To be remembered is to live forever.  Memorial gifts and gifts of remembrance on special occasions and for special people are an excellent way to honor a friend or loved one and at the same time help support the work of Guide Dogs of the Desert.   We acknowledge the gift to you and, wherever possible, to the family of the person being remembered or honored.   No dollar amounts are revealed to the family.   You may want to remember a favorite pet or companion animal this way as well.  

Many of our donors would like to continue to provide for Guide Dogs of the Desert after their death.  A trusted financial advisor or attorney can assist you identify the best vehicle for your financial  circumstances.   Some of these ways of giving (certain types of trusts, for example) may prove to be financially beneficial to you or to your estate.  Guide Dogs of the Desert is willing to assist you in identifying potential revenue streams and current and estate tax deductions, depending on your circumstances. 

The following are common types of planned gifts:

Gifts by Will

A general will or bequest.   Cash, securities, real estate or property of any description may be bequeathed to Guide Dogs of the Desert by a clause in your will or by a codicil added to the will.  You have full control and use of your property during your lifetime and may alter or revoke the bequest at any time.  At the time of your death, the bequest qualifies as a charitable deduction for estate tax purposes.  The bequest does not provide you with any tax advantages during your lifetime.

A specific will or bequest.  Through a residuary estate, the donor gives what is left over after other beneficiaries are taken care of.  A bequest may be directed to an endowed fund (where the principal remains intact and the annual income is used for the benefit of Guide Dogs of the Desert), or as an addition to any other existing fund (veterinary care, equipment, breeding program) at GDD.  A codicil may be added to your will at any time for the benefit of Guide Dogs of the Desert.            

The Testamentary Trust.   Your will may also establish one or more charitable trusts (unitrusts or annuity trusts) that become effective at the time of your death.  These are managed as set forth by you; GDD’s remainder interests are treated as charitable deductions for estate tax purposes but do not entitle you to any income tax deductions during your lifetime.  You may also leave your estate’s residue to GDD through a separate trust that contains provisions for the distribution of income.  This is known as a Living Trust with “Pourover” Will.   

The Resource Development Director at Guide Dogs of the Desert will be glad to review the language of any proposed form of bequest.  However, we strongly recommend that you consult with a competent lawyer to prepare your will or codicil so that it complies with the laws of the state in which you reside and meets the requirements of the Internal Revenue Code governing the deduction of charitable gifts and bequests.         

Life Income Agreements (Irrevocable Gifts During Your Lifetime)                  

Charitable Remainder Trusts.   Cash, securities, real estate and other property (including investments yielding tax-free income, but not tangible personal property) may be used to fund a CRT Unitrust.  The donor or the designated income beneficiaries receive a specified fixed percentage of the full market value of the trust’s assets as determined annually.  

The donor will not be subject to a capital gains tax liability had he/she sold the property at its appreciated value.  Federal gift and estate taxes are completely avoided for the full amount of the gift.  

Moreover, the donor receives a charitable deduction for income tax purposes in the year of the gift.  

Variations of the CRT unitrust can be written that protect trust principal during the time before the trust earns enough income to meet the pay-out percentage specified in the trust agreement.  

The CRT Annuity Trust is funded and managed in the same manner as the unitrust.  However, instead of providing a specified percentage to the trust beneficiaries, the annuity trust agreement stipulates a fixed dollar amount to be paid annually.  This return must be paid in full every year and does not vary even though the income earned by the trust fluctuates.

These are the most popular of life income trusts; other instruments exist, however.  As before, it is wise to check with your estate planner, financial advisor, or attorney.

The Charitable Gift Annuity.   This is an irrevocable, binding contract between the donor and Guide Dogs of the Desert.  It is not a trust.  GDD uses the Community Foundation of Riverside County as manager of its charitable gift annuity contracts.  

It works like this:  the annuitant is guaranteed a fixed dollar income return each year for his lifetime or those of other designated income beneficiaries.  The rate of return is stipulated in the contract and conforms to the rates published from time to time by the Committee on Gift Annuities.  The older the annuitant is at the time of the agreement, the higher the rate of return.  At the time of the transfer, it will be determined what portion of the income paid out shall be treated as earnings on investment and what portion shall be treated as a tax-free return of investment principal.

The Charitable Q-Tip Trust and the Charitable Lead Trust.  These are more complicated devices requiring substantial assets.  They are designed to fulfill special requirements of the donor, the surviving spouse, the donor’s children or grandchildren.  A tax attorney should be consulted in planning these gifts.

Gift by Insurance

A donor may find it advantageous to assign to GDD the beneficiary interest in a life insurance policy.  The donor receives no tax advantage on the policy’s value at the time of his death and retains the right to change or revoke the policy.  The donor must make all premium payments on the policy.  

The donor may also assign to GDD the ownership of the policy.  This entitles the donor to an immediate tax deduction for the policy’s charitable value (its current cash value or the total of the premiums paid to date, whichever is lower).  If the donor discontinues paying the premiums on the policy, GDD may cash it in or continue to pay the premium from its own funds.  If the donor continues to pay the premiums after the transfer of the policy is made, he/she receives a charitable gift deduction for each payment made.

Gift of Personal Residence

In this case, the donor’s real estate becomes the gift principal and the donor’s “income” is the right to use the property for the rest of his/her life (and that of a surviving spouse).  Such a gift qualifies for an income tax deduction based on a fomula that includes the donor(s) age(s), value of the building(s) and land at the time of the gift, and estimated value at the time of the transfer to GDD. 

All planned gifts must be approved and accepted by the Board of Directors of Guide Dogs of the Desert.  As a new planned gift is being considered, it will be reviewed by a special committee on planned gifts made up of members of the Board of Directors and members of its Planned Giving Advisory Board.  The committee will review each gift to ensure that it conforms with the needs of Guide Dogs of the Desert.  This committee reserves the right to refuse any gift which is judged to be inconsistent with the needs of GDD or for which GDD’s resources are too limited to properly administer the gift. 

RECOGNITION FOR ESTATE OR PLANNED GIFTS

Guide Dogs of the Desert would like to publicly recognize all its benefactors, including those who make provisions for GDD after their death.  Because of family obligations or concerns about outliving their resources, many people find they can make only nominal charitable gifts out of their current resources.  Yet they have the best interests of Guide Dogs of the Desert in mind and leave a portion—or their entire estate—to GDD at their death.   More often than not, when we learn of their interest it is too late to say thank you personally. 

The Maynard Society.   Named for the late “Bud” Maynard, who founded GDD at his home in Palm Springs in 1972, the Maynard Society will recognize everyone who informs us of their intention to put GDD in their will or otherwise include us in their estate plans.  We require only a copy of the appropriate page (or codicil) of your will, insure policy, or any other planned giving instrument in which we are listed by name as a beneficiary. 

As a member of the Maynard Society, you will be listed on our website and on a special recognition plaque at GDD.  Maynard Society members will receive preferential seating at GDD graduations and other special events during the year.   You will receive periodic updates from us about financial planning and receive an invitation to a special annual appreciation/recognition event for Maynard Society members.