Ways to Give
There are several options for making a gift to Marshall School. Many gifts have substantial tax benefits for the donor. Click on the options below for more information.
Many of the gifts that Marshall School receives each year are unrestricted gifts of cash or marketable securities. Make your gift today using our secure on-line gift form or by mailing in the pledge form attached here.
Deferred gifts are a popular way to contribute to Marshall School’s endowment. These gifts may be arranged through trusts, annuities and other estate planning vehicles.
If you give appreciated securities to Marshall, there are two benefits. First, you avoid paying capital gains taxes on the amount of the appreciation. Second, you can still deduct the full amount of the current value of the stock as a charitable income tax donation. If you cannot use all of the deduction in the year you make the gift, you may carry over the deduction for an additional five years.
Please note: you must have owned the securities for at least one year.
For information, please call the Development office at 218-727-7266, or email Julie Krienke, Director of Annual Giving.
To make a gift of stock, please have your broker contact:
North Shore Investments and Trust
131 W Superior St.
Duluth, MN 55802
Jeff Cadwell | Office: 218-733-5502
or his assistant Samantha Isackson | Office: 218-733-5537
Real estate, including vacation homes, undeveloped land or commercial property may be an excellent way to make a substantial gift to the school.
Marshall School recommends that you consult your attorney or financial advisor in regard to any complex charitable giving decisions.
Charitable Remainder Trusts
Charitable Lead Trusts
One of the easiest ways to join the Cornerstone Society is to designate Marshall School as a beneficiary in your will. If your will is already written, you may add the school as a beneficiary by instructing your attorney to include a codicil (an amendment) to your bequest intentions. Wills and codicils typically include language such as:
"I give and bequeath to Marshall School of Duluth, MN, (the sum of ____ dollars) or (all the rest, residue and remainder of my estate) to be used for the general purposes of the school at the direction of its Board of Trustees."
You may specify that an exact dollar amount, a particular asset, or a portion or all of your residuary estate be given to Marshall School.
Gifts of retirement plan assets may be particularly appealing because these assets are often subjected to several taxes: (1) federal income tax; (2) federal estate tax [upon your and your spouse's death], and (3) state income and estate taxes. This can generate leaving only 25 cents on the dollar available for one's heirs. There are several ways to give these retirement assets to Marshall School: (a) name Marshall School as the primary or secondary beneficiary of your plan by contacting your plan administrator and completing a new beneficiary form; (b) take structured withdrawals from your plan, beginning at age 59 ½ or 70 ½ and make outright gifts to the school that generate an offsetting charitable deduction; and (c) set up a Charitable Remainder Trust in your will into which you transfer any residual in your retirement plan at your death, naming your surviving spouse or children as income beneficiaries for life or a term of years and Marshall School as the charitable remainderman. Marshall School, under any of these arrangements, will receive a full dollar for every dollar remaining in your retirement account.
Charitable Remainder Trusts
A Charitable Remainder Trust (CRT) is a separately invested and managed charitable trust that pays income to you, or to beneficiaries you name, for life or a term of years. At the termination of the trust, the principal goes to the School. A CRT provides unusual flexibility. You can use a variety of assets to fund a CRT: cash, publicly traded stocks and bonds, closely-held stock, real estate, and, in some instances, tangible personal property, such as works of art. You can tailor it to suit your needs: build retirement income, generate a higher income from assets you currently own, or provide for your spouse, family members or other beneficiaries. You can name a bank, Marshall School or yourself as the trustee.
There are two basic types of Charitable Remainder Trusts:
(1) A Unitrust (CRUT) which pays a variable income (typically between 5-7% per year) based on a fixed percentage of the trust assets as revalued once a year. One advantage of a unitrust is that your income can increase as the trust principal grows over time. Also, you may make additional contributions to the unitrust principal at any time.
(2) An Annuity Trust (CRAT) which gives you the opportunity to choose to receive a fixed dollar amount from the trust each year. Those who are interested in the security of a fixed annual income often prefer the annuity trust. Additional contributions cannot be made to annuity trusts.
Charitable Lead Trust
A Charitable Lead Trust (CLT) is a powerful way to make a future transfer of assets to your heirs at a significantly reduced gift and estate tax cost. During a specified number of years, an annuity or a fixed percentage of the trust assets is paid to Marshall School. At the end of the trust term, the assets are passed to the beneficiaries you name. There are two types of lead trusts, Non-Grantor and Grantor. In a non-grantor lead trust, the assets revert to your children, grandchildren, or other heirs. In a grantor lead trust, the assets revert to you, rather than to your heirs, at the end of the term. A grantor lead trust may be useful if you wish to accelerate future charitable deductions.
For people who have significant assets, a CLT offers gift and estate tax relief. For example, a non-grantor CLT has these advantages: (1) you receive a charitable gift tax deduction for the annual trust payments to Marshall School; and (2) the income earned by the trust is excluded from your gross income and is, therefore, not taxable to you (In effect, this produces a reduction of your taxes over the trust term.); and (3) any appreciation in the assets during the term of the trust is not subject to additional gift or estate taxation. As a result, you can pass on to your heirs a larger estate after taxes than would otherwise be possible. You can fund a CLT with publicly traded securities, closely-held stock, income-producing real estate, partnership interests or a combination of these. You can establish a CLT during your lifetime, as a testamentary trust under your will, or through a pour-over from a "dry" trust established during your lifetime.
The foregoing estate planning ideas, descriptions, and illustrations are provided as an educational service and should not be interpreted as financial or legal advice. Please consult your own financial and legal advisors for the plans and instruments most appropriate to your particular circumstances.