Anyone ever created a note to donate to charity? - Posted by Lisa in Oz

Posted by soapymac on June 09, 2000 at 12:06:51:

may put my reply in the wheelbarrow that’s going to the compost pile, but…

generally speaking, the charity SHOULD have the expertise to be able to service the note (or let a bank do it for them.)

The other matter is that when you make a donation, are you doing it for the love of the organization and you want to support it…or…are you doing it to be a good corporate citizen and looking for a tax benefit also?

When I was in the insurance industry some time back, there were individuals who wanted to give money to a charity at their death. The policy was written on their life, funded by them, with THE CHARITY AS OWNER. Their premium payments were then considered as a charitable contribution…hence, deductible.

How this would apply in your instance? Check with your solicitor and your accountant, but I believe if you took THE VALUE of those note PAYMENTS and purchased a life insurance policy using those payments as the premium amount, you may have the best of both worlds…control of the note, a deduction for taxes, and a stepped-up amount of money for the charity at your death.

Nice idea, if you are in a position to do it.

Cordially,

Roy MacLean
"soapymac"

Anyone ever created a note to donate to charity? - Posted by Lisa in Oz

Posted by Lisa in Oz on June 08, 2000 at 18:13:47:

I’m thinking of handing over one or two notes a year to my favorite charity. Anyone ever done this? Pros/Cons?

Thanks,
Lisa in Oz

Re: Anyone ever created a note to donate to charity? - Posted by Ron Waters

Posted by Ron Waters on June 09, 2000 at 23:43:56:

Lisa, ever try a charitable annuity? A Life insurance company I work for has such an animal. I’m not sure of your location but it is available in most States, I’m from Kentucky. They will send monthly checks out of this annuity while paying you a 10 % Bonus. Got questions? tell me where to send the info…Ron