For good. For ever.
Donor Resources
Tips on Giving Wisely
SCF would like to keep you, the donor, up-to-date with some of philanthropy's most current trends. Please read the information below for more information on giving wisely.
Saginaw Community Foundation Video
"An unstoppable force" The Saginaw Community Foundation - Use this 15 minute video to familiarize yourself, family, and friendswith what SCF is and what we can do for you.
Transfer of Wealth
Use this PowerPoint presentation to educate yourself and your clients about the importance of securing wealth in Saginaw County.
.jpg)
Economic Rescue Package Includes Help for Charities
Provision Permits Tax-free Charitable Transfers from IRAs
As part of the Emergency Economic Stabilization Act of 2008, the U.S. House of Representatives passed a two-year extension of Charitable IRA legislation on Friday, October 3, making it easier for individuals to give to causes they care about. The Charitable IRA provision, first enacted for 2006 and 2007, has the power to help local charities weather the current economic crisis. The extension goes through 2009.
In these financially turbulent times, millions of Americans continue to save pre-tax dollars in individual retirement accounts (IRAs). Thanks to regular investments and long-term returns, an estimated $4.7 trillion is invested in IRAs. The new law allows taxpayers, 70 ½ and older, to share the wealth by giving retirement savings directly to charity-and bypassing income tax.
This new law is a boon to local charities that are experiencing the effects of a tough economy. The tax benefit expires December 31, 2009.
"It is a win-win - for people who would rather give to charity and the nonprofit organizations they choose to support, than pay taxes,” said Renee Johnston, president and chief executive officer of the Saginaw Community Foundation.
Thanks to decades of deliberate saving, some of today's retirees have more money in their IRAs than they need for daily living expenses and long-term care. Charitable individuals and couples have expressed an interest in giving the funds to charity, but income tax must be paid on all withdrawals, which reduces the value of the gift. Others are concerned about designating their children as IRA beneficiaries, since that may draw unintended tax consequences.
"For larger estates, a good portion of IRA wealth goes to estate taxes and income taxes of beneficiaries,” Johnston said. "Experts estimate heirs may receive less than 50 percent of IRA assets that pass through estates.”
A provision in the new federal law extends an option: transferring IRA assets directly to charity. By going directly to a qualified public charity such as the Saginaw Community Foundation, the money is not included in the IRA owner's income and-most important-is not taxed, preserving the full amount for charitable purposes.
During 2008 and 2009 only, holders of traditional IRAs who are at least 70½ years old can make direct charitable transfers up to $100,000 per year. A single person can transfer $200,000 free from federal tax; a married couple can transfer up to $400,000 free from federal tax from separate accounts. The Saginaw Community Foundation can help donors execute the transfers and choose from several charitable fund options for their gift. Donor Advised Funds do not qualify for tax-free IRA transfers.
"This really is a limited-time offer; the window is open now, but it will close at the end of 2009,” Johnston said. "For anyone interested in establishing a permanent legacy in this community, this is the opportunity of a lifetime to make the gift of a lifetime.”
The Donor Bill of Rights
Philanthropy is based on voluntary action for the common good. It is a tradition of giving and sharing that is primary to the quality of life. To ensure that philanthropy merits the respect and trust of the general public, and that donors and prospective donors can have full confidence in the nonprofit organizations and causes they are asked to support, we declare that all donors have these rights:
I. To be informed of the organization's mission, of the way the organization intends to use donated resources, and of its capacity to use donations effectively for their intended purposes.
II. To be informed of the identity of those serving on the organization's governing board, and to expect the board to exercise prudent judgment in its stewardship responsibilities.
III. To have access to the organization's most recent financial statements.
IV. To be assured their gifts will be used for the purposes for which they were given.
V. To receive appropriate acknowledgement and recognition.
VI. To be assured that information about their donation is handled with respect and with confidentiality to the extent provided by law.
VII. To expect that all relationships with individuals representing organizations of interest to the donor will be professional in nature.
VIII. To be informed whether those seeking donations are volunteers, employees of the organization or hired solicitors.
IX. To have the opportunity for their names to be deleted from mailing lists that an organization may intend to share.
X. To feel free to ask questions when making a donation and to receive prompt, truthful and forthright answers.
Web hosting and development courtesy of