Individuals & Families

Outright Gifts

You can transfer cash, stocks, bonds, real estate, or personal property to your Community Foundation. Your gift qualifies for maximum charitable benefit under state and federal law.

Read further about the advantages of Gifting Appreciated Stock.

Qualified Charitable Distributions- Giving from your IRA

For many of us, being generous with our money is one of the great joys in life. And it turns out that being generous with your IRA can be both personally satisfying and provide tax benefits.

“On a personal level, my wife Bonnie and I have worked hard, saved and invested over the years and now have the opportunity to share with a community that has been very good to our family,” said Don Fletcher, Community Foundation Board Member.

If you are fortunate enough that you do not need all of the funds from your IRA, it is good to have a plan.

When you reach the age of 70 ½ you can reduce your taxes and make an impact through the Community Foundation with a qualified charitable distribution (QCD).

Click here for a graphic with more details about how it works. (opens in new window)

A QCD can be made that meets your required minimum distribution (RMD)- where annual withdrawals are mandatory. Further, given the recent tax law changes, if you no longer itemize, your checkbook donations to charity will not reduce your tax bill. Using a QCD for your charitable giving may allow you to take the higher standard deduction while also reducing your taxable income.

Although Donor Advised Funds are not eligible to receive QCDs per the IRS, the Community Foundation has several alternatives that donors can consider.

The following types of funds are eligible to receive QCDs from IRAs:

Programs and Services is supporting the work of the Community Foundation through our operations. By supporting our work, you help us continue to make bold investments in people and place, bringing like-minded donors together to build our best community.

Community Investment Fund is our unrestricted fund to meet the ever-changing needs of our community. Today’s priorities may not be tomorrow’s, but this fund will always address our region’s most pressing needs and promising opportunities as guided by our strategic priorities.

Student Success help students of all ages towards successful completion of their degree. The Community Foundation has the Complete Your Degree Endowment Fund and Scholarship Funds to support local students and the Come Home Award to attract talent back to our region.

Designated Funds support the good work of specific nonprofit organizations. We have funds for over 40 local nonprofit organizations.

Field of Interest Funds support broad areas of need and award grants to the community organizations and programs addressing this such as:

Arts and Culture

Community Development

Health and Human Services

Education

Conservation/Environment

Animal Welfare

The generosity of our donors have helped the Community Foundation build a better community for the past 75 years and we appreciate your consideration to keep the good work going. Your IRA gift can help us continue to make bold investments in people and place.

This information is not a substitute for expert legal, tax, or other professional advice, and we strongly encourage donors to work with your professional advisor to determine the impact of making a QCD on your particular situations.

For more information or a confidential appointment, please contact Jackie Hanton, Vice President at 810-984-4761 or [email protected].

Donor Advised Fund

A Donor Advised Fund functions as a conduit. You make your contribution and claim your tax deduction now, then distribute money out to specific nonprofits over years or decades while your charitable dollars are invested and growing tax free. These funds, established through the Community Foundation, allow donors and their families to participate in the research, selection and awarding of grant dollars. Donors are free to give to any charitable cause, local or not, through a Donor Advised Fund.

A Donor Advised Fund can effectively function as a family foundation while offering much of the flexibility and appeal of a private foundation - without many of the regulations, requirements and overhead expenses. Donor Advised Funds are among the fastest growing charitable vehicles in personal philanthropy.

Is a Donor Advised Fund the right vehicle? Is a private foundation the right vehicle? There is no simple answer. Each tool offers its own advantages and disadvantages.

View this chart to learn more about the differences between a Donor Advised Fund and a private foundation. Donor advised funds have exploded in popularity because:

Support charities you love now or over time

Grow your donation tax-free

Get just one tax receipt

Donate cash, stocks, real estate, and more

Give anonymously, if you wish

Whether there are causes that you are passionate about and want to support or you want to learn more about your giving options, a Donor Advised Fund can be the perfect solution to local, national and even global giving. A minimum donation of $10,000 can get you started.

To learn more, please contact Jackie Hanton, Vice President at 810-984-4761 or [email protected].

