The impact of your life can be felt and remembered for generations.

By supporting the Georgia Lions Lighthouse Foundation, you help thousands of uninsured Georgians each year. Use this guide to help you determine the best way to leave your legacy with the Lighthouse Founda-tion. By planning your estate now, you will help the thousands of people that rely on the hearing and vision services of the Lighthouse Foundation each year.

Planning your gifts to the Georgia Lions Lighthouse Foundation in the long-term will result in greater tax

benefits for you and your loved ones as well as more income for the Lighthouse Foundation.

In this guide you will learn:

• The definition of planned giving• Detailed information on different types of gifts (Gift Annuities, Bequests, and Gifts of Life Insurance and IRA Beneficiary Designation)• How planned giving can benefit both you and your family• How your gift will have a meaningful impact on the Lighthouse Foundation

Leave a Lasting Legacy:Introduction

Disclaimer: The content of these articles are for general information and educational purposes only. It is intended, but not guaranteed, to be cor-rect. It is not presented as a source of legal advice and you should not rely on this article for legal advice. If you need legal advice, please consult a competent, independent attorney.

“I have always wanted to reach out to help those non-profits that do the most for the least. Every activity that takes place at the Lighthouse fulfills this ambi-tion of mine. To help sustain the work at the Lighthouse I have incorporated the work that goes on here into my estate plans. In addition to making on-going gifts to the Lighthouse, I feel great about this decision!” ~ Jim Adams, Lighthouse Volunteer and Legacy Society Member

Leave a Lasting Legacy:What is Planned Giving?

Planned gifts require more counsel and thought than an outright gift.

Face it. All of us want to leave a meaningful legacy. And, most would agree that the greatest legacy is one that perpetuates your values. The Georgia Lions Lighthouse Foundation values using every donor dollar wisely to improve others quality of life.

Planned giving is a method of supporting the Lighthouse Foundation that enables you to make larger gifts than you could normally make. Gift plan-ning is complex. This guide aims to help you simplify matters.

Planned giving most often takes one of two forms:

A Legacy This is a charitable gift provided for in your will (a bequest), which typically comes out of your estate.

A Gift Made During Your Lifetime. This is a charitable gift that most often involves an arrangement between you and a non-profit organization, whereby you take a partial tax deduction for the gift and receive an income stream for life. These gifts are usually established with a contract that ends after a fixed period or upon the death of the donor or some other person that you name.

A sound estate plan aims to:

• Make sure your property reaches your intended heirs in the manner you choose• Minimize your estate’s erosion by unnecessary legal fees, court costs and taxes• Eliminate well-meaning relatives to involve themselves in your affairs, if you should become unable to manage your affairs yourself

Your legacy of service is seen by your fam-

ily and community.You lead by example, and I would ask all lions to consider continu-ing this when they plan their estate.”

~George Crumbley Jr., Legacy Society Member

“

What is a charitable bequest?A charitable bequest is simply a distribution from your estate to a charitable organization through your will.

What are the benefits?With a charitable bequest, financial and tax benefits include:• A bequest is deductible for federal estate tax purposes. • Bequests are generally not subject to income and inheritance taxes.

Leave a Lasting Legacy:Bequests

What it isWhat the benefits areWhat to do next

How One Woman’s Bequest Impacts the Lighthouse

Sometimes a simple act can have a lasting effect. When Ms. Thompkins was making her estate plans, she considered charities that had effected her on a personal level. Her brother received a pair of eyeglasses from the Georgia Lions Lighthouse Foundation many years before and it was a gift that never went forgotten.

She had no children or grandchildren to consider when making her estate plans. When she passed away she bequethed a remainder trust to two charitable organizations one of which was the Lighthouse Foundation.

Because of her careful planning and generosity, her simple act of kindness has pulled the Lighthouse through some rough times. The interest gener-ated from the principal will be a significant gift annually in perpetuity.

This one gift made up 13 percent of the Lighthouse Foundation’s an-nual liquid income last year and allows the Lighthouse to save the hearing and sight of countless Georgians.

Your bequest could help countless more and allow the Lighthouse to con-tinue to serve more people, more efficiently.

What to do next:Without a will, there is no mechanism in place to make a bequest, so here are the steps you should take to make sure your wishes are granted.

• Make a list of organizations or causes that you would like to support.• Make a detailed list of your assets (financial, real estate, vehicles, etc.)• Set up an appointment with your financial advisor or attorney, or planned giving officer at the organization you intend to support.

If you have any additional questions please feel free to call Sarah Epting at the Georgia Lions Lighthouse Foun-dation at 404-325-3630 or septing@lionslighthouse.org.

Types of Bequests

General Bequests are legacies left to certain people or causes that come from the general value of the estate, and are made by designating a specific dollar amount, a particular asset or a fixed percentage of your estate to the cause of your choice.

General bequest language:

“I give, devise, and bequeath to GeoRGIA LIonS LIGHTHoUSe FoUnDATIon oF DeCATUR, GA, the sum of $________(or a description of the specific asset), for the benefit of the GeoR-GIA LIonS LIGHTHoUSe FoUnDATIon and its general purposes.”

