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Planned Giving

Use Your Real Estate to Support Compassion

Real Estate

Start Planning!

Learn more about the many ways to use real estate to support Compassion International in the FREE guide 7 Ways to Donate Real Estate.

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By giving Compassion International a gift of real estate, you are able to make a big, positive impact without taking money out of your bank accounts. Such a generous gift ensures Compassion's future. Your gift enables us to release children from poverty. A gift of real estate also helps you. When you give us appreciated property you have owned longer than a year, you get a federal income tax charitable deduction, eliminate capital gains tax, and no longer have to manage that property's maintenance costs, property taxes or insurance.

Another benefit: You never have to go through the hassle of selling the real estate. You can deed the property directly to Compassion or ask your attorney to outline the transfer in your will or trust agreement.

Ways to Give Real Estate

You can give real estate to Compassion in the following ways:

  • An outright gift. When you make a gift of real estate that you have owned longer than a year, you obtain a federal income tax charitable deduction equal to the property's full, fair market value. This deduction reduces the cost of making your gift and frees cash that otherwise would have gone to taxes. By donating the property to Compassion International, you eliminate capital gains tax on its appreciation. The transfer is not subject to the gift tax, and the gift reduces your future taxable estate. Submit a few details and see the benefits of an outright gift. See My Benefits
  • A gift in your will or living trust. A gift of real estate through your will or revocable living trust gives you the option to change your mind. It also means that you will be able to help children by giving a larger gift than you could during your lifetime. In as little as one or two sentences, you can ensure that your support for Compassion continues for years to come and that your estate will benefit from a federal estate tax charitable deduction.
  • A retained life estate. Perhaps you like the tax advantages that a gift of real estate to Compassion would offer, but you want to continue living in your personal residence. You can transfer your residence, or farm, to Compassion but keep the right to occupy (or rent out) the property for the rest of your life. This option means that you will continue to pay real estate taxes, maintenance fees and insurance on the property. Because Compassion would not actually take possession of the residence until after your lifetime, and because your gift can't be revoked, you will receive an immediate federal income tax charitable deduction for a portion of your home's value. Submit a few details and see the benefits of a retained life estate. See My Benefits
  • A deferred charitable gift annuity. Consider donating property to Compassion in exchange for reliable lifetime payments for you and someone else, if you choose. When you create a charitable gift annuity, you're given a federal income tax charitable deduction in the year you itemize the gift annuity on your taxes. If your real estate is worth more today than when you bought it, you can usually eliminate capital gains tax on a portion of the gift, and spread the rest of the gain over your life expectancy. A gift of unmortgaged property to fund your deferred gift annuity is preferable, and it generates the greatest tax benefit. Submit a few details and see the benefits of a deferred charitable gift annuity. See My Benefits
  • A bargain sale. When you make a bargain sale, you sell your property to Compassion for less than what it's worth. The difference between the actual value and the sale price is considered a gift to Compassion. A bargain sale can be an effective way to get rid of property that has increased in value, and it is the only gift option that can provide you with a lump sum of cash and a charitable deduction at the same time. Submit a few details and see the benefits of a bargain sale. See My Benefits
  • A charitable remainder unitrust. You can contribute any type of appreciated, unmortgaged real estate you've owned for more than one year in exchange for payments for life, or a term of up to 20 years. The donated property may be a residence (a personal residence must be vacant upon contribution), a farm, undeveloped land or commercial property. Real estate works well with only a few variations of charitable remainder trusts. Your estate planning attorney, who will draft your trust, can give you more information. Submit a few details and see the benefits of a charitable remainder unitrust. See My Benefits
  • A charitable lead trust. This gift can be a great way for you to support Compassion and transfer appreciated real estate to your loved ones tax-free. You should consider funding your charitable lead trust with real estate that is income-producing and expected to increase in value over the term of the trust.
  • A memorial or endowed gift. A gift of real estate may be a perfect way to honor someone you love. When you make an endowed gift of real estate, your contribution is invested with Compassion's endowment. An annual distribution is made for a purpose that you designate. Because the principal remains intact, the fund will generate support indefinitely.
  • A donor advised fund. When you transfer real estate to a donor advised fund, you eliminate capital gains taxes and receive a federal income tax deduction based on the fair market value of the property.
eBrochure Request Form

Please provide the following information to view the brochure.

