The Episcopal Academy has relied for more than two centuries on the generosity of alumni, parents and friends of the school. For your convenience, we list here a brief directory of the kinds of gifts you can make to the Ever Episcopal Campaign. We will be glad to talk with you to help you plan the best way to make a gift—one that addresses your particular situation while providing immeasurable benefits to future generations of Episcopal students who will be the ultimate recipients of your generosity.

Immediate Gift Options
• Gifts of cash.
• Gifts of marketable securities.
• Gifts of real estate.
• Charitable lead trusts.
• Gifts of other assets such as closely held stock, insurance policies and tangible property.

Deferred Gift Options
• Life income gifts such as charitable gift annuities, pooled income funds, and charitable remainder trusts.
• Bequests.
• Gifts of tax-deferred retirement plans.

Gifts of Cash

Traditionally, a majority of the gifts made to Episcopal come in the form of cash. For federal income tax purposes, you may deduct up to 50 percent of your adjusted gross income for gifts of cash and may carry any amount over that figure forward for up to five additional years. Checks should be made payable to The Episcopal Academy.

Gifts of Marketable Securities

A gift of appreciated securities (stocks, bonds, or mutual fund shares) that you have held for more than one year is frequently the most economical way to give. You will be eligible to take a federal income tax deduction equal to the fair market value of the security on the date of the gift for up to 30 percent of your adjusted gross income with a carry-over of any excess for up to five additional years. You will not have to recognize the appreciation as capital gain.

You can transfer securities in two ways:

• Your broker may electronically transfer ownership of the stock to Episcopal’s account at Janney Montgomery Scott, Account Number 8491-8261, DTC 0374. Please alert the Development Office at 484-424-1785 of your intention to transfer securities, including the security name and the number of shares.
• If you hold the certificates, you may mail them and a signed stock power to Episcopal in separate envelopes.

Call the Development Office at 484-424-1785 for personal assistance in transferring securities.

Gifts of Real Estate

Appreciated marketable real estate is another asset with which you may make a significant gift to Episcopal. A gift of real estate will entitle you to a federal income tax deduction equal to the fair market value of the property. You will need to substantiate this value with an independent appraisal. You may take this deduction for up to 30 percent of your adjusted gross income and any excess over that amount you may carry over for up to five additional years.

A personal residence, farm, land, or vacation property offers a special giving option. You may give your personal residence or farm to Episcopal while you retain the right to remain in and maintain the home or farm for life. This type of gift entitles you to an income tax charitable deduction equal to the market value of the property minus the expected benefit of use based on your age.

You may also want to give a partial ownership interest in real estate. Episcopal would receive the proceeds of an eventual sale of the property based on its percentage ownership. You do not pay capital gains tax on the portion given to Episcopal, and you are entitled to an income tax deduction based on the market value of Episcopal’s interest.

Because of the unique nature of real estate gifts, we would need to review your gift intentions to the members of Episcopal’s Gift Committee and get their approval in advance.

Charitable Lead Trust

You may create a charitable lead trust which allows you to make a gift of income by funding a trust with marketable securities and designating Episcopal as the income beneficiary for a specified period of time.

At the end of that time, the principal of the trust either returns to you or passes to persons you select. This type of trust, depending upon its provisions, generates differing income tax deductions and may present the opportunity for gift tax or estate tax savings as well.

Gifts of Other Assets

Gifts to Episcopal can come in the form of other assets as well. For example, you may wish to consider gifts of closely held stock, of tangible personal property, or of life insurance. If you own a business and are considering selling, a gift of highly appreciated closely held stock might give you significant tax advantages.

Gifts of tangible personal property such as art, antiques, musical instruments or other items would be welcomed.

A fully-paid life insurance policy is another asset you may want to give Episcopal by making the school the owner and beneficiary of the policy.

A gift of any of these assets will entitle you to an income tax deduction, which you may deduct for up to 30 percent of your adjusted gross income, with a carry-over of any excess for up to five additional years.

Life Income Gifts

All gifts, of course, help Episcopal move forward. While this alone is reason enough to give, certain gifts, such as life income gifts, also offer tangible benefits to the giver.

You may make a gift to Episcopal and retain the income from the gift with the following advantages:

• Income for life for the donor and/or other beneficiary, such as a spouse or other family member.
• Federal income tax deductions for a portion of the current value of the gift.
• Elimination or deferral of tax on long-term capital gains if the gift is in the form of securities or property that have appreciated in value.
• Increased income if a gift is made with low-yielding securities.
• Tax-free income if the gift is to a trust holding municipal bonds or to a gift annuity agreement.
• Professional investment management, overseen by The Episcopal Academy Finance and Investment Committees, without fee to the donor.

Life income gifts may take one of the following forms:

Charitable Gift Annuity
You, or another designated beneficiary, can receive a fixed income for life by purchasing a gift annuity with cash or marketable securities. Episcopal manages all annuity agreements and sends you income on a quarterly basis. Call Episcopal at 484-424-1785 for current income rates.

Pooled Income Fund
If you make a contribution to Episcopal’s Pooled Income Fund, you will be entitled to receive the ordinary income earned by the fund on a quarterly basis for life. You may contribute to the Pooled Income Fund with cash or marketable securities.

Charitable Remainder Trust
You may establish a separately invested charitable remainder trust and receive either a fixed income (called an annuity trust) or an income that is based on an annual revaluation of the trust (called a unitrust). The income interest may last for life or a term not to exceed 20 years.

You may fund a standard unitrust with cash and marketable securities. A special type of unitrust, called a net income unitrust, can be established with real estate or other illiquid property.

Bequests

You may make a gift to Episcopal by designating the school as a beneficiary in your will. You may specify that a percentage of your estate, an exact dollar amount, a particular asset, or a portion of your residuary estate be given to Episcopal.

All those who make such provisions, and inform Episcopal, will become members of the Bishop William White Society and will be recognized in the final Ever Episcopal Capital Campaign report. Bequests actually received during the campaign will be credited toward the campaign goal.

Gifts of Tax-Deferred Retirement Plans

You may want to name Episcopal as the beneficiary of all or a portion of your tax-deferred retirement plan(s) or tax-deferred compensation. These plans include qualified retirement programs such as IRAs, 401K plans, and defined contribution retirement plans as well as nonqualified plans, such as deferred compensation arrangements.

Making Episcopal the residuary beneficiary of these plans at your death is the most tax efficient gift to the school that you can make. It will save your estate both the income tax due on these funds as they flow into the estate, and the federal estate taxes. Designating Episcopal as the residuary beneficiary does not limit your ability to withdraw and use these retirement funds as you need them during your lifetime.

Pledges

We encourage you to confirm your intention of giving to the Ever Episcopal Campaign in writing—either by means of an Ever Episcopal Campaign pledge form or a letter—so that we can credit your gift to the campaign. Pledges of $5,000 or more may be paid over a five-year period.