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Helping Your Clients Achieve Their Philanthropic Goals
HELPING YOUR CLIENTS ACHIEVE THEIR PHILANTHROPIC GOALS MARVIN E. BLUM, JD/CPA THE BLUM FIRM, P.C. [email protected] 777 Main Street, Suite 700 Fort Worth, Texas, 76102 (817) 334-0066 October 26, 2016 www.theblumfirm.com © 2016, The Blum Firm, P.C. All rights reserved. Helping clients achieve their charitable planning goals is a labor of love. Talking with them breaks down into Who, When, How, What, and Why. WHO: Which clients do you talk with about this? WHEN is the right time for this conversation? HOW do you present the information? WHAT techniques do you discuss? WHY should clients consider including charitable planning in their estate plan? WHY should advisors bring it up? 1 WHO? Which clients do you talk with about charitable planning? Everyone, not just the mega wealthy. The techniques may differ, but everyone can include charitable planning in their estate plan. Talk to clients who already give to charity each year or regularly tithe. They may want the charities they care about remembered at their death. Talk with your clients who have already provided for their families. Those who have already done gift planning to set aside for their family may be more receptive to providing for the community. 2 Talk with clients with high-wage-earning children. Children who are financially independent are less in need of an inheritance. There’s a growing population of clients with no children. Encourage them to find what’s meaningful to them. 3 WHEN? When is the right time to talk with your client about this? Not too early in the relationship with your client. -
Mapping Success in Employee Volunteering
Learning, Practice, Results. In Good Company Mapping Success in Employee Volunteering The Drivers of Effectiveness for Employee Volunteering and Giving Programs and Fortune 500 Performance To help community involvement professionals steer their volunteer programs toward high community and company impact, this report presents an absolute and a relative benchmark of effectiveness for employee volunteering. The absolute benchmark consists of the Drivers of Effectiveness for Employee Volunteering and Giving Programs composed of the six practices or drivers that, according to existing research, generate community and company impact. The relative benchmark consists of findings from a survey of over 200 Fortune 500 companies that measured collective compliance with the drivers and identified best practices from high performers. On the cover: Lockheed Martin’s “Engineers in the Classroom” program aims to inspire students to think of careers in engineering as compelling, rewarding and even fun. Learning, Practice, Results. In Good Company By Bea Boccalandro Contents Faculty Member Message from the managing director i Executive summary Boston College Center for 1 Introduction Corporate Citizenship 1 Purpose 1 Author and partners 1 Definition of the Drivers of Effectiveness This project sponsored by for Employee Volunteering and Giving Programs (EVGPs) 1 Methodology behind the Drivers of Effectiveness for EVGPs 4 Methodology behind the Fortune 500 survey 7 Drivers of Effectiveness for EVGPs and Fortune 500 performance 7 An overview of Fortune 500 performance 10 Driver 1: Cause-effective Configuration 15 Driver 2: Strategic Business Positioning 21 Driver 3: Sufficient Investment 24 Driver 4: Culture of Engagement 29 Driver 5: Strong Participation 32 Driver 6: Actionable Evaluation 37 Conclusions 39 Project advisers 40 References © 2009 The Boston College Center for Corporate Citizenship. -
Running Your Own Charity: Legal Basics of Private Foundations
