Options for Your Clients

The Santa Barbara Foundation is able to offer your clients a variety of ways to support their passions and interests. We are happy to partner with you to determine how your clients will reach their philanthropic goals, now and in the future.

Deferred Assets

Gift by Will or Living Trust

Including a charitable bequest in your client’s will is a simple way to make a lasting gift to the community. When your clients make this gift through the Santa Barbara Foundation, they establish a special fund that benefits the community forever and becomes their personal legacy of giving.

IRA or Qualified Plan

At death, balances in individual retirement accounts and retirement plans are included when figuring estate and income taxes to your beneficiaries -- often up to 85%. Funding a charitable bequest with an IRA or retirement plan prevents the bequest from becoming a liability of your client’s estate, and the gift is made with pre-tax dollars.

Charitable Gift Annuity

A Charitable Gift Annuity (CGA) is an attractive option for a person who wishes to generate a secure stream of lifetime income, reduce taxes, and help the community with a charitable gift.

In exchange for an irrevocable gift of cash or stock, the Foundation will pay one or two annuitants a fixed income for life based on rates set by the American Council on Gift Annuities.

Additionally, your client will receive a charitable income-tax deduction in the year the gift is made. Upon the death of all annuitants, the remaining principal will go to the charity of your client’s choice or to a fund within the Foundation.

Charitable Remainder Trust

A Charitable Remainder Trust (CRT) permits your client to make a gift and receive an income in return. Through the Santa Barbara Foundation, your client can establish a fund with the trust assets. We receive the assets at the end of the trust’s term and provide ongoing stewardship of your client’s charitable wishes.

There are additional benefits to this option if your client uses appreciated assets to fund the trust, as your client will not be subject to capital gains taxation. Your client will also be entitled to an income-tax charitable deduction.

Charitable Lead Trust

A Charitable Lead Trust (CLT) is the reverse of the Charitable Remainder Trust. The CLT distributes income to a charity for a period of years or throughout your client’s lifetime with the assets returning to your client, or more typically, to family members. The CLT allows your client to make a significant gift to charity and transfer assets to family members with reduced or no gift and estate taxes.

Gifting Current Assets

Cash and Credit Card

A gift of cash is, of course, the easiest method. Your clients can donate online.

Stocks

If your clients choose to sell highly appreciated stock, they will pay a capital gains tax on the increased value of the stock. When they give that stock to charity, however, they pay no or reduced capital gains and receive an income-tax deduction for the full value of the stock.

Real Estate

When your clients give real estate that is more valuable today than when it was acquired, their tax deduction is the present market value and there is no tax on the gain. Real estate transactions may require a few months for completion.

Life Insurance

Many people have paid, outdated life insurance policies, perhaps originally intended for children who are now grown and have sufficient assets of their own. Making the Santa Barbara Foundation the owner and beneficiary of such a policy provides an income-tax deduction and is a great way to support important charities.

Types of Funds

Santa Barbara Foundation Endowment Fund

This fund fuels our competitive grant making process, which provides support to many local nonprofit organizations that are making a difference in our community and in the lives of those who call Santa Barbara County home.

Donor Advised Funds

These are charitable funds for donors who wish to continue their involvement in philanthropy, but are looking for assistance with support and are seeking additional tax and investment advantages. We offer both endowed and non-endowed Donor Advised Funds.

Designated Fund

Through this fund, your clients can provide ongoing assistance to a specific nonprofit organization during and beyond their lifetime.

Field of Interest Fund

This fund allows your clients to support particular areas of community life such as arts or education or a specific population such as women or seniors. FOI fund donors work closely with the Foundation to determine the best way to respond to the community’s most pressing needs in an area that interests them.

Supporting Organization

This is an alternative to forming a private foundation, offering maximum flexibility without the administrative complexities. This is a wonderful vehicle for family philanthropy that spans generations.

Agency Endowment

Donors or nonprofit organizations may establish an Agency Endowment Fund for a specific charity. This allows nonprofit organizations to benefit from the Foundation’s history of sound investment returns today and the security of knowing the organization is endowed for the future.

Legacy Fund

Your clients can establish this fund through their estate planning. The Santa Barbara Foundation offers several ways to leave a legacy to benefit your clients and contribute to the vitality of our community.

 



Questions ?

Our Philanthropic Services team can help you choose the best charitable tool to meet your philanthropic goals. Call (805) 963-1873 or use this contact form so we may discuss your options.

Santa Barbara Foundation | 1111 Chapala Street, Suite 200, Santa Barbara, CA 93101
(805) 963-1873 | info@sbfoundation.org