Will or Codicil Bequests

Gifts that provide income for a lifetime
(Charitable Remainder Trusts and Gift Annuities)

Transfer Wealth to heirs with Tax Savings
(Charitable Lead Trust)

Gifting Retirement Assets

Gifts of Life Insurance

Hillbarn Heritage Society Enrollment Form

Will or Codicil Bequests
The simple, revocable bequest can provide vital future funding for Hillbarn Theater. A bequest is appealing because it lets you provide for your family after your death, allows you to distribute your assets according to your wishes, can save on estate taxes, and lets you leave a legacy without giving up assets. The following examples are meant to illustrate a variety of bequest techniques. In consultation with your attorney, this language can be adapted to your individual circumstances as a part of an overall estate plan.

Unrestricted Residual Bequest
I give Hillbarn Theater and Conservatory, 1285 East Hillsdale Boulevard, Foster City, California 94404, ______ % of the residue of my estate, to be used by Hillbarn Theater and Conservatory wherever the needs and opportunities are greatest.

Unrestricted Specific Bequest
I give Hillbarn Theater and Conservatory, 1285 East Hillsdale Boulevard, Foster City, California 94404, (the sum of $ ______ ) to be used by Hillbarn Theater and Conservatory wherever the needs and opportunities are greatest.

Unrestricted Contingent Bequest
In the event that ______ predeceases me, I give Hillbarn Theater and Conservatory, 1285 East Hillsdale Boulevard, Foster City, California 94404, ( ______ % of the residue of my estate) or (the sum of $ ______ ), to be used by Hillbarn Theater and Conservatory wherever the needs and opportunities are greatest.

Unrestricted Named Endowment
I give Hillbarn Theater and Conservatory, 1285 East Hillsdale Boulevard, Foster City, California 94404, ( ______ % of the residual) or (the sum of $ ______ ), to establish the John and Jane Doe Endowed Fund, to be used by Hillbarn Theater and Conservatory wherever the needs and opportunities are greatest.

Useful Information to Share with Your Attorney
Hillbarn Theater and Conservatory is a "501(c)(3)" nonprofit corporation. Corporate Name: Hillbarn Theater. Corporate Address: 1285 East Hillsdale Boulevard, Foster City, California 94404. Federal Tax Identification Number: 94-6121747.

May we help? We welcome the opportunity to provide you or your advisers the proper language and gift agreement documents to help you accomplish your specific objectives. By using the correct language and preparing a gift agreement, your wishes are guaranteed to be carried out. Please contact the Development Director at (650) 349-6411 ext 304.

This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.

Gifts that Provide Income for a Lifetime

Variable Income

Charitable Remainder Unitrust
A Charitable Remainder Unitrust (CRUT) allows you to make a gift to Hillbarn, and receive income for yourself and others for life, or for a term of up to 20 years. Then, Hillbarn Theater receives the remainder. It provides maximum flexibility and takes advantage of potential growth in the invested funds. You place assets in the trust, and the trust pays you a set percentage (at least 5%) of the annual value of the trust principal. If the value of the trust principal grows, your annual income from the trust will grow as well. If you create the trust with assets that have appreciated, such as stocks and bonds, it will bypass capital gains taxes.

•Provides income for a lifetime, or a period of years
•Sizable income tax charitable deduction
•Avoidance of capital gains tax if you donate assets that have appreciated
•Reduce future estate taxes
•Professional management of the assets frees you from investment responsibilities
•You can make additional gifts to Hillbarn through the unitrust you established

Fixed Income

Charitable Gift Annuity
A charitable gift annuity is one of the easiest and most popular ways to support Hillbarn and receive a guaranteed annual income. Volatile financial markets and falling interest rates can make it difficult to plan for the future. A charitable gift annuity can be an attractive alternative to consider.