Running Your Own Charity: Legal Basics of Private Foundations BOSTON | CONNECTICUT | FLORIDA | NEW JERSEY | NEW YORK | WASHINGTON, DC | www.daypitney.com Table of Contents PAGE 4 OVERVIEW PAGE 7 TRANSACTIONS WITH DISQUALIFIED PERSONS: SELF-DEALING PAGE 7 Sale, Exchange, or Leasing of Property PAGE 7 Lending of Money or Other Extension of Credit PAGE 8 Furnishing of Goods, Services, or Facilities PAGE 8 Payments of Compensation or Expenses PAGE 9 Other Transfer or Use of the Income or Assets of a Private Foundation PAGE 9 Payments to Government Officials PAGE 11 MANDATORY DISTRIBUTIONS PAGE 12 EASY DISTRIBUTIONS, HARDER DISTRIBUTIONS, AND TAXABLE EXPENDITURES PAGE 12 Grants to Organizations PAGE 12 The New Exception: Grants to “Type III” Supporting Organizations That Are Not “Functionally Integrated” Are Not Qualifying Distributions and Are Taxable Expenditures PAGE 14 Grants to Individuals PAGE 14 Expenditures for Non-Charitable Purposes PAGE 14 Influencing Legislation PAGE 15 Influencing Elections and Carrying On Voter Registration Drives PAGE 15 Penalties for Taxable Expenditures PAGE 16 EXCESS BUSINESS HOLDINGS PAGE 17 JEOPARDIZING INVESTMENTS PAGE 19 INVESTMENT INCOME TAX PAGE 20 FEDERAL TAX RETURN FILING AND PUBLICITY REQUIREMENTS PAGE 21 APPENDIX DAY PITNEY LLP LEGAL BASICS OF PRIVATE FOUNDATIONS 3 Running Your Own Charity: Legal Basics of Private Foundations IRS Circular 230 Notice: Any tax advice provided herein (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties that may be imposed on any taxpayer. OVERVIEW Private foundations are exempt from federal income It helps to understand the rationale behind the rules. -
A Potpourri of Charitable Planning Tricks and Traps
A Potpourri of Charitable Planning Tricks and Traps Lawrence P. Katzenstein Thompson Coburn, LLP One U.S. Bank Plaza St. Louis, MO 63101 (314) 552-6187 [email protected] Lawrence Katzenstein is a nationally known authority on estate planning and philanthropic planning, and advises planned giving programs at institutions nationwide. He is a frequent speaker on professional programs, appearing annually on several American Law Institute estate planning programs, and has spoken at many other national tax institutes, including the Notre Dame Tax Institute, the University of Miami Heckerling Estate Planning Institute and the Southern Federal Tax Institute. Mr. Katzenstein has served as an adjunct professor at the Washington University School of Law where he has taught both estate and gift taxation and fiduciary income taxation. A former chair of the American Bar Association Tax Section Fiduciary Income Tax Committee, he is also active in the American College of Trust and Estate Counsel (ACTEC) charitable planning committee. Mr. Katzenstein was named the St. Louis Non-Profit/Charities Lawyer of the Year in 2011 and 2015, and the St. Louis Trusts and Estates Lawyer of the Year in 2010 and 2013 by Best Lawyers in America® and was nationally ranked in the 2009-2018 editions of Chambers USA for Wealth Management. He serves on the advisory board of the National Center on Philanthropy and the Law at New York University. Mr. Katzenstein is also the creator of Tiger Tables actuarial software, which is widely used around the country by tax lawyers and accountants. He received his undergraduate degree from Washington University in St. -
General Explanation of Charitable Remainder Trusts and Private Foundations
General Explanation of Charitable Remainder Trusts and Private Foundations THE USE OF CHARITABLE TRUSTS can provide investment diversification without taxable gain, a larger stream of income during life, and an income tax deduction to the maker of the charitable trust. There is considerable flexibility in designing charitable remainder trusts and they are especially attractive to high net worth individuals who wish to use them in connection with their own private foundation which, in effect, passes control of the transferred assets to the next generation for their continued charitable purposes. CHARITABLE REMAINDER TRUSTS There are two basic types of charitable remainder trust: the “charitable remainder annuity trust” (CRAT) or a “charitable remainder unitrust” (CRUT). The difference between the two types of charitable remainder trusts is that in an “annuity trust” the annuity paid to you by the trust is based on a fixed percentage of the trust assets valued at the time the assets were contributed to the trust. You would continue to receive this fixed annuity amount for the rest of your life, A “unitrust’ is designed so that the trust assets would be valued each year and you would receive a fixed percentage of the changing value of the trust as it grows (or decreases) from year to year. In other words, the “annuity trust” is a fixed annuity and the “unitrust” is a variable annuity. The payout percentages to you may be at different interest rates (i.e., 6%, 7%, 8%, 9% and 10%). You can choose any of these rates; however, the greater the amount you retain as an annuity from the trust (whether a “unitrust” or an “annuity trust”), the less will ultimately pass to charity and the lower your income tax deduction for your gift to the charitable remainder trust. -
