A planned gift is a gift that in most cases will benefit Amherst at some future point in time. In return, donors and their families may receive important estate and income tax benefits, and, depending upon their gift, an attractive annual income stream for their life or the life of a secondary beneficiary. Another term commonly used is a deferred gift. Planned gifts can be either revocable or irrevocable.
Revocable gifts are gifts that can be changed by a donor.
Funds are not available to the College until death, so these gifts enable a donor to preserve the potential need for the asset during their lifetime. Yet, because they benefit Amherst in the future and often provide attractive estate tax benefits, they serve as an excellent philanthropic tool. Irrevocable gifts can not be rescinded, and are immediate transfers of assets for the College's use at some defined future point in time, or at the death of the donor or secondary beneficiary. In return, in most cases, the donor will receive an immediate income tax deduction, an annual income stream, and favorable capital gains and estate tax benefits. The College gladly recognizes Amherst as a beneficiary of any externally managed life income arrangements.