Planned Giving

Leave a Lasting Legacy for the Students of Michigan Hillel

Legacy gifts, often referred to as planned gifts or estate gifts, are donations that have the potential to be forever transformative in furthering our mission and supporting our students. Legacy Supporters of Michigan Hillel have made one of the most thoughtful and impactful decisions in ensuring our organization will continue to enhance campus life, embody Jewish values, engage Jewish students, nurture empowered leadership and cultivate community – across the University of Michigan and Ann Arbor.

You may use the form here or below to express your interest in exploring a legacy gift for Michigan Hillel or to share that you have already made estate plans that include Michigan Hillel. Please note: When considering a legacy gift for any organization, it is strongly recommended an estate attorney and/or financial advisor be consulted. For all parties reference, Michigan Hillel’s EIN is 38-6119964.

About Legacy Gifts

Legacy gifts are legal and financial commitments made by one who wishes to make a future gift to Michigan Hillel. There are many different kinds of legacy gifts, as shared below. Some may offer financial and tax advantages to the donor during their lifetime, which a legal or financial adviser will be able to assess.

Common Types of Legacy Gifts:

1. Bequests
A bequest made through a will is the most common type of planned gift, largely because it enables you to make a substantial gift to Michigan Hillel without drawing from your assets during your lifetime. Bequests, which can offer important estate tax savings, may be estate distributions of cash, securities or real estate (note: planned gifts of personal property such as art or books can only be accepted by Michigan Hillel if a written appraisal has already been conducted). The bequest can be structured in several different ways. Traditional approaches to making a bequest include the following:

  • Percentage Bequest: You specify a certain percentage of the total estate be given to Michigan Hillel.
  • Fixed Dollar Bequest: You designate a specific amount of money be given to Michigan Hillel.
  • Residual Bequest: You specifies that, after bequests to heirs and beneficiaries, all remaining assets of your estate be given to Michigan Hillel.
  • Contingent Bequest: You specifies that, if all heirs and beneficiaries named in the will are deceased, your estate be given to Michigan Hillel.

2. Life Income Gifts
A life income gift offers an excellent alternative should you wish to make a significant gift to Michigan Hillel without sacrificing any income from your assets. In some cases, a life income gift can actually increase your income while ensuring a future gift to UM Hillel. Under a life income gift, you transfer ownership of cash, securities, real estate or personal property to Michigan Hillel. You retain lifetime income from the asset transferred, receive current income tax savings, and may avoid capital gains if the asset appreciates in value. Life income gifts include charitable gift annuities, pooled income funds, and charitable trusts.

3. Pooled Income Fund
The Pooled Income Fund allows you to make a gift to Michigan Hillel and also receive regular income throughout your lifetime and/or the lifetime of another beneficiary. The gift is invested along with contributions from other donors and each individual receives a pro-rated share of dividends and interest based on the amount of his/her gift. As the fund grows, income may also increase. All income from the Pooled Income Fund is distributed annually. An initial gift of $5,000 or more is needed to participate in the Hillel Foundation Pooled Income Fund. Additional contributions of $1,000 or more may be made at any time after the initial gift. You will receive an immediate charitable deduction for tax purposes with the amount of the deduction computed by the IRS tax table (based on the age of the income beneficiary and the annual rate of return of the fund).

4. Charitable Gift Annuities
Charitable gift annuities have become increasingly popular with donors who wish to make a significant, long-term gift to Michigan Hillel but also wish to receive an annual income. Many individuals have given funds that were previously invested in CDs to UM Hillel. Should you choose this gift structure, your irrevocable gift will be invested by the Jewish Federation of Metropolitan Detroit (JFMD) for UM Hillel and an annual return, based upon the entire amount of your gift, is given to you for the remainder of your life. Many times, the amount paid from Michigan Hillel exceeds the annual return you receive from previous investment of the funds. Your spouse or child may also be designated to receive payments from the annuity upon your passing. Both deferred and immediate charitable gift annuities (charitable lead trusts) are available. While both structures will result in tax savings for you and an eventual gift to UM Hillel, should you choose a deferred annuity, you will receive higher annual payments. However, if you are over age 70, an immediate payment annuity may make good financial sense for you. Both plans result in significant tax savings on income, capital gains and estate taxes.

5. Charitable Lead Trust
Charitable lead trust is both an income and wealth transfer vehicle, enabling you to transfer income-producing assets to the next generation at a significantly lower tax cost, while also meeting your philanthropic objectives for Michigan Hillel.

6. Charitable Remainder Trust
A charitable remainder trust is a way to create a legacy in your name and receive income from the trust for life or for a term of years.

7. Planned Giving: Life Insurance
Gifts to Michigan Hillel using life insurance may be made in two ways: 1) You may name UM Hillel as owner and beneficiary of either an existing or new policy or 2) You may use life insurance to simply name UM Hillel as the beneficiary of your policy. Since Michigan Hillel does not own the policy, the gift is considered revocable, or without immediate tax savings. However, this type of gift may be eligible for a federal estate tax charitable deduction at the time of your passing.

8. Endowed Funds
Endowments are funds held in perpetuity. The interest they generate annually is used to support programs or projects agreed upon between you and Michigan Hillel. Endowments provide exceptional stability and security for UM Hillel as they help to to guarantee a steady income for supporting our mission. Depending on the program or project you wish to endow, some endowments may be created with a minimum contribution of $20,000, which may be made over three years. Endowments also can be created through a bequest or other forms of legacy gifts. This particular legacy gift lends itself well to being named in your honor or someone near and dear to your heart you wish to recognize.

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