Learn More About Donor Advised Funds

DAF Grant Recommendation Form

DAF Fund Activity Policy

Planned Gift (Bequest)

You can designate a gift or portion of your estate to your Community Foundation, and in some cases receive a substantial reduction in federal gift and estate taxes.

Download Sample Language for Wills & Trusts

Beneficiary Designations

You may also wish to consider naming the Community Foundation of St. Clair County as the beneficiary of your IRA or life insurance policy.

Giving that Provides You Income

Charitable Gift Annuity

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You can transfer cash or property to your Community Foundation now, get immediate tax benefits, and ensure that you or a loved one receive fixed quarterly or annual payments for life. This option is a great solution for many older charitable individuals.

Note: If you are not a professional advisor these questions may still be helpful in determining if a Charitable Gift Annuity is right for you.

Do your clients have an appreciated asset subject to the Capital Gains Tax?

Do they need current income to support their lifestyle or pay medical bills?

Do you have clients with a long-term interest in “giving something back to the community?”

If you answered yes to these questions then you may want to consider a Charitable Gift Annuity.

You can transfer cash or property to the Community Foundation now, get immediate tax benefits, and ensure that you or a loved one receive fixed quarterly or annual payments for life. This option is a great solution for many older charitable individuals.

Unlike a Charitable Remainder Trust (CRT) a Charitable Gift Annuity is a contract between the donor and the Foundation.

Based on the size of the gift, and the age of the donor(s) the Foundation pays a fixed annual sum to the donors for the rest of their lives - guaranteed!

A Charitable Gift Annuity is not like other annuities. There are potentially substantial benefits for donors. To learn more, or get an exact calculation of the benefits for your clients, visit the website for the American Council of Gift Annuities: www.acga-web.org.

Charitable Remainder Trust

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You can place cash or property in a trust that pays annual income to you or another named beneficiary for life. After your death, the remainder of the trust transfers to your Community Foundation and is placed in a charitable fund you select. You receive Michigan Community Foundation Tax Credit for the year you establish your trust.

Note: If you are not a professional advisor these questions may still be helpful in determining if a Charitable Remainder Trust is right for you.

Do your clients need current income to support their lifestyles?

Do your clients have children or grandchildren that need help paying for college?

Would they like to also provide immediate support to your favorite charity?

If you answered yes to these questions then you may want to consider a Charitable Remainder Trust (CRT).

A CRT is a trust that provides for a specified distribution, at least annually, to one or more beneficiaries (you, your spouse, children, etc.) at least one of which is not a charity. The distribution must be paid at least annually for life or for a term of years, with an irrevocable remainder interest to be held for the benefit of, or paid over to, one or more qualified charities.

The specified distribution must be either a sum certain, which is not less than five percent and not more than fifty percent of the initial net fair market value of all property placed in trust (a charitable remainder annuity trust), or a fixed percentage, which is not less than five percent and not more than fifty percent, of the net fair market value of the trust assets, valued annually (a charitable remainder unitrust).

After your death, the remainder of the trust transfers to the Community Foundation and is placed in a charitable fund you select. You receive Michigan Community Foundation Tax Credit for the year you establish your trust.

Charitable Lead Trust

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You can place cash or property in a trust that pays a fixed amount to your Community Foundation for the number of years you select. Once this period ends, the assets held by the trust are transferred to the beneficiaries you name. In some cases, you receive a substantial reduction in federal gift and estate taxes. This can be described as the opposite of a charitable remainder trust. Upon death or the amount of years selected, the assets held by the trust are transferred to the beneficiaries named (usually children or grandchildren).

Charitable Lead Trusts (CLTs) are designed to provide income to your favorite charities for a fixed term of years, the lives of one or more individuals, or a combination of the two; after which, trust assets are paid either back to the donor or to one or more non-charitable beneficiaries named in the trust instrument (spouse, children, etc.).

Also referred to as a “Charitable Income Trust,” the term “Charitable Lead Trust” is used more commonly because the payment of the income interest to charity leads or precedes the payment of the remainder interest.

This type of gift vehicle essentially allows you to support for favorite charity for a few years, and then provide financial support with tax benefits to a family member or relative - all with the same gift.

Other Resources

Planned Giving Design Center

Guidestar (Research Nonprofits)