice. Please consult your tax and/or estate planning professional to determine which gift methods are best for you based on your personal circumstances.

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