Editor's note: Luther Spaude went to his heavenly home on November 11, 2011. His gifts to Wisconsin Lutheran College continue to make an impact today.
Beloved science and math professor Luther Spaude was the one of the first faculty members called to a new institution, Wisconsin Lutheran College, following in the footsteps of Gary Greenfield, Paul Kelm and Roger Fleming. Having been around the college since its humble beginnings in the mid-1970s, and having witnessed growth in both the physical structure and the student body, Spaude knows how important it is to support WLC.
"I dearly love the school, and if the college couldn't function anymore, that would hit me hard," said Spaude. "I've seen what people's financial gifts have helped Wisconsin Lutheran College accomplish."
Spaude has two Charitable Gift Annuities (CGAs) with the college, having completed the second one in June 2008. "The Lord blessed my wife Ruth and me financially, so we are able to help the college," he said. "The kids are grown, and we have never been spendthrifts."
A CGA is a simple and often convenient way to make a gift. After making a gift of cash, property, or an appreciated, low-yielding stock, the donor receives an annuity payment from the CGA for the remainder of his or her life.
"I think highly of Wisconsin Lutheran College and its professors today, especially after the experiences some of my grandkids had at larger, more impersonal institutions," recalled Spaude. "We started our second CGA to help the college; the financial income is nice, but it's not the primary reason we did this."
To find out if a CGA is right for you, talk to your financial advisor or contact Richard Mannisto '94 at 414.443.8788 or firstname.lastname@example.org">email him.
The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results. Annuities are subject to regulation by the State of California. Payments under such agreements, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department. Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.
A charitable bequest is one or two sentences in your will or living trust that leave to Wisconsin Lutheran College a specific item, an amount of money, a gift contingent upon certain events or a percentage of your estate.
an individual or organization designated to receive benefits or funds under a will or other contract, such as an insurance policy, trust or retirement plan
"I give to Wisconsin Lutheran College, a nonprofit corporation currently located at 8800 W. Bluemound Road, Milwaukee, WI 53226, or its successor thereto, ______________* [written amount or percentage of the estate or description of property] for its unrestricted use and purpose."
able to be changed or cancelled
A revocable living trust is set up during your lifetime and can be revoked at any time before death. They allow assets held in the trust to pass directly to beneficiaries without probate court proceedings and can also reduce federal estate taxes.
cannot be changed or cancelled
tax on gifts generally paid by the person making the gift rather than the recipient
the original value of an asset, such as stock, before its appreciation or depreciation
the growth in value of an asset like stock or real estate since the original purchase
the price a willing buyer and willing seller can agree on
The person receiving the gift annuity payments.
the part of an estate left after debts, taxes and specific bequests have been paid
a written and properly witnessed legal change to a will
the person named in a will to manage the estate, collect the property, pay any debt, and distribute property according to the will
A donor advised fund is an account that you set up but which is managed by a nonprofit organization. You contribute to the account, which grows tax-free. You can recommend how much (and how often) you want to distribute money from that fund to WLC or other charities. You cannot direct the gifts.
An endowed gift can create a new endowment or add to an existing endowment. The principal of the endowment is invested and a portion of the principal’s earnings are used each year to support our mission.
Tax on the growth in value of an asset—such as real estate or stock—since its original purchase.
Securities, real estate or any other property having a fair market value greater than its original purchase price.
Real estate can be a personal residence, vacation home, timeshare property, farm, commercial property or undeveloped land.
A charitable remainder trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create.
You give assets to a trust that pays our organization set payments for a number of years, which you choose. The longer the length of time, the better the gift tax savings to you. When the term is up, the remaining trust assets go to you, your family or other beneficiaries you select. This is an excellent way to transfer property to family members at a minimal cost.
You fund this type of trust with cash or appreciated assets—and receive an immediate federal income tax charitable deduction. You can also make additional gifts; each one also qualifies for a tax deduction. The trust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. When the trust terminates, the remaining principal goes to WLC as a lump sum.
You fund this trust with cash or appreciated assets—and receive an immediate federal income tax charitable deduction. Each year the trust pays you or another named individual the same dollar amount you choose at the start. When the trust terminates, the remaining principal goes to WLC as a lump sum.
A beneficiary designation clearly identifies how specific assets will be distributed after your death.
A charitable gift annuity involves a simple contract between you and WLC where you agree to make a gift to WLC and we, in return, agree to pay you (and someone else, if you choose) a fixed amount each year for the rest of your life.