The most popular method for individuals to support Landon continues to be through bequests. These bequests can take the form of gifts of cash, securities, real estate, or other assets through a will. Some choose to leave a designated sum or asset while some decide to leave a percentage of a residuary estate. The value of a bequest to Landon is fully deductible for tax purposes. Below is sample language you can use for your will and also some language you can use regarding designation or not of your future gift. 

“I give, devise, and bequeath the sum of $_________ (or ___% or XYZ asset) to The Landon School, Bethesda, MD….”

 

Endowment, Income Unrestricted:

To be added to the endowment fund of Landon School, the annual income thereof to be used for the benefit of Landon School, in such a manner as the Board of Trustees thereof may direct.

Endowment, Income Restricted:

To be added to the endowment of Landon School, to establish the (name of scholarship or fund), the income from which shall be used for the fund's purpose.

An Unrestricted Use:

To be used in such a manner as the Board of Trustees deem most useful for the general purposes of Landon School, Bethesda, MD.

A Restricted, Current Use:

To be used for (financial aid, faculty salaries, building maintenance, etc.) at Landon School, Bethesda, MD.

A retirement plan, such as an IRA, can be a smart source for charitable giving. Naming Landon as a primary or contingent beneficiary of a retirement plan (e.g. IRA, SEP, 401(k), 403(b), ESOP, etc.) benefits both you as the donor and Landon School.

Below are two tax-efficient options for making a gift from your IRA during your lifetime or through your estate:

Qualified Charitable Distribution (QCD):

If you are 70½ years or older, an IRA charitable rollover gift allows you to direct up to $100,000 tax free to Landon each year from your traditional IRA, which satisfies your required minimum distribution and reduces your taxable income. Contact your IRA custodian to request a direct distribution to Landon School.

* Married taxpayers who meet QCD requirements and file joint returns can donate $100,000 from each spouse’s IRA, for a total of $200,000 annually.

Beneficiary Designation: You can designate Landon School as a primary, contingent, or co-beneficiary of your IRA or other retirement plan. You reduce your taxable estate and avoid income tax, while Landon receives the full amount of the untaxed gift. Simply request a beneficiary designation form from your plan custodian, or bank branch.

 

The income tax burden to individual recipients can be reduced by leaving your heirs assets that have tax-free income (e.g., Roth IRA) or whose basis can be stepped up at your death (e.g., real estate or appreciated securities in a taxable account).  On the other hand, by donating assets such as traditional IRAs and 401(k)s to a tax-exempt public charity, pre-tax monies can be received without paying income taxes.

Landon School can be listed as beneficiary and/or owner of a life insurance policy. By naming Landon as the owner and beneficiary of a life insurance policy, you will receive an income tax charitable deduction and the value of the policy will not be included in your taxable estate. Landon also accepts fully “paid up” policies meaning there are no more premiums to pay.

A gift of real estate can be made outright, through a will, or to fund some type of life income arrangement. The donated property will provide a charitable deduction, transfer the burden and expense of managing the property, and remove a large asset from your taxable estate. You may also wish to consider giving Landon a remainder interest in your home while retaining the right to reside in it for the rest of your life.