Leaving a legacy through a gift in your will is an easy, flexible option. It costs you nothing now and allows you to make a lasting impact on our mission to transport animals and people at risk. It also provides continued use of your property throughout your lifetime—you retain full control, meaning you can modify your gift at any time.

To leave a gift for PTTR in your will, you can designate that a portion of your estate passes directly to us. You have the flexibility to choose how you want to designate your gift:

• a specific asset
• a specific sum of money
• a percentage of your estate
• what remains of your estate after you have provided for all your other beneficiaries.

You also have the flexibility to specify exactly how you would like your contribution to be utilized, or you can leave your gift unrestricted to help us meet our most pressing needs.

Please reach out for more information about making a gift in your will.

A charitable gift annuity (CGA) is an easy way to give and receive. In exchange for your gift, PTTR agrees to make fixed lifetime payments to you and/or another chosen beneficiary. You support our air rescue efforts while creating a valuable income stream. The payment amount is determined by the gift amount and the age of the annuitant(s) at the time of the gift.

A CGA is an attractive gift option for many reasons. You can:

• establish it with a modest contribution of cash or marketable securities

• designate one or two annuitants to receive income payments

• choose your own payment schedule (usually quarterly)

• qualify for an immediate income tax charitable deduction for the gift (subject to certain income limitations)

• potentially spread out any capital gains tax liability

• receive tax-advantaged payments for a certain number of years

A deferred CGA is one in which you defer the start of payments. This can be a good strategy for professionals or highly compensated employees who consistently reach the maximum limit for annual retirement plan contributions. This approach offers three key advantages:

1. The income payments can be timed to supplement qualified retirement plan savings.

2. You qualify for a current income tax deduction now during your high-income years.

3. The start of annuity payments can be postponed until later—typically after retirement begins.

Now is the time to consider CGAs as gift annuity rates increased on January 1, 2023.

Sample one-life gift annuity rates, effective January 1, 2023

Please reach out for more information on CGAs or an illustration based on specific ages and gift amounts.

An outright gift of long-term appreciated securities (held for over one year) is an easy, tax-effective way to give. Donors usually give individual stocks, but bonds or mutual fund shares are also viable options. This type of gift offers highly attractive tax benefits, allowing you to do more with your donation.

No capital gains tax is due on the gifted securities, regardless of the amount of the appreciation. In addition, if you itemize, your gift qualifies for a charitable income tax deduction for the full fair market value of the securities—including the amount of the untaxed appreciation. This is a powerful double tax benefit!

For example, if you donate shares of stock worth $10,000, you can deduct the full amount on your income tax return (subject to certain income limitations), even if you initially purchased the stock for $1,000. Plus, all proceeds from the sale of the stock are kept by Pilots To The Rescue—nothing is lost to taxes!

Note: Make sure to transfer the stock directly to PTTR. Selling the stock and donating the proceeds does not carry the same important tax advantages.

For more information about donating securities, please reach out to us.

If you're an IRA owner age 70½ and over, supporting our work of saving at-risk animals through a qualified charitable distribution (QCD) is a great option. The process is simple:

• Simply instruct your IRA custodian to make a direct distribution to Pilots To The Rescue.

• No income tax deduction is available, but the distribution is excluded from your income for federal tax purposes, which means no tax is due!

• Up to $100,000 of your gift (annual aggregate limit in 2023) qualifies for this favorable tax treatment.

• Your contribution makes an immediate impact.

• A qualified charitable distribution from an IRA counts toward your required minimum distribution (RMD) if one is due. Contributions to your IRA after age 70½ can affect the amount eligible for a tax-free transfer.

Consider the new QCD option
IRA owners age 70½ or older also have the option to make a one-time, tax-free distribution of up to $50,000 (in 2023) from an IRA to create a new charitable gift annuity or charitable remainder trust. Like the traditional QCD, this distribution also counts toward your RMD if one is due, while creating a new income stream to supplement other sources of retirement income.

Keep in mind that spouses can each contribute up to $50,000 from individual IRAs into a single charitable remainder trust or a joint-life charitable gift annuity.

Please contact us for more information on how to plan and complete a qualified charitable distribution, or click here to calculate your required minimum distribution.

When planning charitable gifts, many donors opt to use qualified retirement account assets. This is an easy gift with distinct planning advantages.

Retirement account assets left to loved ones may be subject to higher taxation than other types of assets. By using retirement account assets to make a gift (and selecting alternative assets to leave to family members), you may be able to reduce taxes that otherwise would be imposed on those assets and leave more to your intended beneficiaries.

Please reach out to learn more about the benefits of using retirement account assets to fulfill your charitable goals.

With a charitable remainder trust (CRT), you can make a gift that provides an income. Consider some of the benefits a CRT can provide:

• You and/or your beneficiaries receive a steady income for life or a period of up to 20 years.

• You qualify for an immediate income tax deduction if you itemize (subject to certain income limitations).

• You pay no capital gains taxes if you fund the trust with long-term appreciated property.

