101 N Union Suite 112 Kennewick, WA 99352 Ph 509.783.3331 Fax 509.783.3091

Q.

Have you done all you can to assure your freedom and independence?

A.

Your freedom and independence are enhanced by your financial stability. A charitable gift to TCRS can help secure your financial future.

Personal freedom and security, perhaps our most treasures resources, require constant, life long planning and effort. Protecting out financial well being and security can be difficult with changing tax laws and returns on many investments.

Fortunately , tax benefits from charitable giving still exist. Such benefits allow us to protect, and even enhance our financial resources while providing the opportunity to reduce our tax burden and support local charities of our choice.

A variety of planned giving options exist which allow donors to choose the one that best meets their needs.

Your tax deductible gift to Tri-Cities Residential Services will make a substantial difference in our ability to serve people with disabilities.

Cash: Gifts of cash are familiar to everyone and represent the most frequent option utilized in supporting worthy causes. Such gifts allow you to reduce your taxable income, while supporting charitable organization like Tri-Cities Residential Services.

Stock: Gifts of appreciated securities or stock can be one of the most advantageous ways of giving. If you have owned the stock you choose to give for more than one year, you may deduct the full, fair market value of the stock as a charitable contribution, and at the same time, you'll by-pass all capital gain taxes.

Real Estate: Gifts of appreciated real estate are like gifts of appreciated stock. Assuming you have owned the property for more than one year, you may count the full, fair market value of the real estate as the amount of your charitable contribution, while avoiding all capital gain taxes.

Insurance: Life insurance is a unique way to give to charity. Small, regular contributions, used by the charity to pay policy premiums, enable you to not only deduct your contribution, but leave a substantial future gift to your favorite nonprofit organization. Another alternative is to give an existing policy which is already paid up and is no longer needed for your families' security, or to assign the proceeds from such a policy to your chosen charitable beneficiary

Personal Property: Gifts of tangible personal property related to the charity's exempt purposes are fully tax deductible at fair market value. Gifts which do not relate to the charity's tax exempt purposes are limited to the cost basis for determining your tax deduction.

Unitrust: The charitable remainder unitrust provides another unique way to give, offering substantial tax savings while providing an annual income to you or your family. Here's how it works: The unitrust is funded with an asset. Appreciated property or securities are usually best. Within the unitrust the assets can be sold (by-passing 100% of the capital gain tax), and the proceeds can be reinvested to produce a higher yield for you or your beneficiaries The income stream (or yield) is a fixed percent (not less than 5%) of the value of the trust, which is valued at least annually. As the value of the trust increases, so does the income pay out, providing a hedge against inflation. Immediate benefits of a unitrust include: (1) A current income tax deduction; (2) By-pass of capital gain taxes on appreciated assets; (3) Usually an increase in income. (There are also a number of long-term future benefits, including wealth replacement!)

Annuity Trust: This is very much like the unitrust. The major difference is that the annuity trust pays a fixed dollar amount (an annuity) based on the initial value of the trust. (This fixed annuity cannot be less than 5% of the initial value of the trust.)

* As with all important financial decisions we encourage you to consult with your professional advisor, or we'll be happy to refer you to one of the local professionals we use who are familiar with planned giving.