A gift annuity is a contract between you and Hillbarn Theater, backed by the full faith and assets of the Hillbarn. You transfer cash or securities to the Theater, and the Hillbarn pays a guaranteed, fixed annual income to one or two named individuals for life. Then, the funds are available for use by the Hillbarn. The amount of the annuity paid is based on the age of the income beneficiary, or beneficiaries.

You can fund a gift annuity at Hillbarn with as little as $10,000, and you may be able to deduct a portion of the value of your gift. You will also enjoy capital gains tax savings if you fund your gift with appreciated securities. Deferred gift annuities are available for those who don't immediately need the income.

•Lifetime payments for yourself and possibly another person
•Charitable deduction for a portion of the value of the gift
•Part of the annual income is considered a tax-free return of capital
•Capital gains tax savings when you contribute appreciated securities
•Establish with a gift of as little as $10,000

One-Life Gift Annuity Rates

Age		55		60		65		70		75		80		85		90+
Rate	5.5%	5.7%	6.0%	6.5%	7.1%	8.0%	9.5%	11.3%

Rates recommended by the American Council on Gift Annuities, effective July 1, 2004. Two-life rates are lower due to added life expectancy.

Charitable Remainder Annuity Trust
A Charitable Remainder Annuity Trust (CRAT) allows you to make a gift to Hillbarn, and receive a fixed, annual income for yourself and others for life, or for a term of up to 20 years. Then, Hillbarn Theater receives the remainder. You place assets in the trust, and the trust pays you a fixed dollar income (at least 5%) based on the starting value of the trust principal. If trust earnings are less than the payment amount, the balance must be taken out of the trust principal. If you create the trust with assets that have appreciated, such as stocks and bonds, it will bypass capital gains taxes.

•Provides fixed income for a lifetime, or a period of years
•Sizable income tax charitable deduction
•Avoidance of capital gains tax if you donate assets that have appreciated
•Reduce future estate taxes
•Professional management of the assets frees you from investment responsibilities

This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.

Charitable Lead Trust
The Charitable Lead Trust (CLT) provides Hillbarn Theater with a steady income for a term of years or the life of an individual. When the Trust terminates, the trust's appreciated principal goes to your family, usually with substantially reduced gift and estate tax cost. A CLT is essentially the reverse of a Charitable Remainder Trust.

•Can be funded during your lifetime or through your will
•You can immediately support Hillbarn Theater
•Assets can be kept in the family
•Reduces your taxable estate and potential gift taxes

This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.

Gifting Retirement Assets
If you are planning to leave your retirement plan assets to your heirs, did you know that they could be double taxed? Retirement plan assets can be impacted by income taxes, estate taxes and possibly the generation skipping transfer tax at death, significantly reducing the amount received by your heirs. Consider using these funds to support Hillbarn Theater.

•Naming Hillbarn Theater as the primary beneficiary avoids all income and estate taxes
•Partial savings when you give Hillbarn a specific amount before giving your family the remainder
•Naming Hillbarn the contingent beneficiary allows for greater flexibility
•You can provide for both Hillbarn Theater and family members by leaving retirement plan assets to a life income gift, such as charitable remainder trust.

This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.

Gifts of Life Insurance
There are several ways to use life insurance to make a gift to Hillbarn Theater. Hillbarn Theater can be named as owner and beneficiary of an existing policy, or a new policy can be established. Or, you can name Hillbarn beneficiary and retain ownership of the policy.

•Charitable deduction when you name Hillbarn beneficiary and assign the Theater ownership
•Flexibility of naming Hillbarn beneficiary, but retain ownership
•Security for your family by naming Hillbarn contingent beneficiary
•Reduction in estate taxes because proceeds are removed from your estate.

This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.

Hillbarn Heritage Society Enrollment Form

Download Enrollment Form PDF File



To view this PDF file you will need to download Adobe Acrobat Reader. Acrobat Reader is a free download. This information is provided for education purposes only. All donors must consult with and rely exclusively on their own attorneys or other financial advisors for tax and legal advice.