More than four decades ago, Special Olympics invited the world to let go of limiting views, prejudices and misconceptions about people with intellectual disabilities and embrace the idea that they can be respected, valued, contributing members of society. Today, the Special Olympics movement embraces more than 3.7 million athletes who train and compete in 32 Olympic-type sports. There are currently 229 Accredited Special Olympics Programs in 170 countries around the world. Special Olympics Wyoming is currently serving 1200 athletes throughout our state.  And, while it has been able to improve the lives of those many athletes, the Special Olympics movement has touched just a small percentage of the estimated 190 million people around the world with intellectual disabilities.  There are an estimated 8,000 people with intellectual disabilities in Wyoming alone.

A thoughtfully planned estate gift can help us reach those who haven't had the opportunity to develop physical fitness, demonstrate courage and experience joy through participation in our program. The effect of your gift will go well beyond the ball fields and playing courts, however. Your influence will extend into classrooms, family rooms and work environments, where our athletes — because of their participation in Special Olympics Wyoming — have become more effective and productive family members, employees and students. Your contribution can significantly advance our mission.

Making charitable contributions is an art — a creative process that adapts to the changing needs and wishes of the donor. Planned or legacy giving is an increasingly popular way for individuals of all financial circumstances to make charitable gifts, enabling a donor to arrange charitable contributions in ways that maximize his or her personal objectives. Indeed, there are a variety of plans designed to ensure a gift will be put to the best possible use and fit the donor's financial needs and objectives. We are pleased to outline several opportunities you may wish to consider as you plan your own charitable gifts.

Donor Benefits

Private philanthropy is the foundation of almost every nonprofit organization, including Special Olympics Wyoming. To preserve the memory of a loved one, to fulfill a moral obligation, to express gratitude for a service well-performed, to demonstrate deep-felt humanitarian concerns — these are some of the reasons hundreds of thousands of people each year contribute to charitable organizations.

Depending on the country, the asset given and the gift arrangement selected, a donor can generally expect to obtain some or all of the following benefits:

• Fulfill personal philanthropic goals
• Reduce income tax through a deduction for the gift
• Avoid capital-gain tax on gifts of long-term appreciated property
• Retain a stream of payments for life for the donor and for other beneficiaries
• Eliminate federal estate tax on property passing to charity upon the donor's death
• Reduce costs and time in estate settlement

Kinds of Gifts

There are many ways to make a planned gift. The most popular gifts include naming Special Olympics Wyoming as a beneficiary in a will, making Special Olympics Wyoming the owner and beneficiary of a life insurance policy, making a gift of tangible personal property (such as a work of art) or real estate. One very popular gift vehicle, the charitable gift annuity, provides lifetime income payments to the donor in return for a gift of cash or marketable securities.

Generally, gifts fall into two categories: outright gifts and deferred gifts.

Outright Gifts

Outright gifts are available immediately for use by Special Olympics Wyoming. The gift can be used or sold for cash. Examples of such gifts include cash, securities, real estate, tangible personal property and paid up life insurance policies.

Cash

Cash is the simplest, most direct, and most popular type of charitable gift to Special Olympics Wyoming. In the United States, a gift of cash is tax deductible and because of that fact, the net cost of the gift to the donor can be much less than the actual amount of the gift. To make a gift of cash, please

...or mail your check, payable to Special Olympics Wyoming to this address:

Special Olympics Wyoming
232 East 2nd Street

Suite 201

Casper, WY 82601

Telephone:
1 (307) 235-3062
Outside of Casper — 1(800) 735-8345
Fax: 1 (307) 235-3063

Employer Identification Number (EIN): 23-7418345

Securities and Real Estate

Popular alternatives to cash are gifts of appreciated property, such as securities and real estate. Such gifts generate a double tax benefit. In addition to receiving an income-tax charitable deduction for the full fair-market value of the property, the donor escapes any potential tax on the capital-gain element in the gifted property. To qualify for this double tax benefit, the property must have been held for more than one year.

Sometimes family considerations do not permit the making of an outright gift. This is often the case when the gift is a personal residence or farm. Instead, the donor may consider a gift of a remainder interest in the property. In that situation, the donor retains the right to possess and enjoy the property while obtaining a current income-tax deduction for the present value of the charity's remainder interest.
     

Tangible Personal Property

As with gifts of securities or real estate, a donor is entitled to a charitable deduction for gifts of tangible personal property, such as works of art, rare books, or stamp or coin collections. If the use of the contributed property is related to the exempt purpose of Special Olympics Wyoming (e.g. sports equipment), the donor is entitled to a charitable deduction for the full fair-market value of the property (subject to the 30% ceiling and carryover rules).
     

Deferred Gifts

Deferred gifts are not available for use by Special Olympics Wyoming immediately. Usually, they become available only after the death of the donor, or for certain trusts, after a period of years. Examples of such gifts include bequests, life income arrangements (gift annuities, charitable remainder trusts, charitable lead trusts, etc.) and life insurance. Deferred gift vehicles provide donors the opportunity to help ensure the future of our movement.
     

Bequests

A bequest is the most common form of planned gift. A bequest is actually the element of a person's will that speaks to the making of a charitable gift. Bequests enable individuals to make significant gifts that they may not have been able to make during life. Bequests can take many forms and specific language requirements do exist.