Specific Bequests are made when a particular item or property is bequeathed for a des-ignated purpose. (i.e., instruments bequeathed to the local school district for use in music education; dollar funds to be used in the operation of a school or church.)

Specific bequest language:

“I give, devise, and bequeath to GeoRGIA LIonS LIGHTHoUSe FoUnDATIon oF DeCATUR, GA, the sum of $_______ (or a description of a specific asset), for the benefit of GeoRGIA LIonS LIGHTHoUSe FoUnDATIon to be used for the following purpose: (state the purpose). If at any time in the judgment of the trustees of GeoRGIA LIonS LIGHTHoUSe FoUnDATIon it is impossible or impracticable to carry out exactly the designated purpose, they shall deter-mine an alternative closest to the designated purpose.”

Residuary Bequests are made when you intend to leave the residue portion of your assets after other terms of the will have been satisfied.

Residuary bequest language:

“All the rest, residue, and remainder of my estate, both real and personal, I give to GeoRGIA LIonS LIGHTHoUSe FoUnDATIon oF DeCATUR, GA, for its general purposes.”

Contingency Bequests allow you to leave a portion of your estate to a particular charity if your named beneficiary does not survive you.

Contingency bequest language:

“I devise and bequeath the residue of the property, real and personal and wherever situ-ated, owned by me at my death, to (name of beneficiary), if (she/he) survives me. If (name of beneficiary) does not survive me, I devise and bequeath my residuary estate to GeoRGIA LIonS LIGHTHoUSe FoUnDATIon oF DeCATUR, GA, for its general purposes.”

Leave a Lasting Legacy:Charitable Gift Annuities

What is a Charitable Gift Annuity?

A charitable gift annuity is an agreement between a donor and a charity wherein you, the donor, make a present gift of cash or property to the charity in exchange for the charity’s promise to pay you an income either for life or for a specified period of time. If the agreement is for lifetime income, the amount of income will depend on the size of the gift and your life expectancy. Annuity rates are negotiable, but most charities offer rates suggested by The American Council on Gift Annuities [http://www.acga-web.org/].

Types a gifts that may fall under a charitable gift annuity contract include: cash (money, check, credit card, etc.), securities (stocks, bonds, mutual fund shares, IRA’s, CD’s, etc.), real estate (your residence, raw land, investment property, etc) and other property (art, antiques, jewelry, cars, boats, copyrights, patents, etc.). The primary concern for the Lighthouse Foundation will be how easily the gift can be converted to cash or managed for its cash flow.

What are the benefits?

• Tax benefits presently and in the future• Income stream for remainder of life• See and hear the stories of the people that you’ve helped

There are three tax benefits available for the donor. The first tax benefit is the avoidance of capital gains tax. Whereas you, the donor, must pay capital gains tax on any appreciated property you sell, a gift of appreciated property can be sold by the charity without paying any capital gains tax. The second tax benefit is a current income tax deduction. Your gift qualifies as a charitable gift deduction that you can claim on your 1040 tax return subject to IRS regulations. The third tax benefit is a reduction in your future income tax. Income pay-ments from an annuity contract are deemed by the IRS to be part income and part a return of principal, and the return of principal is not

subject to tax. Therefore part of your annuity income is tax-free.

What to do next:

Please contact Sarah Epting at 404-325-3630 or septing@lionslighthouse.org to discuss your gift plans. She

will get you in touch with a financial professional who has agreed to set up the Lighthouse’s Gift Annuities.

Income Provisions

Gift annuities have very flexible income provisions and can be structured to fit your individual needs. The annuity can provide income solely for the donor (Single Life) or it can provide income for the donor and a second person (Two Lives). Agreements for two lives can be structured either as two lives in succession (e.g. a parent and child) or as joint and survivor income payments (e.g. spouses). Payment of income can be annu-ally, quarterly, monthly, or any other arrangement you and the charity agree to.

An annuity can provide you income for life or income for a fixed number of years. Income may be made payable immediately or deferred until a later time such as when you retire, to make payments for college expenses for your child or your grand-child, or, acting similar to a life insurance policy, upon your death to another person for their life.

Perhaps the most significant benefit for you the donor is that a gift annuity can be structured to provide you a dependable income for the rest of your life, giving you the peace of mind that you will not outlive your money.

Cost Effective Giving

Compared to other giving techniques such as a charitable trust, charitable gift annuities are very cost effec-tive. The legal document is usually provided by the charity rather than by the donor’s legal counsel and the donor does not bear the on-going administrative cost required of a trust, including annual tax returns. Also and because of the costs associated with a trust, the minimum investment for a charitable gift annuity to be cost effective is usually significantly less than for a charitable trust.

examples of How Your Gift Might Work

Single Life

Mr. Donor, age 70, gives ABC charitable organization (“ABC”) $100,000 in exchange for a single life immediate charitable gift annuity. If the current American Council on Gift Annuities (“ACGA”) rate corresponding to his age is 6.0%, then Mr. Donor will receive $6,000.00 per year income from ABC for the rest of his life.

