Bowdoin as Trustee
Bowdoin serves as Trustee for all life income gifts established directly with the College and beneficiary payments are guaranteed by all the College’s assets. Life income gifts are invested and managed by Kaspick & Company, a division of TIAA-CREF which the College has partnered with since 1998.
Charitable gift annuities can be established with a minimum gift of $10,000 and are a simple contract between the donor and the College. While typically funded with cash or appreciated securities, other assets can be used to establish a charitable gift annuity. An existing annuity cannot accept additions, but a new annuity can be created and payments combined.
Fixed annuity payments are made quarterly for the lifetimes of up to two individual beneficiaries. Bowdoin’s annuity rates are based on beneficiary ages and market returns as recommended by the American Council on Gift Annuities (http://www.acga-web.org/). Annuity payments can start immediately or can be deferred for a higher annuity rate. At the end of the annuity, the entire remainder comes to Bowdoin. A charitable gift annuity can also be terminated early for an additional tax deduction. Please contact us for a personalized illustration.
Charitable remainder trusts require a minimum gift of $100,000 and pay income to up to four beneficiaries (individuals and/or organizations) for their lifetimes or for a fixed term of years. Income payments may be either variable based upon market returns (charitable remainder unitrust) or fixed (charitable remainder annuity trust). At the end of the trust, a minimum of 60% of the remainder must come to Bowdoin; the remaining 40% can be distributed to other charitable organizations.
Charitable remainder trusts are well suited to gifts of less traditional assets such as real estate or business interests. Additions to the trust principal may be made at any time, generating an additional tax deduction. Please contact us to explore whether a charitable remainder trust works with your philanthropic plan.
Pooled income funds require a minimum gift of $10,000 and can be added to at any time. Quarterly income payments are variable based upon market returns and may be paid to up to two beneficiaries. The entire remainder comes to the College at the end of the beneficiaries’ lifetimes. Currently the College is offering two pooled income funds with slightly different investment strategies; please contact us to learn more.
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The information in this website is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to income tax apply to federal taxes only. Federal estate tax, state income/estate taxes or state law may impact your results.