However, the donor begins receiving the annuity payment at a future, pre-determined date. Because of compounding between the date of the gift and the first annuity payment, the amount of the annuity payment can be significantly higher and at a much greater rate than of the standard charitable gift annuity. Both can be funded through gifts of stock, cash, or other assets during a donor's lifetime and through a testamentary disposition. The donor is allowed to claim a tax deduction for the estimated portion of the assets that ultimately will go to the ESU Foundation. Life Insurance Life insurance can become a gift of much greater value than the actual money expended when the policy is given to the ESU Foundation, which is named the beneficiary.
Life insurance offers three different giving opportunities.
Second, the donor can name the ESU Foundation as the primary beneficiary of the policy. This results in estate tax savings, but no income tax deduction. Third, a donor can name the Foundation as owner and beneficiary of a new policy and receive an income tax deduction for the amount of the premiums paid. Retained Life Estate A donor may transfer a personal residence or a farm to the ESU Foundation, while retaining the right to live there for life. The donor will be entitled to a charitable income tax deduction for a portion of the appraised fair market value of the property at the time of the transfer.