- By making the Foundation the owner and beneficiary of the life insurance contract, you can take a deduction for the ongoing premium payments as you make them.
- Either cash or publicly traded securities may be used to make premium payments.
- You can also receive tax benefits if you make a gift of a paid-up life insurance contract.
- Alternatively, you can remain the owner of a contract and name the Foundation as partial, sole or contingent beneficiary of the life insurance death benefit. No income tax deduction will result, but the gift will create a charitable deduction for your estate.
One Donor's Story
The Donors
A Florida couple in their 30’s was committed to charitable causes involving animal welfare. They did not have a large estate, but had the ability to make gifts for insurance premiums now to create a larger gift in the future.
Their gift
They made the Foundation owner and beneficiary of a $50,000 life insurance contract, which made their annual premium payments tax deductible.
After their deaths, two donor advised field of interest funds will be created: one to benefit socially responsible care of domestic animals, and one to benefit wildlife and the natural environment.
