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  • Planned Giving Options

    Bequests and Estate Plan Gifts
    A bequest is a gift from your estate—a transfer of cash, securities or other property made through your estate plans. You may make a bequest to MIT Sloan by including language in your will or living trust, or by making a designation in a qualified retirement plan. A bequest can be for a specific dollar amount, a percentage of an estate, or for all or a portion of what is left after you have made bequests to your family. Some of the advantages of creating a bequest include:

    • You retain control of the gift asset during your lifetime
    • You may modify your bequest if circumstances change
    • Gifts to MIT Sloan from your estate are exempt from federal estate taxes


    Charitable Gift Annuities: Immediate and Deferred Payment

    A charitable gift annuity is a contract between you and MIT. In exchange for your gift of cash or appreciated securities, MIT agrees to pay you a fixed income for your lifetime (or, in the case of a joint annuity, for your lifetime and that of another annuitant). You may choose to have the annuity paid immediately, or defer the income for a specific period of years. The annuity rate is determined by the annuitant's (annuitants') age (ages). Some of the advantages of establishing a charitable gift annuity include:

    • You are guaranteed lifetime payments, backed by the assets of MIT
    • You receive an immediate charitable income tax deduction in the year you establish the gift
    • If using appreciated securities to fund the annuity, you defer capital gains taxes at time of the gift
    • You reduce the size of your taxable estate
    • You designate the use of the annuity remainder for MIT Sloan at the time you establish the annuity


    Charitable Remainder Trusts: Unitrusts and Annuity Trusts

    A charitable remainder trust is a tax-exempt account into which you transfer your gift of cash, appreciated assets or appreciated real property. MIT serves as trustee and manages the investment of the trust assets. MIT will pay the income beneficiary (or beneficiaries) an amount based on 5% of the trust's assets, revalued annually. A charitable remainder unitrust pays, annually, a variable amount based on the market value of the trust assets, whereas a charitable remainder annuity trust pays, annually, the same dollar amount calculated when the trust is established. At the termination of the trust, the remainder passes to MIT to be used for the purpose you designate when establishing the trust. Some of the advantages of establishing a charitable remainder trust at MIT include:

    • You receive quarterly payments for life, and for the life of another if you choose
    • With a unitrust, you enjoy the potential for growth over time
    • You receive a charitable income tax deduction at the time you establish the trust
    • Assets used to fund the trust are removed from your taxable estate
    • You have the investment option to have the trust assets managed and invested in the endowment by MITIMCo, MIT's Investment Management Company (see sidebar).


    MIT is one of a select group of higher educational institutions that has received a private letter ruling from the IRS allowing certain charitable trusts to be invested in its endowment. The ruling provides these trusts with significant diversification and growth potential. Qualified charitable trusts can be invested in nonmarketable securities, or "alternative assets," which are rarely available to smaller investors.