For more than 30 years, Mercy Corps has worked to alleviate suffering, poverty and oppression by helping people build secure, productive and just communities. During that time, our donors have responded to our work around the world with extraordinary generosity and commitment.
There are a variety of ways you can create a legacy by making a gift to Mercy Corps. The following gift plans can enhance your financial and estate planning while providing an immediate or deferred gift to Mercy Corps. We hope you find this information helpful as you make your charitable decisions, and we encourage you to contact us with any questions.
Gifts of Stock
Making a charitable gift of stock held for more than one year provides increased tax benefits. Your charitable income tax deduction is based on the fair market value of the stock and you bypass any capital gains tax. Keep in mind, that mutual funds can be donated as well. Click here for more information and gift instructions.
IRA Charitable Rollover
The American Taxpayer Relief Act of 2012 permits IRA owners, age 70½ and older, to make a qualified charitable distribution of up to $100,000 during calendar year 2013. The IRA rollover is not included in taxable income so there is no income tax deduction. The IRA rollover does qualify for the IRA owner’s required minimum distribution. If you intend to support Mercy Corps with a qualified charitable distribution, please contact Rick Downey so a confirmation letter can be sent to you.
Gifts of Real Estate
When you donate real estate to Mercy Corps, you receive a charitable deduction based on the fair market value and avoid any capital gains tax. In addition, real estate can be used to fund a gift that pays you an income, described below.
When you sell property, such as real estate, to Mercy Corps for less than market value, it is considered a bargain sale. You receive cash and a charitable deduction for the difference between the sale price and the market value of the property.
Gifts that pay you income
Charitable Gift Annuities
A charitable gift annuity is a contract between you and Mercy Corps. In return for a gift of cash or stock, Mercy Corps agrees to pay you a fixed income for life, based on your age. Mercy Corps follows the annuity rates suggested by the American Council of Gift Annuities. You will receive an immediate income tax charitable deduction and part of the income may be tax-free. The gift annuity is attractive to our older donors who wish to increase their spendable income while supporting our work. Gift annuities can benefit one or two people.
Deferred Gift Annuities
A deferred gift annuity operates the same way as an immediate payment gift annuity except the annuity payments begin at a future date determined by the donor at the time of the gift. For a deferred gift annuity, you must defer income for a minimum of one year. The deferred gift annuity appeals to donors who wish to make a gift now and supplement future income, for instance, at retirement.
Charitable Remainder Trusts
Charitable Remainder Trusts (CRTs) can be a very powerful planning tool for retirement and estate planning. CRTs provide payments to the donor or other designated beneficiaries for life or for a specified time period. At the end of the term, the remaining principal is distributed to Mercy Corps. CRTs offer four favorable tax outcomes: capital gains tax avoidance, income tax deduction, tax-free compounding, and estate tax reduction.
Our gift calculator helps you to evaluate numerous deferred giving opportunities by typing in your specific information. Try it now. Please keep in mind that our staff can also provide personalized illustrations to show the income flow and tax benefits for any gift.
Estates and Bequests
A gift through your will or living trust is a simple but significant way to remember Mercy Corps. You may designate Mercy Corps as beneficiary of a specific dollar amount, specific asset, or percentage of your estate. Click here for a PDF file containing suggested bequest language. If you have included Mercy Corps as a beneficiary of your estate, please let us know so we can thank you through the Giron Legacy Society, explained below.
You can name Mercy Corps as the beneficiary of your pension plan or Individual Retirement Account (IRA). Using retirement plan benefits to make testamentary gifts is a smart tax-wise gift, as Mercy Corps receives 100 percent of the gift due to its tax-exempt status. Conversely, an individual may receive as little as 30 percent from a retirement plan gift because of income and estate taxes.
Mercy Corps can be named the primary or the contingent beneficiary of your life insurance policy. Life insurance can be used to make a large gift at little cost. Some donors find that their policy is no longer needed for the reason it was originally purchased and use it to benefit a favorite charity.
Giron Legacy Society
In 1982, Mercy Corps recruited a bright, charismatic Guatemalan pediatrician named Oscar “Tito” Giron to establish a village health program in neighboring Honduras. He was one of Mercy Corps' first employees, and he often rode his small motorcycle back and forth between villages to treat his patients. Dr. Giron was passionate about his work, and said he became a pediatrician “because I believe children are the hope and the future of the world.”
Dr. Giron died in selfless service to others; he was a victim of Honduras' political unrest. Today, Mercy Corps honors his commitment and devotion to the humanitarian cause through the Giron Legacy Society. Established in 2003, the Giron Legacy Society recognizes our donors who have named Mercy Corps a beneficiary of their estate or made a planned gift such as a gift annuity or charitable remainder trust. Please let us know if you have included Mercy Corps as a beneficiary of your estate. Click here to become a Giron Society Member.
For more information
Rick Downey, CFRE
Planned Giving Director
Contact Rick ▸
Please contact us to learn more about planned giving opportunities with Mercy Corps. We look forward to answering your questions. Personalized illustrations can be prepared to show you the income flow and tax benefits for any gift.
This guide is not intended to provide specific advice about your estate plan or to recommend a specific course of action. We encourage you to consult your professional advisers before taking any action.