Gift Planning
Kettering University is prepared to help you plan your gift using charitable giving strategies that will fulfill your philanthropic goals to impact future generations of students. We are equipped to receive and steward planned gifts such as bequests through your Will or Trust, IRA charitable remainder distributions, donor advised funds (DAFs), charitable gift annuities, donation of stocks and appreciated securities, real estate, charitable remainder trusts and charitable lead trusts.
Questions? Please contact the Office of Gift Planning at giftplan@orkexpo.net or 800-955-4464 ext. 9746.
Leaving a legacy with a gift using current assets
Donors also can use current assets described here to leave their mark on Kettering University. Gifting from these types of assets offers donors the opportunity to see the immediate impact of their gift. Frequently, donors use a combination of a gift from a current asset and a gift in their Will or Trust to make a difference in the lives of Kettering students.
IRA
The Consolidated Appropriations Act of 2023 including the Secure Act 2.0 addresses many issues related to retirement planning was approved in December 2022. Since Kettering alumni and friends often make a Charitable Remainder Distribution (CRD) from their IRA to Kettering University, we want to confirm the current tax law for 2023.
- Effective in 2023, 73 years old is the age requirement when one is required to take a distribution from their IRAs, 401(k)s, 403 (b)s, and most other defined contribution plans maintained by an employer for individuals. The minimum age rises in subsequent years – check with your IRA Plan Provider!
What hasn’t changed… If you and/or your spouse are 70 ½ years old, you can each transfer up to $100,000 annually (CRD) to Kettering University and other charities.
- Through the Legacy IRA plan in the Secure Act 2.0, under certain circumstances, you can make a one-time CRD from your IRA in exchange for a life income gift – a charitable remainder trust or a charitable annuity – with Kettering University. This option can only be used ONCE during the lifetime of the IRA owner.
- Because your CRD is pre-taxed income, you will not receive a charitable deduction for tax purposes. However, you may see your adjusted gross income (AGI) reduced because of the transfer.
This is a great opportunity if you want to create a scholarship or improve a lab space with a multi-year pledge.
- Kettering University will recognize you for the value of the CRD.
- For long-term planners, consider naming Kettering University as a direct beneficiary of your IRA. Non-spousal beneficiaries are still required to withdraw the balance of the account in ten years, and it is subject to taxation.
Giving from one’s IRA is easy, but we strongly encourage donors to allow 5-6 weeks for the transfer to the University.
To start the process, click here for a sample letter for a plan provider that notifies the IRA custodian to make a direct transfer of the distribution amount to Kettering University.
Appreciated Stocks and Securities
By donating appreciated stock, no capital gains tax will be due on the appreciation, and the full value of the stock is immediately designated to a Kettering University capital improvement project, scholarship, program or academic area that is important to you. When you itemize, you can deduct the full value of the stock even though you did not pay capital gains tax on the appreciation. So, if you have the opportunity to choose between making a gift of cash and a gift of appreciated stock, a gift of stock may be a better choice since you will avoid the capital gains tax that would be due if you sold the stock.
Your gift can help build state-of-the art facilities, create a student scholarship to help offset tuition, strengthen our pre-college programs and more. The Kettering University Office of Gift Planning is available to assist you with arranging the transfer to the University that will help smart young people meet their objective for a brighter future—a Kettering degree.
IMPORTANT: The University is working with a new financial services firm. For the new account information, please contact us toll-free at 800-955-4464 or giftplan@orkexpo.net so that we can ensure your stock donation is transferred smoothly to the University.
Retirement Plans
Donate your remaining retirement plan assets directly to the University by making Kettering University a direct beneficiary of your 401(k), 403(b) or other account or to a Charitable Remainder Trust. A gift through a Charitable Remainder Trust maximizes your heirs’ inheritance while benefiting Kettering.
Life Insurance
If you transfer ownership of a life insurance policy with a cash value of $10,000 or more, Kettering University will immediately benefit from your generosity. Make a large future gift with little cost and receive current (and possibly future) income tax deductions by transferring ownership of your policy to Kettering.
Donor Advised Funds (DAF)
Recommend a current gift to Kettering from your Donor Advised Fund. Create a legacy by naming Kettering as a beneficiary when the DAF is dissolved.
Real Estate and/or Personal Property
Current or future gifts of residential, commercial, farm or undeveloped real estate, books, artwork or equipment will provide the donor with a charitable deduction based on the appraised value of the item(s).
Business & Partnership Interests
Business Interests
Give Kettering an interest in a closely held or family business.