  1. Contact the Gift Planning Department at (855) 315-5019 or giftplanning@compassion.com to discuss the possibility of donating real estate.
  2. Seek the advice of your financial or legal advisor to make sure giving real estate fits your goals.
  3. If you include Compassion in your estate plans, use our legal name and Federal Tax ID.

Legal Name: Compassion International Inc.
Address: 12290 Voyager Parkway, Colorado Springs, CO 80921-3668
Federal Tax ID Number: 36-2423707

Start Planning!

Learn more about the many ways to use real estate to support Compassion International in the FREE guide 7 Ways to Donate Real Estate.

View My Free Brochure

Gift Planning

Every child who participates in a Compassion program is given the opportunity to learn about Jesus and discover how to develop a lifelong relationship with God.

 

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A charitable bequest is one or two sentences in your will or living trust that leave to Compassion International a specific item, an amount of money, a gift contingent upon certain events or a percentage of your estate.

an individual or organization designated to receive benefits or funds under a will or other contract, such as an insurance policy, trust or retirement plan

"I, [name], of [city, state, ZIP], give, devise and bequeath to Compassion International [written amount or percentage of the estate or description of property] for its unrestricted use and purpose."

able to be changed or cancelled

A revocable living trust is set up during your lifetime and can be revoked at any time before death. They allow assets held in the trust to pass directly to beneficiaries without probate court proceedings and can also reduce federal estate taxes.

cannot be changed or cancelled

tax on gifts generally paid by the person making the gift rather than the recipient

the original value of an asset, such as stock, before its appreciation or depreciation

the growth in value of an asset like stock or real estate since the original purchase

the price a willing buyer and willing seller can agree on

The person receiving the gift annuity payments.

the part of an estate left after debts, taxes and specific bequests have been paid

a written and properly witnessed legal change to a will

the person named in a will to manage the estate, collect the property, pay any debt, and distribute property according to the will

A donor advised fund is an account that you set up but which is managed by a nonprofit organization. You contribute to the account, which grows tax-free. You can recommend how much (and how often) you want to distribute money from that fund to Compassion or other charities. You cannot direct the gifts.

An endowed gift can create a new endowment or add to an existing endowment. The principal of the endowment is invested and a portion of the principal’s earnings are used each year to support our mission.

Tax on the growth in value of an asset—such as real estate or stock—since its original purchase.

Securities, real estate, or any other property having a fair market value greater than its original purchase price.

Real estate can be a personal residence, vacation home, timeshare property, farm, commercial property or undeveloped land.

A charitable remainder trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create.

You give assets to a trust that pays our organization set payments for a number of years, which you choose. The longer the length of time, the better the gift tax savings to you. When the term is up, the remaining trust assets go to you, your family or other beneficiaries you select. This is an excellent way to transfer property to family members at a minimal cost.

You fund this type of trust with cash or appreciated assets—and receive an immediate federal income tax charitable deduction. You can also make additional gifts; each one also qualifies for a tax deduction. The trust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. When the trust terminates, the remaining principal goes to Compassion as a lump sum.

You fund this trust with cash or appreciated assets—and receive an immediate federal income tax charitable deduction. Each year the trust pays you or another named individual the same dollar amount you choose at the start. When the trust terminates, the remaining principal goes to Compassion as a lump sum.

A beneficiary designation clearly identifies how specific assets will be distributed after your death.

A charitable gift annuity involves a simple contract between you and Compassion where you agree to make a gift to Compassion and we, in return, agree to pay you (and someone else, if you choose) a fixed amount each year for the rest of your life.

Personal Estate Planning Kit Request Form

Please provide the following information to view the materials for planning your estate.