Social Investment —
PIONEERS POST SPECIAL GUIDE GUIDE TO SOCIAL INVESTMENT GUIDE TO — SOCIAL INVESTMENT 1 | PPQ CONTENTS THE PIONEERS POST SPECIAL GUIDE TO SOCIAL INVESTMENT INTRODUCTION ⁄ 3 SOCIAL INVESTMENT AND GRANT-MAKING SYNERGIES ⁄ 12 Presenting our thought-provoking features and A-Z guide Philippa Charles’s perspective as a social investor and grant maker FOREWORD ⁄ 4 Mark Parsons welcomes you to the Heath Robinson-esque A NEW OPPORTUNITY FOR EVERYDAY world of social finance INVESTORS ⁄ 13 Why Triodos is into crowdfunding, by Bevis Watts THE SOCIAL INVESTMENT JOURNEY ⁄ 5 Nick Temple has some reasons to be cheerful PROFESSIONAL WOMEN WANT TO INVEST POSITIVELY ⁄ 14 WHY WE MUST EMBED THE SOCIAL IN Jessica Robinson looks at financial feminism SOCIAL INVESTMENT ⁄ 6 The social investment scales are weighted too heavily towards A GUIDE THROUGH SOCIAL INVESTMENT ⁄ 15 the elite, says Niamh Goggin Kieran Whiteside introduces Good Finance DEBUNKING THE MARKET RATES OF RETURN MYTH ⁄ 8 HAS SPRING ARRIVED FOR GENDER Abhilash Mudaliar looks back at 10 years of impact investment EQUALITY IN SOCIAL INVESTMENT? ⁄ 17 Jessica Brown points out that social investment needs to look at INSPIRING SCOTLAND: 10 YEARS ON ⁄ 9 how it represents women An insight into a decade of work in venture philanthropy, by Celia Tennant A SOCIAL FINANCE APPLICATION CHECKLIST ⁄ 19 THE EMOTIONAL HEDGE: THREE LESSONS Your social lender is on your side, explains Mark Parsons FOR INVESTORS ⁄ 11 We invest for different types of return, explains James Lawson THE SOCIAL INVESTMENT A-Z ⁄ 22 The Pioneers -
Ci 2015 Annual Report
Annual Report 2015 1 Table of Contents I. Executive Summary .........................................................................................2 II. Mission Statement ...........................................................................................3 III. Review of F2015 Results ................................................................................4 I V. 2015 Funding Priority Going Forward ......................................................11 V. Appendix ..........................................................................................................13 Calculating Charity Intelligence’s Informing and Influencing Factor Audited Financial Statements Charitable Registration Number: 80340 7956 RR0001 405-30 Church Street Toronto, ON M5E 1S7 www.charityintelligence.ca 2 Executive Summary 2015 was a year of phenomenal growth. With the generous funding from Canadian donors, Charity Intelligence continues to grow in influence. Intelligent giving focuses on results. Here are the highlight Charity Intelligence results for F2015 221,000 people visited our Charity Intelligence website and downloaded more than 1.7 million charity research reports. Charity Intelligence posted research reports on 654 Canadian charities, covering 53% of annual giving. Charity Intelligence informed an estimated $39.4 million in Canadian giving. With total operating costs of $223,106, Charity Intelligence is lean, thereby maximizing stakeholder returns. Every dollar you donated to Charity Intelligence informed $176 in Canadian giving. -
Audit Technique Guide – Fundraising Activities
Audit Technique Guide – Fundraising Activities Introduction This guide addresses examining tax exempt organization fundraising and provides: Background information Audit guidelines Audit techniques Audit procedures This guide is not all-inclusive and doesn’t intend to limit agents to identifying issues or using techniques not listed in this guide. For information on fundraising issues involving political organizations, see the Audit Technique Guide for Political Organizations. For information on fundraising issues involving gaming activities, see the Audit Technique Guide for Organizations Conducting Gaming Activities. This manual is organized into five sections: Background information Activities (professional fundraisers, fundraising events, internet