Legacy Funds

You may want to a portion of your contribution to support some function of the Foundation, create a scholarship for promising young students, or to fund some special need of the industry. But when you do so, you want to be sure that your wishes are honored and fulfilled. At CEF our business is to receive, administer and provide ongoing stewardship of such gifts. It is our goal to see that the donor’s intentions are honored and fulfilled.

Gifts from your estate may be made to the Construction Education Foundation by:

• Will or living trust

• Qualified Retirement Plan

• Charitable gift annuity

• Pooled income fund

• Charitable trust

• Life insurance policy

Will or living trust

Including a charitable bequest in your will is a simple way to make a lasting gift to your community. When you make this gift through the Construction Education Foundation, we establish a special fund that benefits the community forever, and becomes your personal legacy of giving. You can decide to do it at any age by adding to an existing will or drafting a new one. In doing so you leave a legacy to your community, while enjoying the assets you need to maintain your current lifestyle. Plus, you are able to distribute some or all of your assets, tax free.

You can give cash, appreciated stocks, or other assets. Some of the most tax-efficient asset types to give through your will come from retirement plan accounts, since heirs would be taxed on the income in respect of the descendent (IRD). You can choose to give a stated dollar amount, a specific property, a percentage of your estate, the remainder after distributions to other beneficiaries, or you can make your gift contingent on certain events.

Qualified Retirement Plan

Most of us today have assets in a qualified retirement plan to provide us with financial security during our retirement. Often a portion of these assets will remain after our lifetimes. If you plan to pass those assets on to anyone but your spouse, they will be subject to significant taxation, as much as 55 cents or more on the dollar. Making the Construction Education Foundation the successor beneficiary to your spouse for those remaining assets gives the full dollar value to support your charitable goals while removing the assets from your estate for tax purposes.

Charitable Gift Annuity

Giving through a Charitable Gift Annuity allows you to arrange a generous gift to your community, while providing yourself a new income source you can count on for the rest of your life.
We set up a contract with you that combines immediate annuity payments with a deferred charitable gift. You receive a stream of income that is fixed, regardless of market conditions. Upon your death, we set up a charitable fund on your behalf.

Income from your Charitable Gift Annuity may add up to more than the interest and dividends you earned from holding the assets. You can use this income to supplement your own lifestyle, or that of someone else: a sibling, a dependent parent, a friend, or a former employee. You or a loved one can start receiving annuity payments immediately, or defer them to increase your charitable income tax deduction. A portion of the income may be a tax-free return of principal, while some is taxed as ordinary income or capital gains. The amount of annuity paid and the tax deduction received depends on the age of the recipient and the current annuity rate (as established by the American Council of Gift Annuities).

A Charitable Gift Annuity reduces estate assets and may reduce estate taxes. Plus, it’s easier to set up than a charitable trust and is backed by the general assets of your community foundation.

Pooled Income Fund

You can receive an income for life, take a charitable deduction on your income taxes and, if appreciated assets are used to fund the PIF, you will not be subject to capital gains taxation. Plus, you can open a pooled income fund with a smaller sum than a CRT. The minimum contribution to open a PIF at the Construction Education Foundation is $5,000 and additional contributions of $1,000 or more can be made at any time.
Your gift will be managed in a pool with the gifts of others. You will receive quarterly checks based on your share of the earnings. After your lifetime, your assets in the pool will be severed and will provide support for the Foundation.

Charitable Remainder Trust

Giving through a Charitable Remainder Trust allows you to receive income for the rest of your life, knowing that whatever remains will benefit your community.

You transfer assets into a trust, and the trust pays you or a beneficiary you designate regular income payments. Upon the beneficiary’s death or after a defined period of years, the remaining assets in the trust transfer to the Construction Education Foundation.

You may choose to receive a fixed income or one that changes with market conditions — income from the Charitable Remainder Trust you establish may add up to more than interest and dividends you earned from holding the assets. You can use it to supplement your own lifestyle or that of someone other than yourself: a sibling, a dependent parent, a friend, or a former employee. You can start receiving annuity payments immediately, or defer them to increase your charitable income tax deduction.

A portion of the income may be a tax-free return of principal, while some is taxed as ordinary income or capital gains. The amount of annuity paid and the tax deduction received depends on the age of the recipient and the current annuity rate (as established by the Internal Revenue Service).
You can pick one of these options for your Charitable Remainder Trust:

• Annuity trust pays you a fixed dollar amount.
  
• Standard unitrust pays you an amount equal to a fixed percentage of the net fair market of the trust and is recalculated annually.
  
• Net income unitrust pays you the lesser of the fixed percentage specified by the trust agreement or actual trust income; some net income unitrusts allow you to make up deficiencies in past years.
  
• Flip unitrust is a net income unitrust that converts to a standard unitrust upon a triggering event, such as the sale of an asset used to fund the trust.
  

Life Insurance Policy

Do you have a paid-up life insurance policy that has been gathering dust in a drawer? Perhaps it was intended for your children, who are now grown and have sufficient assets of their own. Making The Construction Education Foundation the owner and beneficiary of that policy provides an income tax deduction for you and a great gift to support your favorite causes.