Many people have found the bequest to be an excellent way to make a meaningful charitable gift. Effective planning permits virtually anyone to realize the personal satisfaction that comes from making a bequest gift, a gift that can be made without jeopardizing the financial security of the donor's family.

To memorialize their philanthropic interests, individuals may use different kinds of bequests. The choice depends on each person's unique circumstances and personal and financial objectives.

A specific bequest identifies particular assets to be gifted, while a general bequest provides a sum certain as the subject of the gift. A percentage bequest expresses the gift as a percentage of the total estate, regardless of size. This bequest provides more flexibility in a volatile market.

It is also possible to make a gift of what is left after taxes, debts, expenses and other bequests have been satisfied (a residual bequest), or the gift may be conditioned on the occurrence of some event, such as an intended beneficiary predeceasing the donor (a contingent bequest). In addition to the personal satisfaction of making a philanthropic bequest, there are definite federal estate-tax benefits. An estate-tax charitable deduction is allowed for the full value of the gift.

If you would like your gift to be used where it is most needed in the United States and around the world, please use the following language to ensure that your gift will be distributed as you intend:

I give, devise, and bequeath_____percent of the rest, residue, and remainder of my estate (or the sum of dollars $____) to Special Olympics Wyoming for its unrestricted use and purpose.

Our address:    

Special Olympics Wyoming
232 East 2nd Street

Suite 201

Casper, WY 82601

Telephone:
1 (307) 235-3062
Outside of Casper — 1(800) 735-8345
Fax: 1 (307) 235-3063

Employer Identification Number (EIN): 23-7418345

Life Income Arrangements

A life income arrangement can allow a donor to make a substantial gift to Special Olympics Wyoming while still providing for the individual's financial needs. There are several types of such plans, all of which combine lifetime payments for one or more beneficiaries designated by the donor with a gift to Special Olympics Wyoming. These plans are attractive to many donors because they offer substantial tax benefits and may increase cash flow to the donor or other beneficiary, depending on the asset contributed. Life Income Arrangements include charitable gift annuities, charitable remainder trusts, and charitable lead trusts.
     

Charitable Gift Annuity

The charitable gift annuity is among the oldest, simplest and most popular of the charitable life income arrangements. In exchange for a transfer of cash or marketable securities, Special Olympics Wyoming contractually guarantees to make specified annuity payments to the donor and/or another beneficiary. The payment rate depends on the age and the number of beneficiaries. Some state restrictions may apply to gift annuities.

Payments may begin immediately or, with a deferred gift annuity, at a set time in the future — at retirement, for example. This type of annuity is attractive to donors who have a high current income and who are interested in augmenting potential retirement income on a tax-favored basis.

Charitable Remainder Trust

The charitable remainder trust is a popular plan because of the financial and estate-planning flexibility it offers. A donor transfers property under a trust agreement that specifies how trust income and principal are to be distributed, and the trust may be created to become effective during life or at death. This trust is similar to the charitable lead trust, except that a charitable beneficiary receives the remainder interest.

A charitable remainder trust can provide financial security for the donor and the beneficiaries while generating significant federal estate-tax savings.

To qualify for favorable tax treatment, a charitable remainder trust must be in the form of either an annuity trust or a unitrust.

The annuity trust provides for payment of a fixed dollar amount annually — or at more frequent intervals — to the designated beneficiary or beneficiaries. The amount must equal at least 5% of the initial fair-market value of the trust.

The unitrust provides for payment of a variable amount — equal to at least 5% of the value of the trust as it is revalued each year — at least annually to the designated beneficiary or beneficiaries.

Both the annuity trust and the unitrust provide that at the death of the last beneficiary the trust principal is distributed to charity. The key difference is that payments from an annuity trust are fixed and do not change even though the value of the trust may change. Payments from a unitrust, however, fluctuate according to changes in the value of the unitrust.
     

Charitable Lead Trust

The lead trust is different from the remainder trust in that the charity receives the income payments from the trust for a given number of years rather than the donor's beneficiaries. Also, at the end of the trust term, the assets of the trust are returned to the owner or his or her designee. This allows the transfer of assets to heirs while greatly reducing gift taxes. This vehicle is used many times to transfer assets to children and grandchildren. Again, the trust must be in the form of either an annuity trust or unitrust.
     

Life Insurance

While most people own some form of life insurance because of its unique ability to meet a variety of needs for financial protection, its role in planned giving is frequently overlooked. Life insurance itself can be the direct funding medium of a gift, permitting the donor to make a substantial gift for a relatively modest annual outlay. Insurance can also replace the value of an asset given to Special Olympics Wyoming.

Life insurance allows a donor to make a substantial gift on an installment basis by making a series of modest payments, and a gift of life insurance is certain, the proceeds are paid promptly, without going through the time-consuming process of probate. Depending on the arrangement of the gift, life insurance can create a number of favorable tax consequences.
    

For More Information or Assistance

Our address:    

Special Olympics Wyoming
232 East 2nd Street

Suite 201

Casper, WY 82601

Telephone:
1 (307) 235-3062
Outside of Casper — 1(800) 735-8345
Fax: 1 (307) 235-3063

Employer Identification Number (EIN): 23-7418345

**** Note****
Some of this material was provided on behalf of Special Olympics by Pentera, Inc., which is solely responsible for that content. None of this material is intended to constitute legal or tax advice. For advice and assistance in specific cases, the services of an attorney or other professional advisor are recommended.