fundraising) Records (solicitations, disclosures, cash contributions, non-cash contributions) Reporting (Form 990-EZ, Form 990: Core Return, Schedule G, Schedule M, Form 990-PF, Form 990-T) Audit procedures (pre-audit, field/OCEP, penalty considerations, case closing) Background Most, if not all, tax exempt organizations need money. Many exempt purposes can only be achieved via the application of money. Thus, large numbers of organizations devote significant resources to acquiring money. These organizations use various methods to obtain funds, ranging from selling a product or service, conducting a fundraising event, to just asking for money. Traditional methods of obtaining funds include soliciting donors via the mail, phone calls, newspapers, radio, television, and now via the Internet. Organizations have become creative over the years, conducting activities and events, such as the sales of foodstuffs, car washes, raffles, casino nights, auctions, and pledge drives, evolving towards more sophisticated ways to fundraise, such as targeting solicitations, using patronage levels, crowd-funding, and tax planning, such as conservation easements, lending arrangements, and charitable gift annuities. -
Giving Season 2019: Gifts That Transform, and Transformed by Giving
GIVING SEASON 2019: GIFTS THAT TRANSFORM, AND TRANSFORMED BY GIVING Giving season is upon us. And there is some catching up to SUZANNE L. SHIER do. Giving in 2018 dipped slightly from 2017, which begs the Chief Wealth Planning and Tax Strategist question: How will 2019 measure up? Gifts have the power to transform. And the transformation is bidirectional, impacting the recipient and the donor. Philanthropy also has the additional beneft of being tax-favored for individuals, corporations and estates at death. With talk of a wealth tax on the campaign trail, would there be a charitable deduction to such a potential tax? CONSIDERATIONS FOR MAKING TRANSFORMATIONAL GIFTS ASSESSING THE IMPACT OF TRANSFORMATIONAL GIFTS Intentional giving has the potential to impact individuals, families and communities – everything from education to health to the arts. Consider education, often viewed as a gateway to opportunity. While giving to education accounted for 14% of giving in 2018 and totaled $58.72 billion, this amount represents a 13% decline from 2017.i As colleges and universities seek to make higher education accessible without regard to family income or wealth, the importance of endowment to bridge the funding gap has escalated. While the need has been flled with transformational gifts at some schools,ii many are earnestly seeking endowment resources. When making gift choices, impact matters. An individual life changed, a family, a community. Improved education levels, health, standards of living. Impact data is available for education, health and other areas of giving. Northern Trust 1 GIVING SEASON 2019: GIFTS THAT TRANSFORM, AND TRANSFORMED BY GIVING It can pay to do research. -
Non-Profit Service Opportunities
Non-Profit Service Opportunities 1/29/2019 Organizations listed serve Gilbert residents in need A New Leaf: Provides individuals and families in crisis or homeless services & shelters http://www.turnanewleaf.org/make-difference/how.html Group Opportunities: o Prepare and Serve a Meal . Dinner and sack lunches are provided for 94 men living in A New Leaf’s East Valley Men’s Center 365 days a year. The kitchen is a licensed facility by the Arizona Department of Health Services. Dinners are purchased, prepared and served by volunteer groups. Sack lunches are purchased, prepared and can be delivered on site the night before the lunch is needed. One-Time Group Project o Day of Service projects may include: . Outdoor sweeping and raking . Window washing . Sanitizing kitchens and classrooms . Providing an on-site holiday party to include refreshments and activities Donation Drives o Collection of any NEW item, from kitchenware, appliances, linens, non-perishable food, toiletries, and the list goes on. o Official Drives . January, February, & March: Paper & Hygiene . April & May: Non-Perishable Food . June & July: Back to School . August & September: Pillows, Linen, & Kitchenware . October, November, & December: Holiday Giving Aid to Adoption of Special Kids (AASK) Focuses on finding relationships for children in the AZ foster care system to ensure every child has someone who cares. http://www.aask-az.org/mentoring Volunteers with the AASK mentoring program are matched with children and youth from two age groups, based on their personal interests and mentoring skills. Younger children (ages 9-15) - Become extended family for the child, joining them in fun activities, helping with homework or just being there when they need to talk. -
