Noncharitable Trusts as a Source of Charitable Funds!

Posted November 5th, 2021

Section 642(c) of the Internal Revenue Code clearly describes the requirements for a trust to deduct any charitable distributions. A trust can deduct for “any amount of gross income, without limitation, which pursuant to the terms of the governing instrument is, during the taxable year, paid for a purpose specified in Section 170(c).” The trust …Read More

Flexible Deferred Gift Annuity in Retirement Planning

Posted November 1st, 2021

Donors and board members looking for new ways to support charity need look no further. The flexible deferred gift annuity offers several key benefits. First, charitable gift annuities allow unlimited contributions to enable a donor to meet current and future income needs. The IRS regulations limit contributions to IRAs, 401(k)s, 403(b)s and other retirement plans …Read More

Flexible Payments From Flexible Funding

Posted October 18th, 2021

A flexible gift annuity permits payments to be deferred until a commencement date of the annuitant’s choosing. A schedule of possible start dates with payment amounts is created when the annuity is funded. The longer the deferral of commencement, the greater the annuity payments. The income tax deduction will be based on either a set …Read More

Year-End Marketing: The Clock is Ticking

Posted October 4th, 2021

With Dec. 31 right around the corner, another calendar year is drawing to a close. Traditionally, the final quarter is the most generous time of the year for charitable giving. Many charitable organizations receive between one fifth and one quarter of their yearly gifts in December alone! In addition to your other fundraising activities, you …Read More

How to Be Fixed and Flexible During Inflationary Times

Posted September 26th, 2021

Introduction The price index for American consumer goods rose at an annual rate of 4.2% for the month ending in July. This is the fastest pace since January of 1991. While Fed Chairman Jerome Powell believes the inflation spike is temporary, now might be an appropriate time to examine how an inflationary environment would impact …Read More

Making Inertia Work for the Worker

Posted September 10th, 2021

Nudge theory suggests positive reinforcement and indirect suggestions can influence the behavior of an individual. The concept became mainstream with the 2008 book “Nudge: Improving Decisions About Wealth and Happiness” by professors Richard H. Thaler and Cass R. Sunstein. They argued that more people would have more saved for retirement if employers created default retirement …Read More

5 Things To Consider Now for the 2021 Year-End Season

Posted September 3rd, 2021

The final three months of the year are traditionally the busiest for fundraisers at charitable organizations, and now is the time to prepare. Many nonprofits receive between 30% and 40% of their yearly gift total during the final six to eight weeks of the year. Understanding how and why people choose to give at this …Read More

What Happened to Wealth During the Pandemic?

Posted August 27th, 2021

Spring falls in 2020 The global pandemic sent shockwaves through the economy and led to a major stock market correction and recession in the spring of 2020. The U.S. GDP fell 33.1% during the second quarter of 2020. Many would expect the overall number of wealthy Americans would fall significantly. Initial reports indicated this was …Read More

Encouraging Americans to Save Act

Posted August 20th, 2021

Notwithstanding the enormous subsidies under the Internal Revenue Code for qualified retirement plans, the bottom two quartiles of workers are not broadly participating. In a recently released study from the Joint Committee, the “take-up rate” is only 76% of workers with access to a qualified retirement plan actually participate.1 In other words, 24% of workers …Read More

The Importance of Donor Data

Posted August 18th, 2021

Most nonprofits are often evaluated on two measurable objectives: Program Efficiency: How efficiently does an entity accomplish their mission? Program efficiency is a measure of the amount spent on a program as a percentage of total spending. Fundraising Efficiency: How effective is the nonprofit at raising philanthropic dollars for their program? Fundraising efficiency is a …Read More