Gift Planning Services Manager’s Minute
Have Planned Giving Resources, Will Travel
The most enjoyable part of my job is the opportunity it affords me to travel to the offices of estate and tax planning professionals throughout the country and share with them the resources offered by Philanthropies. I take great pleasure in associating with likeminded colleagues and learning of your work and your successes. You are wonderful men and women! Your genuine desire to serve others by helping them realize their estate and planned giving goals encourages me to be more like you. Thank you for your good example.
At the conclusion of each visit, I try to leave a new pamphlet or book, or some other tangible item that serves as a lasting reminder to the professional of our visit and discussion. I hope that these visits tell professional advisors that we genuinely care about them and their clients and want them to be successful.
I also hope that as you, and our other Gift Planning Council members, come to know Philanthropies, you will be willing to share your knowledge of our organization with your clients. We are most grateful for your trust. We welcome every occasion when we can share information regarding the fund-raising priorities of the Church and provide you with technical support as you counsel your clients who are considering charitable giving opportunities.
If you would like a visit from a member of our Gift Planning Services team, please let me know! We would like to schedule a time to see you as our travels bring us your direction. Frankly, it may take us a while to visit you if you reside in a remote corner of Alaska or Maine, but we’ll give it our best effort to eventually make it to your location.
Likewise, we would welcome a visit from you when you are in Provo! If you find yourself in Utah on vacation, on business, or dropping a son or daughter off at BYU, please let us know. We would love to have you come by to visit us at our office.
Please shoot me an email at David.Bonner@ChurchofJesusChrist.org. I look forward to hearing from you and, hopefully, seeing you soon!
Brigham Young University Highlight
Discover Brigham Young University's Fundraising Priorities
Since becoming the BYU President, Kevin J Worthen has focused the BYU community, including donors, on the university’s mission. Recently he summarized the outcomes of the mission in two words—inspiring learning—and the phrase is giving momentum to a university-wide effort to lift students. To learn more about BYU and the Inspiring Learning initiative, and how donors can further this great work, visit the BYU Page at philanthropies.churchofjesuschrist.org!
Tax Law Highlights
Significant income tax laws went into effect beginning in 2013. The law providing for qualified charitable distributions directly from an IRA was made permanent at the end of 2015. The following are basic highlights of some of the tax laws, including tax laws enacted at the end of 2017, that may impact charitable giving with the threshold amounts shown for 2019.
- Medicare surtax of 0.9% on earned income (earned income thresholds (these are not indexed for inflation): married filing jointly - $250,000; single - $200,000).
- Medicare surtax of 3.8% on net investment income (modified adjusted gross income thresholds (these are not indexed for inflation): married filing jointly - $250,000; single - $200,000). The tax applies to the lesser of net investment income or modified adjusted gross income in excess of the income threshold.
- Top rate of 20% for most capital gains and dividends (Taxable income thresholds (indexed for inflation): married filing jointly - $488,850; single – $434,550).
- Individual income tax rates are 10%, 12%, 22%, 24%, 32%, 35%, and 37%.
- Standard deduction of $24,400 for married filing jointly and $12,200 for singles (plus additional amounts for those 65 and older and for the blind).
- Cash donations to public charities may be deducted up to 60% of AGI in the year of contribution with a five-year carryover. Donations of long-term capital gain property remain subject to the 30% of AGI limitation with a five-year carryover.
- Payment for the right to buy tickets in university athletic venues is not deductible.
- The unified gift and estate tax exemption amount for 2019 is $11,400,000 per person (this amount is indexed for inflation).
Some of the foregoing tax rules affect gifts of appreciated property more than gifts of cash because the threshold is based upon adjusted gross income or modified adjusted gross income and not taxable income. By donating rather than selling appreciated property, a donor not only avoids the capital gains tax that may otherwise be imposed upon a sale of the property, but the donor also avoids additional AGI from the gain. The lower AGI may favorably impact the amount of the Medicare surtaxes that would otherwise be payable. The foregoing is intended as general information only and is not intended as legal, tax, or other professional advice. Donors and others should consult their own tax advisors for specific legal or tax advice on these matters.
Spotlight on Deborah Dunn
Born and a raised in Utah Valley, Deborah graduated from the University of Utah, majoring in Political Science and with a minor in Japanese. Following her missionary service for The Church of Jesus Christ of Latter-day Saints in the Tokyo North mission, she received a master’s degree in International Relations and Area Studies and then a law degree from BYU.
She spent 16 years in Chicago working at Kirkland & Ellis in the Trusts & Estates Department. With her children approaching junior high and her parents’ health failing, she relocated to Boise, Idaho in 2012. There, she worked at a boutique estate planning firm for five years, before joining Perkins Coie Boise where she works in the Personal Planning Group, focusing primarily on high-end estate planning and family office structuring for national clients. (Read more)
PG Calc Webinar Invitation
Philanthropies broadcasts monthly webinars from PG Calc. These webinars may qualify for continuing education credit. We extend the invitations for any interested GPC members to join us. We hold these at 11:00 a.m. and are often followed by a Q&A session with members of the Gift Planning Services team. We are located at 1450 N. University Avenue in Provo. Here are the upcoming webinars:
- Mar 28 - The Do’s and (a few) Don’ts of Gifts from IRAs
- Apr 25 - Why Donor Advised Funds and Supporting Organizations are a Gift Planner’s Friend
- May 23 - Understanding Your Gift Annuity Program
- Jun 27 - Shifting the Conversation from Cash to Assets
- Jul 25 - The Hidden Code of end-of-life Decisions
Gift Planning Council Conference is Back!
Please save the date for the return of the Gift Planning Council Conference next November. The dates are November 14th and 15th and the conference will once again be held at the Church Office Building in downtown Salt Lake City. Please plan to join us for an uplifting and educational time together!