Choosing Among the Private Foundation, Supporting Organization and Donor-Advised Fund 1
CHOOSING AMONG THE PRIVATE FOUNDATION, SUPPORTING ORGANIZATION AND DONOR-ADVISED FUND 1 VICTORIA B. BJORKLUND SIMPSON THACHER & BARTLETT LLP MAY 29, 2003 This outline focuses on factors a donor should consider in choosing among the private foundation, supporting organization and donor-advised fund. The outline also examines current developments regarding private foundations, supporting organizations, and donor- advised funds. The emergence of the donor-advised fund in the 1990s marks a dramatic change in the American charitable-giving paradigm. Now virtually every exploratory conversation between an advisor and a prospective donor includes discussion of the donor-advised-fund option. The donor-advised fund focuses on values important to contemporary donors: involvement and efficiency2 and all with significantly lower operating costs than would apply to a private foundation or supporting organization. Part of donor-advised funds’ appeal is their ease of use: donors can open a gift account without any advice of counsel or legal instruments. Many accounts can easily be opened online. 1 Copyright © 2003 Victoria B. Bjorklund. This outline builds upon “The Emergence of the Donor- Advised Fund,” presented at Georgetown University’s 15th Annual Conference on Representing and Managing Tax-Exempt Organizations and reprinted at 3 Paul Streckfus’ EO Tax Journal 15 (May 1998), prior outlines on this topic published by ALI-ABA, and a paper delivered at the October 1999 meeting of The National Center on Philanthropy and the Law at NYU Law School, which was published in 27 E.O.T.R. 107 (Jan. 2000). 2 See, e.g., “‘Wired’: Giving With a Bottom Line,” Chronicle of Philanthropy, p. -
The American Legion
3. Choose your assignment preference Traditional assignments Non-traditional assignments Patient escort Virtual volunteers NEARLY 100 YEARS OF SERVING VETERANS Volunteer drivers Fundraisers The American Legion Clerical positions Managers and recruiters Volunteers are the cornerstone Information desk Corporate representatives of our great organization VETERANS AFFAIRS VOLUNTARY SERVICE Ambassador program Trainers and educators as highlighted in the preamble Chaplain service Writers to the American Legion Constitution … (newsletters, recruitment ads) ”to consecrate and sanctify our comradeship Pharmacy Community liaisons by our devotion to mutual helpfulness.” VAVS Nursing Volunteer sports opportunities PROGRAM (Team River Runner - kayaking; Ride 2 Recovery - cycling; Golf Supports Our Troops - golfing) Guest relations program Outpatient assignment Caregiver positions 4. Contact the VAVS program manager at a nearby VA facility or sign up at www.va.gov/volunteer THE AMERICAN LEGION For information concerning individual participation contact the VAVS program manager Veterans Affairs & Rehabilitation Commission at your nearest VA medical center. They will 1608 K St. NW arrange an initial screening and help you in Washington DC 20006 choosing the program that best meets your www.legion.org interests. More information is available at www.va.gov/volunteer This institution is an equal opportunity provider. www.legion.org/vavolunteers Stock# 70-017 Artwork# 32VAR0820 VETERANS HELPING VETERANS d. Youth volunteers (VolunTeens). This VA veterans in their communities. Coordinating program offers excellent opportunities for youth with on-site VA-administrative officers will The American Legion has been a staunch supporter exploring career options, gaining experience in ensure proper certification of volunteer hours. and active participant in the Department of a health-care environment and learning new • Fisher Houses: The Fisher House Foundation Veterans Affairs Voluntary Service (VAVS) skills.