The Stanford Charitable Remainder Unitrust
Total Page：16
File Type：pdf, Size：1020Kb
f 2 CHARITABLE R EMEMBER ESTATE PLANNING & TAX TIPS F ALL SS TTANFORDANFORD 2005 Creating a Legacy Stanford women founded the first boating club at the university in 1896. A team paddles across Lake Lagunita, circa 1939.] UNITRUSTS PROVIDE WIN-WINS FOR STANFORD AND DONORS “ think it’s one of the most satisfying choices I’ve ever tor-turned-actress, the income she receives allows her I made,” says Doreen Foo Croft, ’49, of her decision comfortably to pursue her new artistic passion without to create a Charitable Remainder Unitrust at Stanford. financial worry. Like other donors, Doreen wanted to help Stanford. A unitrust pays income at an agreed rate to a When she learned about unitrusts and how they work donor (or other designated beneficiary or beneficiaries) —providing regular income for her now and an eventual for life or a term of years, based on the growth of the gift to Stanford—she realized this was an ideal opportu- unitrust assets over time. Once a unitrust matures, nity to achieve her personal financial goals as well as Stanford uses the remaining assets to support any area her goal of supporting the university in a significant way. of the university that the donor designates. Unitrusts Doreen sees several advantages to creating a unitrust have been used to endow undergraduate scholarships, at Stanford. She received a charitable deduction on her provide unrestricted support to the university, fund income tax at the time she established her unitrust. She research and public service opportunities, and enhance was able to create her unitrust with a gift of rental many other programs at Stanford. property that she no longer wanted to manage, but on Doreen, who spent her career working with which she would have had to pay a hefty capital gains young children and training early childhood educa- tax had she sold it herself. And her unitrust, managed tors, used her unitrust to endow an undergraduate by the experts at the Stanford Management Company, scholarship for students who plan to work with young produces higher monthly payments than she received children. As an added benefit, the present value of when she was renting the property. As a retired educa- Doreen’s gift was matched by The Campaign for ❖ REMEMBER STANFORD CHARITABLE ESTATE PLANNING Doreen and her two daughters, who are both MAXIMUM IMPACT In addition to his personal motivations, Bob values Stanford graduates, are proud of the scholarship. Cynthia Hockey, ’60, says “I would love for other the financial soundness of the unitrust. “It seemed like a “I’m so happy to know that the money will go on people to realize that unitrusts are a marvelous way to reasonable thing to do,” being used for a good purpose forever,” she adds. make a substantial gift when you can’t do more on a reflects Bob. “We wanted to yearly basis.” make a long term commit- SUPPORTING LOVED ONES She and her husband Bob were aware of unitrusts ment to Stanford. We enjoy Rachford Harris, ’35, is a veteran unitrust donor to for several years when they decided to create one at the income, and Stanford Stanford. He has created four unitrusts over the years, Stanford. They are both dedicated volunteers—Bob is will get the whole thing customizing each to support multiple interests at Stanford a member of the board of overseers of the Hoover eventually.” This is a par- while providing a secure income for his family. Institution and Cynthia participates on boards for the ticularly beneficial type of Doreen and her roommate, Mary Jan, Doreen today “I spent some of the circa 1946. Department of Athletics and the Haas Center for Public gift for a university, he adds, very happiest days of my I spent some of Service. In 1998 they established a unitrust to benefit because Stanford will still life at Stanford,” says Undergraduate Education (CUE). As a result, her the very happiest both Hoover and athletics. be around to make good use Rach, “and I wanted to endowed fund was created and the scholarship could be Bob, who did not attend Stanford, had an additional of their unitrust when it help the university as much days of my life awarded immediately. Each year she hears from a current motive for arranging their gift. Their unitrust was a special matures. “Universities have Cynthia and Bob Hockey as I could.” student who is benefiting from her gift and advancing the at Stanford, and way for him to honor Cynthia and Stanford’s importance a long view of the future,” he says. “You know that what Rach and his late work so dear to her. in her life. you do will mean something some day.” wife, Carlota, initially I wanted