Giving Advice Spring 2011

 

An Advisor eNewsletter from Madison Community Foundation

 

 

In This Issue

 

Economic Outlook Event Scheduled for August
Starting the Conversation: Breaking the Ice on Charitable Giving With Clients
Study of High Net Worth Philanthropy
Tax Cut Deal Could Benefit Charities
Gifts of Cash, Stock...and Mineral Interests
American Council on Gift Annuities Approves New Suggested Rate Schedule  

 
 

 

     

Economic Outlook Event Scheduled for August 2, 2011

 

Madison Community Foundation (MCF) will host an Economic Outlook event beginning at 3:00 on Tuesday, August 2, 2011, at CUNA Mutual on 5710 Mineral Point Road, Madison. The speaker for this event will be Verne Sedlacek, President and CEO of Commonfund, one of two investment advisors for MCF.

 

Register for this event by contacting Darcy Kobinsky, Office Manager, or call (608) 232-1763.

 

 

Starting the Conversation: Breaking the Ice on Charitable Giving With Clients

 

Professional advisors often ask us for our advice on how to begin a discussion about charitable planning with their clients. The following three questions will help you gauge your client’s readiness to consider charitable goals:

 

  1. Are there charitable organizations that you support on a regular or annual basis?
  2. Would you like to include any of these organizations in your financial or estate plans?
  3. If there were a way to shift dollars from taxes to charity, would you be interested in exploring the options?  

If the answer to any of the three questions is “yes,” then you have opened the door to a deeper conversation, and your client will thank you for bringing up a topic they may not have known how to broach.  Next steps of inquiry might be:

  1. What are the issues, causes and charities that you feel passionate about? Why?
  2. How would you prioritize them? Why?
  3. Which of your past charitable gifts have given you the most satisfaction? The least? Why?
  4. Given your other commitments, how much time do you want to devote to charity?
  5. What level of recognition and visibility interests you?
  6. Would you like to get your family involved in your giving?
  7. How much wealth do you want to leave to your children and grandchildren? If there is more than enough, would you consider designating it for charity?
  8. Would you prefer to give during your life or after your death?
  9. What values would you like to pass on to your descendants?
  10. Do you think a family foundation (donor-advised fund or private foundation) could help perpetuate those values?
  11. How would you like to be remembered after you are gone?
  12. Would you like to leave a charitable legacy to perpetuate those memories?


Your willingness to discuss these issues can lead to deeper, more meaningful planning and a stronger client relationship. MCF offers a host of resources for professional advisors to help you reinforce your client relationships. Check out our Resources Library for professional advice and tools that complement the services of MCF staff. 

 

The staff of MCF is available as your information source for charitable planning. Although we do not give tax or legal advice, we are available to discuss planning ideas and to refer you to resources to help you get the best solution for your clients’ needs. Feel free to email Ann Casey - Vice President, Finance & Planned Giving or Amy Overby - Vice President, Donor Relations. They can also be reached at 608-232-1763.

 

 

Study of High Net-Worth Philanthropy

 

For financial and legal advisors, a 2008 study conducted by The Center on Philanthropy at Indiana University may provide insight into clients’ philanthropic needs. The report covers philanthropic behaviors, motivations, and attitudes among America’s wealthy households. Please access the full article here. 

 

 

Tax Cut Deal Could Benefit Charities

By JAN M. ROSEN

New York Times 02/09/2011

 

Although many critics have denounced the tax deal reached in December by Congressional leaders and the Obama administration as tax cuts for the rich, personal wealth advisers who specialize in philanthropy also foresee benefits for charities. Please access the full article here. 

 

 

Gifts of Cash, Stock...and Mineral Interests

 

MCF was recently notified of a gift of mineral interests as part of a bequest received more than a decade ago. While most contributions to MCF come in the form of cash and appreciated stock, less liquid assets such as real estate and mineral rights may be accepted.

 

If you have clients interested in using some of their assets for charitable purposes, contact Ann Casey, Vice President Finance and Planned Giving, at 608-232-1763.

 

The Columbus Foundation recently posted a comprehensive article discussing the complexities of mineral rights as charitable gifts. That article can be accessed here.  

   

 

American Council on Gift Annuities Approves New Suggested Rate Schedule  

The Board of Directors of the American Council on Gift Annuities (ACGA) approved a new schedule of suggested maximum gift annuity rates for gifts established on or after July 1, 2011.

The new rate schedule lowers rates for single-life annuities ages 69 and younger, and raises rates for single-life annuities at ages 75 and older.  Other changes also apply to 2-life gifts. Read the whole story here.  

 

 

 

The staff and board of Madison Community Foundation have served the residents of Dane County and beyond for more than 67 years.

 

The charitable funds we manage for over 925 individual, family, non profit and corporate fundholders make up total assets of more than $135 million. Each year, MCF and its fundholders distribute over $10 million in grants that impact the lives of thousands of people and hundreds of charitable causes, close to home and far away. For more information about MCF, visit our website or call 608-232-1763.

 

For more information on how we work with advisors, see the Advisor section of our website, or contact Amy Overby or call 608-232-1763.

 

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