• You remove assets from your estate, potentially helping to reduce or eliminate any estate taxes due.

• Your estate can benefit from a substantial reduction in probate costs, taxes, and other estate transfer expenses.

An Immediate Charitable Deduction

When you create a CRT, you can receive an income tax deduction right away, even though the trust will pay you and/or other beneficiaries an income. The amount of the deduction depends on the:

• value of the property transferred to the trust

• amount of income benefits payable to individual beneficiaries each year

• approximate length of time the income benefits will be paid

• prevailing interest rates at the time of the gift

Despite the tax and financial benefits, you should consult with your advisors before setting up a CRT to ensure that it aligns with your overall estate, tax, and financial plan.

Contact PTTR for more information about charitable remainder trusts.

A donor who gives appreciated real estate to PTTR receives a powerful double tax benefit—no capital gains tax is due on the appreciation and the gift qualifies for a charitable income tax deduction for the full fair market value of the property.

Gift of a Remainder Interest in a Personal Residence or Farm

With a remainder interest gift, you make a gift of the property but maintain the right to occupy the property for the duration of your life (or the life of a family member). The property passes to PTTR only after the termination of the life estate(s). Even so, a special provision of the tax law allows you to qualify for an immediate income tax charitable deduction for your future gift (assuming you itemize).

The deduction amount is determined by the present value of our right to receive the property at a later date. The age of the life tenant is the primary factor in determining the present value of our deferred interest and the charitable deduction.

Gift of a Fractional Interest in Real Estate

Federal tax laws let donors take a charitable deduction for gifts of fractional interests in real estate. This gift option can be particularly rewarding if you own a vacation home that you use only part of the year.

Example: Diane and Frank own a $300,000 vacation home that they use for only two months of the year. They can give our institution a 50% interest in the property, qualify for a tax deduction for the value of our interest in the property, and still have a right to use and occupy the property for up to half the year.

For more information about gifts of real estate, please contact us.

Life insurance can be a valuable tool to help you make a gift you never thought possible while realizing important financial objectives. This is a simple, significant way to help PTTR continue to save animals with airplanes far into the future.

An outright gift of a paid-up life insurance policy is straightforward. As the insured policy owner, all you need to do is transfer physical possession of your paid-up policy to PTTR and file an absolute assignment or transfer of ownership form with your insurance company. Your insurance provider will then send us a letter confirming that Pilots To The Rescue is the sole owner of the policy. This gift qualifies for a charitable income tax deduction at the time of the gift (assuming you itemize).

A charitable beneficiary designation is another easy option. You can choose to make us the sole beneficiary, a partial beneficiary, or even a contingent beneficiary of the life insurance policy.

Hypothetical Example

Brian owns a $100,000 life insurance policy with a cash value of $40,000. No further premiums are due, and he no longer needs the coverage. He can ensure that we will receive $100,000 at his death by making PTTR the beneficiary, or he can transfer ownership of the policy to us now. When he transfers ownership, Emmett receives an itemized charitable deduction equal to the lesser of his cost basis or the policy's replacement value.

Contact us for more information about gifts of life insurance.

Donor-Advised Fund

You can make an irrevocable gift to a fund maintained by a charitable organization and qualify for an immediate income tax charitable deduction for the full amount of the gift. As the name implies, you can advise the fund regarding the actual charitable distributions; however, you may not impose material restrictions on the fund.

Revocable Living Trust

You can establish a flexible trust that directs the disposition of your assets, including charitable gifts. You retain the ability to change or revoke the trust during your lifetime. The trust can help minimize the expenses and time associated with probate, facilitate the transfer of assets, protect your privacy, and ensure seamless asset management in case of disability.

Gift from an IRA

Individuals age 70½ or older can transfer up to $100,000 (annual aggregate amount in 2023) from an IRA directly to PTTR. This transfer counts towards your RMD if one is due (usually beginning at age 73), and no tax is due on the distribution. Alternately, you can transfer up to $50,000 (in 2023) to create a new charitable gift annuity (CGA) or charitable remainder trust (CRT), creating a new income stream for yourself and/or your spouse. Spouses may each make distributions of up to $50,000 from individual IRAs to create a single CRT or a joint-life CGA.

Retained Life Estate

You can donate a home, retain the right to use or live in the property for the remainder of your life, and still qualify for a current income tax charitable deduction for the value of our remainder interest in the home.

Charitable Lead Trust

With a charitable lead trust, you can support Pilots To The Rescue with regular income payments for a specified number of years, then pass the remaining trust assets to your beneficiaries in a tax-advantaged way.

Closely Held Stock

With a gift of closely held stock, you pay no capital gains tax on any appreciation but still qualify for a charitable income tax deduction equal to the stock’s full appraised value (if you itemize).

Tangible Personal Property

You can give us specific property that we can use for our exempt purposes and qualify for an income tax deduction for the full fair market value of your gift.

Reach out for more information about additional methods of giving.