Donation Strategies

Creative Donation Strategies

---

Stock Donations

Donating stock to RARE Hope is an impactful way to support research for AHC and neurological diseases while potentially reducing your tax liability.

When you gift stock, you may avoid paying capital gains taxes on its appreciation and qualify for a tax deduction equal to its full fair market value.

The greatest benefit often comes from donating stock that has gained value and been held for more than one year. In this case, the IRS allows a deduction for the stock’s full market value, up to annual limits. This method can increase the value of your contribution by up to 20% compared to selling the stock and donating the after-tax proceeds.

You can also donate other assets, such as bonds, mutual funds, or Exchange Traded Funds (ETFs).

---

IRA Qualified Charitable Distributions (QCDs)

If you’re 70½ or older, you can transfer up to $100,000 annually from your IRA to RARE Hope tax-free.

Normally, withdrawals from a traditional IRA are subject to income tax, but you can transfer up to $100,000 annually to the foundation without incurring income tax. Additionally, this charitable IRA contribution counts toward your required minimum distribution for the year.

---

Donor-Advised Fund (DAF)

Contributing cash, stock, or other assets to a Donor-Advised Fund (DAF) allows you to claim an immediate tax deduction. The funds can grow tax-free within the DAF, and you have the flexibility to recommend grants to RARE Hope at any time. You can also name RARE Hope as the final beneficiary of your DAF. This approach offers one of the simplest and most tax-efficient methods of charitable giving.
 

For more details or to discuss these options, please contact us.

Bequests and Planned Gifts

---

Bequests and estate plan gifts allow you to support RARE Hope in the future without impacting your finances today. These simple and widely used options provide a meaningful way to  contribute.

Gifts by Will or Living Trusts

A bequest is a gift specified in your will or living trust, which might include a set dollar amount, a percentage of your estate, or a specific asset designated for RARE Hope. You can add a bequest by updating your existing will or trust or creating a new one. A bequest to RARE Hope lets you make a lasting impact without using your current assets.

---

Retirement Plan Assets

You can name RARE Hope as the beneficiary of a portion or all of your IRA, 401(k), or other retirement plans. Contact your retirement plan administrator and complete the appropriate beneficiary designation form for guidance.  When your estate is settled, the designated amount passes tax-free to RARE Hope, and your heirs avoid income and estate tax on your most heavily taxed assets.

---

Life Insurance Policy

You can designate RARE Hope as your life insurance policy beneficiary. To do so, contact your life insurance company and complete the appropriate beneficiary designation form.  When your estate is settled, RARE Hope receives the proceeds.  Your heirs also benefit as policy proceeds given to a nonprofit are exempt from estate  tax.

---

Life Income Gifts

Life income gifts allow you to contribute assets to RARE Hope while providing yourself or others with income for a period of time before the foundation can use your gift.  Through a life income gift, you can make a substantial commitment to RARE Hope while still providing for your personal financial needs.  For a detailed illustration of your benefits, contact us.

---

Charitable Gift Annuities & Trusts

In exchange for a gift of cash or securities, RARE Hope can agree by contract to pay a fixed amount each year to you and/or another beneficiary for life.  After your lifetime, the remaining funds would support the foundation's mission. You would also receive a charitable tax deduction when establishing the annuity. You can determine the terms of the annuity arrangement in a contract to be signed by you and RARE  Hope.

---

Charitable Remainder Unitrust

This trust provides variable annual payments to you or other beneficiaries for life or a specific term. At the end of the term, the remaining assets benefit RARE Hope. Unitrusts are popular for their financial flexibility and tax advantages.

---

Charitable Remainder Annuity Trust

An annuity trust offers fixed annual payments to you or others for life or a set term, with the remaining assets going to the foundation. Trusts created during your lifetime can provide income, capital gains, and estate tax benefits.

For more details or to discuss these options, please contact us.