Donor Story Booklet Calculator

Leading for the Future

Luke and Cynthia spent many years volunteering with and supporting Mount Vernon Nazarene University. They wanted to give back in a way that would help strengthen MVNU. At the same time, they were looking for a way to care for their family in the future.

The following fictional story illustrates a typical donor scenario.

Luke: "We heard that now is a good time to set up a charitable lead trust. We could fund the trust with cash or stock and the trust would pay income to the nonprofit for a number of years, with the rest of the trust value going to our children in the future."
Cynthia: "We liked the fact that our children would be well cared for and that we could see the result now of our gifts to our favorite nonprofit."

Luke and Cynthia were also pleased to learn that taxes on the gift to their children would be significantly reduced by the added benefit of a gift tax charitable deduction. After the income was paid to our organization, the remaining trust value would go to their family with very little tax owed.

Luke: "Cynthia and I found that by using a charitable lead trust, we could accomplish our goals of helping both family and our favorite nonprofit during our lifetimes."

What is a charitable lead trust?

A charitable lead trust is a way you can support Mount Vernon Nazarene University for a number of years and pass on your assets to your family while reducing or eliminating gift or estate taxes.

Charitable lead trust video

Is a charitable lead trust right for you?

A charitable lead trust can be an excellent part of many tax-planning strategies. If you have questions about lead trusts, please contact us.

Please note: The information above is representative of a typical donor and may or may not be an actual donor to our organization.

Booklet

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Calculate Benefits

This lead annuity trust pays a fixed amount each year to a qualified charity for from one to thirty-five years, with remainder to family or family trust.

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Gift Date	Month: Day: Year:
Please enter a valid gift date
Gift month field is required
Gift day field is required
Gift year field is required
Rate of the Month
The current Rate of the Month (AFR) will display in the drop down box. Choose one of the three rates offered.
Donor
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Beneficiary
Enter the name of the Beneficiary. You may use such titles as "Mr.", "Mrs.", "Dr.", "Rev.", "Jr.", etc.
Beneficiary is required
Term of Years	Years
Enter the term of years the trust will last, i.e., distribute income to the named beneficiary(ies). The term cannot exceed 20 years.
Term of years is required
Trust Amount $
Please enter a valid property value
Property value is required
Enter the amount of cash or the fair market value (FMV) of the asset(s) used to fund the CGA. For assets such as real estate, closely-held stock and other hard to value assets, the FMV is the appraised value of the property on the date of the gift.
Payout	%
Trust payout is required
Payout must be between 5% and 50%
Enter the percent income payout to the donor. You must select a trust percent payout of 5% or more.
Payment Frequency
Select either monthly, quarterly, semiannual, or annual income payments to the beneficiary(ies) of the income. The choice of payment frequency does affect the amount of the charitable deduction as the more frequent the payment (i.e. monthly as opposed to annually), the smaller the donor's tax deduction.
Under the Internal Revenue Code, the charitable income tax deduction must be at least 10% of the initial value. The payout amount has been lowered to qualify under the IRS 10% deduction test. This calculation includes a safety factor of 0.04%. The deduction factor will be 0.10040 or greater. The Maximum Payout Rate by Crescendo 10% Deduction Test: cres_calc_maxrate10
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IRA Charitable Rollover Booklet

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It would be helpful if you would notify us of your generous IRA charitable rollover, by completing the Notify us of your IRA rollover section

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Thank you for considering an IRA charitable rollover gift to us. The website link will take you to your IRA custodian's website, where you may be able to log in and make a gift to Mount Vernon Nazarene University. Another option is to use the phone number to call your IRA custodian. They will assist you in making an IRA charitable rollover gift. If you would like to notify us of your generous IRA charitable rollover, please complete the Notify us of your IRA charitable rollover section.

Please note this is a time sensitive transaction. If the IRA charitable rollover is intended to satisfy your required minimum distribution for the current year, verify with your custodian that this transaction will be completed prior to December 31. If the transaction is not completed prior to December 31, you may be subject to penalties if you have not satisfied your required minimum distribution.

IMPACT MVNU TODAY AND TOMORROW

Leading for the Future

What is a charitable lead trust?

Charitable lead trust video

Is a charitable lead trust right for you?