The Catalyst Issue 25 | September 2016 | Page 32

Planned giving is defined as a way to support a nonprofit organization and enable donors to make larger gifts in the future than they could afford with their present income. “It’s just like it sounds,” says Brian Harrison, director of planned giving at the Scott & White Healthcare Foundation. “It is a way for you to allocate funds to donate at a future date that is most often many years away. The timing of when these gifts are received is purposefully planned so that you can support organizations like Baylor Scott & White while also making it easier to achieve your own financial goals and reduce your tax burden.” Types of Planned Giving There are several ways to make a planned gift. When choosing the option that is right for you, it is important to consider your current financial status and financial goals. Bequest The most common way that people make planned gifts is a bequest—that is, including a provision in a will or other estate plan for a future gift. “It’s an important way for donors to help provide for our community long into the future,” says Mr. Harrison. Many donors who have been touched by a positive experience with Baylor Scott & White have chosen to share their good fortune by leaving a bequest to the healthcare system. It is easy to do and ensures that your good intentions are honored after your lifetime. Bequests offer donors the satisfaction of making a difference in the community, while still maintaining control and use of their assets during their lifetime. Bequests may also be altered if circumstances change over time, and may be exempt from federal estate taxes. There are several ways to include a nonprofit organization as a beneficiary in your will. A residuary bequest means that whatever remains from your estate after your loved ones are provided for can be designated as a gift to the organization of your choice. A percentage bequest simply designates a percentage of your estate to be given to the organization. Similarly, a general, or fixed-dollar, bequest designates a specific dollar amount to be given to the nonprofit. 32 THE CATALYST Fall 16 | sw.org A generous charitable gift A retired pastor and his wife, who wish to remain anonymous, love children, but never had any of their own. With no heirs, they wondered where they might leave their legacy. “They contacted our office to tell us about their interest in doing something with their estate,” says Mr. Harrison. “We invited them on a tour of McLane Children’s Hospital, and that made all the difference.” While on the tour the couple had an opportunity to see how children would benefit from their gift. They observed the day-to-day operations of the hospital, met administrators and department leaders, and visited the neonatal intensive care unit. They even sampled a meal at the hospital café. “They got to see, feel, touch, and hear all about what goes on at the children’s hospital, and they were amazed at what a happy and cheery environment it is for helping children get healthy. It really solidified their plans to make a bequest,” says Mr. Harrison.