Partnership Interests
Transfer an interest in a Family Limited Partnership (FLP) or Limited Liability Company (LLC). Please contact your attorney for more information.
Your donation of appreciated stock = no capital gains + a charitable deduction
Giving appreciated stock held for more than one year to Kettering University means:
- You don’t pay capital gains tax on the appreciation
- You can deduct the full value of the stock when you itemize
- Your gift can provide a scholarship, renovate a lab/classroom, expand the outreach of a pre-college program (AIM, LITES) or help build state-of-the-art facilities like the Learning Common.
It can also be a smart tax strategy for you.
For instructions on donating appreciated stock or mutual funds, click here.
Important: Please note it may take up to five business days for your stock donation to transfer to the University account. For more information, contact us toll-free at 800-955-4464, ext. 9746, or email giftplan@orkexpo.net.
Why you need a Will
Do you have a Will? For several reasons, you should have one even if you think you don’t. Many people mistakenly believe a will is not necessary because:
All of my assets already have a beneficiary: But, what if that beneficiary dies before you? What if that beneficiary has marital, drug or alcohol problems? What if that beneficiary is receiving government benefits? The truth is, if the beneficiary dies before you, the money may not go where you want it to—a Will or Trust can determine a contingent beneficiary. A Will or Trust can protect money from beneficiaries with problems so they are not handed a lump sum of money. And a Will or Trust can protect a beneficiary’s government benefits.- “They” will figure it out: Leaving your family to deal with your estate presents the probability of family disagreements. A Will or Trust eases the estate process for your family and protects your loved ones while distributing your assets as you would like to see them distributed: to family, to friends, and to support your favorite charities.
- “I’m too young/old” or “it’s hard to think about it”: If you are over the age of 18, you need a Will now. Life happens—marriage, children, divorce, illness, accidents. Protect your assets and your family now. If you have minor children, you can name the person who will take care of your children as the guardian. If you don’t have a Will and have minor children, the court will appoint a guardian.
What should I know before going to an attorney? What kind of attorney should I look for? An attorney that specializes in estate planning can handle all the documents for you, including medical and financial powers of attorney. You will want to consider who you choose as a guardian of minor children, who the personal representative (executor) of the estate should be, and how you want your assets distributed through your estate to family, friends, and charities. An estate planning attorney will walk you through all these topics.
For more information on planned giving, contact the Kettering University Office of Advancement at giftplan@orkexpo.net.
Planned giving contact information
To learn more about naming opportunities available in the Learning Commons or other University priorities, please contact us at 800-955-4464, ext. 9746, or email giftplan@orkexpo.net
Leaving a legacy with a gift from your Will or Trust
Leaving a bequest in a Will or Trust to Kettering University can shape your legacy by helping provide a Kettering education to future generations of students. We invite you to join other alumni in our Heritage Society, a donor society recognizing alumni and friends who make a planned gift to the University.
Different types of a bequest
Fixed Amount
A fixed amount involves a gift of a specific asset such as real estate, a car, other property or a gift for a specific dollar amount. For example, you may consider leaving a set amount (i.e., $50,000) to Kettering University, or you may leave your home, other real estate or other tangible asset to Kettering University. (Note: Kettering University policy is to sell properties upon receipt, with the proceeds given to the University.)
Percentage Bequest
Rather than leaving a fixed amount/asset, you may decide to give a specific percentage of your estate to the University. This can be in the form of leaving a percentage of your estate valued at the time of your death or a percentage of your residual estate (after other specific bequests have been honored). For example, you may wish to leave 10% of your overall estate to Kettering University that, at the time of your gift, is valued at $100,000.
Contingent Bequest
By listing Kettering University as a contingent beneficiary, your gift will go to the University after a certain event occurs (i.e., the death of a spouse).
What is a Bequest?
A bequest is a gift in your Will or Trust to Kettering University, and it is exempt from federal estate taxes. You can designate it to the Kettering Gift Fund (a discretionary fund available for the University to move forward with unanticipated opportunities) or a specific purpose, such as a student scholarship, research or faculty support.
How can we help?
Make a bequest through a Will or a Trust, through current assets or both to leave a legacy at Kettering University. Let us know what option works best for you and your family. We are happy to work with you, your attorney, and/or financial planner to help you identify ways to give and meet your philanthropic objectives.
Questions?
Contact us at 800-955-4464 ext 9746 if you have any questions about gift planning.
Tax ID number
38-2410852