Two Lives

Joint and Survivor. Mr. and Mrs. Donor, ages 70 and 67 respectively, give ABC $100,000 in exchange for a joint and survivor life immediate payment charitable gift annuity. If the ACGA rate corresponding to their ages is 5.5%, then Mr. and Mrs. Donor will receive $5,500.00 per year income from ABC as long as at least one of them survives. Single Life - Deferred. Mr. Donor, age 55, gives ABC charitable organization $100,000 in ex-change for a deferred single life charitable gift annuity to begin paying income when he retires in ten years at age 65. If the current ACGA rate for age 65 is 5.8%, that rate compounds for ten years to yield an annuity rate of 8.8% when Mr. Donor retires and he will receive $8,800.00 per year income from ABC for the rest of his life.

Leave a Lasting Legacy:IRA Beneficiary Designation

What is an IRA or Pension Beneficiary Designation?

every year Americans plan and dream for those “golden years” of retirement. And, thanks to the benefits of-fered by many planning tools, combined with some help from professional advisors, many families are wak-ing to an attractive nest egg in those retirement years. In fact, after a little examination of tax implication at death, some families may end up feeling that they’ve been too successful! While IRA accounts and Pension Plans provide for attractive tax benefits during your working years, they are subject to significant (if not colossal) tax consequences when dealt with at the time of death. An IRA or Pen-sion Beneficiary Designation alleviates some of this tax burden while enabling you to give a steady and significant stream of income to the Georgia Lions Lighthouse Foundation.

What are the benefits?

For the IRA or 401k owner, the qualified plan is a wonderful benefit and a very good asset. However, for chil-dren, the IRA or 401k is transferred with a large “you owe the IRS” tax bill, with the exception of the Roth IRA that is is income tax-free.

Because charities are tax exempt , there is no payment of income tax or estate tax. The charity receives the entire assets tax free. By transferring the IRA or 401k to charity, it is possible to turn a “bad asset” into a “good asset.”

What to do next:

There are a number of planning options which can help conserve the assets of IRAs and other Qualified Plans. We welcome the opportunity to help you identify a plan for yourself and your family.

If you want to transfer your IRA or Pension Plan to the Georgia Lions Lighthouse Foundation or have ques-tions about donating your IRA or Pension Plan please contact Sarah epting at 404-325-3630 or septing@

lionslighthouse.org.

Leave a Lasting Legacy:Life Insurance

How do I give life insurance as a charitable gift?

Life insurance is an economical way to make a much larger gift than the dollars you actually would pay. This is a way to leave your legacy with minimal cost to you.

What are the benefits?

• You pay for a policy with the beneficiary as the Lighthouse in small payments over a number of years.• You receive income tax deductions as you pay premiums to a policy owned by the Lighthouse.• Your gift does not reduce the size of your estate, nor does the gift have to be probated.

• You can transfer more assets to your heirs.

What to do next:

Contact a life insurance agent who also understands total financial planning. The agent can sell you the policy but more importantly look at your overall financial plans. Be sure that Sarah epting at the Lighthouse Foundation knows you have made this designation so you can be included in our legacy society. You can reach her at 404-325-3630 or septing@lionslighthouse.org.

Anyone can leave a legacy through life insurance

Mary elizabeth Goodwin worked a minimum wage job and had no heirs. She received hear-ing aids from the Lighthouse Foundation and was able to leave a $27,000 gift to the Light-house by donating her life insurance plan. Mary’s gift has enabled the Lighthouse Founda-tion to provide 41 hearing aids to Georgians in need, which is a gift she would never had been able to give during life and one that’s made a lasting impact of the Lighthouse.

Leave a Lasting Legacy:Conclusion

Planned gifts benefit both you and your family.

Estate Fact: Upon Conrad Hilton’s death his estate paid 53% of his $200 million estate as federal and state taxes; however, John D. Rockefeller, Sr.’s estate paid taxes of only 3% of his $558 million net estate value. The difference was a well done estate plan for Mr. Rockefeller but not so in the

case of Mr. Hilton.

Don’t leave your family with the burden of guessing your wishes. As seen in the previous pages there are many ways in which planning ahead can save you taxes now and your family taxes after your death. Individuals have used the last will and testament as a way to express their philanthropic wishes for centuries.

If you value your vision and hearing and are passionate about the work of the Georgia Lions Lighthouse Foundation, please consider the Lighthouse in your estate plans.

Your planned gift to the Lighthouse Foundation leaves a lasting impact. “I wish to thank you for the nice glasses you made for me. Blindness seemed in the near fu-ture due to my Glaucoma. Thank You, Thank You, Thank you.” ~Mary, Clinic Patient

“As an artist, my eyes are my life, therefore the surgery you provided truly saved my life.”~Joy, eye Surgery Patient

“ My world is a different place with sounds I can’t ever remember hearing before.” ~Loretta, Hearing Aid Recipient