When the donor dies, the College keeps all remaining assets. The two types of remainder trusts are Unitrusts and Annuity Trusts. Under a basic Unitrust, the donor receives one or more yearly payments equaling a fixed percentage of the value of the asset, which is assessed each year. Under a net-income unitrust, the donor receives only the income earned by the trust, even if the trust earns less than the payout rate. By making Charitable Remainder Trusts, donors can get income-tax deductions and escape capital gains taxes.
Many donors find the trusts an appealing way to prepare for retirement.
Greater privacy in disposition of estate Life insurance can be a convenient and cost-effective means of making a substantial gift for the future of the College. Gift opportunities range from naming the College as owner and beneficiary of a fully paid policy to using life insurance to replace assets given to the College. Under the latter arrangement, the donor makes a significant gift to the College and uses the tax savings to purchase a life insurance policy. The policy will replace the contributed funds for the future of the donor's family. Many companies offer you an opportunity to increase your gift to Rockford College by matching your gift dollar for dollar.