to help Looking back at the process of creating her unitrust, Cynthia says she was excited and touched when Today, the couple looks ahead to the impact their gift established two unitrusts Doreen says it was very simple. She worked closely with the university as Bob asked if she would like to benefit Stanford with a will have. “When you want to do something substantial to benefit the School of Steve Player, a member of Stanford’s planned giving unitrust. She had wanted to give a significant gift to the for an institution you believe in, and you know your gift Medicine—one to endow much as I could. staff, to design her unitrust. “We did it in a day,” she university, and creating a unitrust allowed the couple will be well taken care of after you’re gone, it’s a wonder- a professorship in the says, “and Stanford is doing better with the money than – Rachford Harris to do so in a way that fit best with their financial plans. ful feeling,” says Cynthia. v Department of if I had invested it.” Nephrology, and one to support medical research in kidney disorders. These gifts recognize the expert medical care given to one of their daughters when she was treated at Stanford Hospital for kidney disease. RECENT ESTATE GIFTS CLYDE W. NIELSEN, a friend of the university, made a specific bequest of $10,000 to Stanford Rach has been impressed with Stanford’s manage- Stanford is grateful to the generous friends and University Medical Center for research on alumni who remembered the university in their ment of the unitrusts and began to think of them as a way leukemia and related cancers. estate plans. These gifts make a difference to provide for his daughters. “I think that the institution across the university. A sampling of recent gifts LAWRENCE G. OLINGER, A.M. ’56, education, invests its own funds wisely and has good guidance,” he received from estates is described below. willed Stanford a specific gift of two-thirds interest in real property to endow scholarships for under- says, “so I thought that would be good for my daughters.” REGINA BEAUMONT, a friend of the university, graduates majoring in humanities. The gift left the residue of her estate to the Stanford To that end, last year Rach worked with the Office totaled $850,000. Libraries. The gift provides $7,500 in expend- of Planned Giving to set up two additional unitrusts. able funds. PHOEBE SEAGRAVE, ’33, M.B.A. ’35, gave 90 percent of the residue of her estate, over Each names one of his daughters as the income beneficiary. TIMOTHY E. COLVIN, ’25, made a specific $375,000, to endow the Phoebe Seagrave When his daughters pass on, these unitrusts will provide bequest of $1,000 to the School of Engineering. Fellowship for students at the Graduate School MARY E. CRUMMEY, ’42, willed an unrestricted endowment for a University Fellow in Undergraduate of Business. gift of more than $60,000 to the university. Education and undergraduate scholarships. Rach has RICHARD S. J. TAM, ’38, designated a specific WILLIAM L. ENDERUD, a friend of the university, remained connected with undergraduate life on campus, bequest of $100,000 to Stanford for unrestricted left a residual gift totaling over $324,000 to the purposes. particularly now that his grandson, Tristan Harris, ’06, School of Earth Sciences through his charitable OSWALD G. VILLARD, PH.D. ’49, gifted a is a student. Today, he does what he can to ensure that remainder unitrust. His wife, VIVIAN ENDERUD, portion of the residue of his trust estate, more also left one-third of the residue of her estate, others are able to attend Stanford and benefit from the than $3,000,000, in unrestricted support for totaling approximately $107,000, to the School university as much as he has. the university. Stanford has used the bequest to of Earth Sciences. create the Oswald G. Villard University Fellow in The boathouse on Lake Lagunita as it appeared in April “I got a lot out of Stanford,” he says, “but it wasn’t JESSE FELDMAN, ’37, L.L.B. ’40, gave a Undergraduate Education in honor Professor 1944. These photos were taken by Ray Alden, ’44. Today, all from the books—it was from socializing with all kinds specific gift of $100,000 to the School of Stanford boaters launch their crafts at the Stanford Villard, a well-loved member of the Electrical University Rowing and Sailing Center on the shores of Law for general support. of people from all walks of life, and I think it placed me Engineering faculty for five decades. Redwood City, California. Rach (center) with Jim Mullin (left) and Jim Wooley (right), all members of the Class of 35, in good stead.” on their way back to Stanford after Christmas break, January 3, 1932. Rach and Carlota.