This blog post is written by Upper School Counselor Richard Curtis, who recently led a free, six-week class on parenting for members of our community. Curtis explains why “Active Parenting of Teens” was an opportunity for parents to learn from and share with each other what works for them and what doesn’t during the teenage years.
Planned giving involves providing for a future gift to schools through your financial and estate plans. Some examples are listed below on ways to support Landon through these future gifts. For more information, please contact Lucas Metropulos, Director of Major and Planned Giving, at 301-320-1005 or firstname.lastname@example.org.
A named endowed fund can be created at Landon with a gift of $100,000 or more. Perhaps you wish to honor a former or current faculty member, a deceased classmate, or create a fund in your family’s name that will grow in perpetuity. The fund could be designated to support financial aid, professional development, academics, arts, athletics, buildings, or simply unrestricted for Landon to use where needed most.
- Leave Landon in your will
- Give tax-free from your IRA
- Support Landon through life insurance
- Donate real estate to Landon
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.
Why Our Donors Give to Landon!
For me and my family, Landon is a way of life. The school has impacted the Leachman’s dating back to the early 1940s when my Dad was a student. Not only did I get a great education, but the friendships I made have lasted a lifetime. I am so grateful for the experience and thankful as well that my sons Penn ’94 and Jamie ’95 were able to attend Landon. When I moved back to the area in 1977, I reached out to the school to see what I could do to try to give back to a place that meant so much to me. That led to over 40 years of serving in various roles as class agent, Alumni Board President, Co-chair of both Annual Fund and Capital Campaign as well as a member of the Board of Trustees.
Over the last 40 years, growing Landon’s endowment was not a strategic priority as it is today. While the school has received tremendous support in that time, most of the funds were used for operations and key building projects at the time gifts were made. Our campus is the envy of many and you may ask why Landon needs to get serious about our Endowment. To be frank it is among the lowest of our peer schools both locally and nationally. For that reason I decided to make Landon a part of my estate planning.
My love and appreciation for Landon School is immense. I chose to put Landon in my estate plans because I wish for my legacy and impact on Landon students to continue for years to come. After 64 years of working at Landon as a coach and as a teacher, I can honestly say that this school is truly a special place that deserves our support. Go Bears!”
We have one life to make a difference and tomorrow is not guaranteed. Though still young, I decided to join Landon’s 1929 Legacy Society so that my life’s work will extend long past my time on this earth. Landon helped make me the person I am today. The friendships I made at Landon are still the strongest ones I hold today and the network is one I continue to benefit from professionally. The Landon experience does not end at graduation so neither will my contribution.”