Financial Planning - St. George`s Independent School

2013 Tax Law
Experience More
Flow Chart of Sale
Experience More
Expenditure Model
Experience More
Benefits for Family Charity
Experience More
Contact Information
Joe Horner
Private Wealth Management
3725 Champion Hill Drive, Suite 1300
Memphis, TN 38125
[email protected]
Charitable Giving with Life Insurance
• Simple and effective way to make a large income tax
free gift at fraction of cost to person giving the gift
• In some cases, premiums paid can provide tax
advantages to the person giving the gift.
• The legacy you can create will greatly benefit the
organization with a larger gift than through a lump sum
• Allows organization possible flexibility of determining
best use of funds to meet current and future needs
Lump Sum vs. Life Insurance
• *Example of gift through life insurance:
55 year old male – preferred non tobacco rate
$25,000 lump sum payment into life policy
Tax free death benefit at issue of policy would be $58,350
Policy earns tax deferred cash accumulation at competitive
interest rate
– The person giving the gift may also elect to make the charity the
owner of the policy which will allow the charity to access the
cash value of the policy if an immediate cash need arises.
• Lump sum payment of $25,000 to organization
– No additional benefit beyond the original gift
*CVAT projection through Tennessee Farmers Life Insurance
Income Streams to Fund Life Insurance
• Annual premium payments into life policy
– Same concept as before: same gift amount = increased benefit
• Interest payments from investment accounts
– Pay premiums while not affecting principal amount
• If over age 70 ½, RMD payments
– After tax payments going into tax free death benefit to
*Example of life policy with annual premium payments:
55 year old male, preferred non tobacco rate
$2,500 annual premium
Death benefit from day one of $100,000
Same tax advantages to organization as before
*UL projection through Tennessee Farmers Life Insurance
Giving Through Existing Life Policy
• The most simple way for guaranteed impact of large gift
• What need(s) were there at time policy was issued?
• Have your needs changed to make you think that the
policy is no longer needed or needs to be reduced?
• Making the organization either full or partial beneficiary
• Tax free death benefit to the organization
• Larger gift through life insurance than with lump sum
• Usually can be done with phone call or change form
Why Life Insurance?
• Maximizing gift amount at smallest cost to you
• Taking advantage of tax incentives while benefiting
the organization at highest possible level
• Be proud of what you give and know that it is
important to the organization
• Family may want to consider doing the same thing
even if on a different level of giving
• Comfort and security given to family before changing
beneficiary on existing life policy
• Consider Life Insurance as part of giving
Damon Juckett, LUTCF
Agency Manager
745 W. Poplar Ave, Collierville • 901-850-5002
[email protected]
Financial Planning:
Aligning Goals and Action
Jeremy Jones, AIF
February 21, 2013
Investment advisory services offered through Securian Financial Services, Inc. Jeremy Jones is a Registered
Representative of Securian Financial Services, Inc., Securities Dealer, Member FINRA/SIPC, and Registered Investment
Shoemaker Financial is independently owned and operated.
A04118-0910 DOFU 9-2010
Financial Planning Can Help With…
•Developing an action plan for your goals
•Aligning your financial decisions with your goals
•Understanding how financial issues are
A Good Financial Plan
• Based on the client’s individual situation and
– Areas of focus depend on life stage
• Delivered in writing
• Contains both analysis and recommendations
– Product and non-product based
• Completed in partnership between advisor
and client
• Will eventually be out-of-date
Who is a Good Candidate for
• Someone who cares about others and their future
• Life complexity – examples:
Remarriage or blended family
Unmarried couple
Business owner or concentrated holding
Inheritance or trust beneficiary
• Life event – examples:
Within ten years of retirement
Job change
Death of loved one
• Active management of your financial life
Financial Planning: What’s
Contact Jeremy Jones:
[email protected]
Financial advisors do not provide tax/legal advice. This information should not be
considered specific tax or legal advice. You should consult your own tax/legal advisor
about your own situation.
Our Culture of Philanthropy
A snapshot of our community
Comparative figures:
Memphis ranks second most generous urban area among
the 50 largest metropolitan areas in the U.S. -- Chronicle
of Philanthropy
United States: 4.7% given
$2,564 / $54,783
Tennessee: 6.6% given
$3,807 / $58,097
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
Anatomy of a Gift
Source: The Sharpe Group 2013
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
Motivations and drivers of
donative intent:
Why do people give?
Source: The Sharpe Group 2013
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
Creating, Living and Leaving a Legacy
Creating a legacy:
Who am I?
Why am I here?
Living a legacy:
What do you stand for?
Who is important to you?
What is truly important to you?
What is life all about?
Leaving a legacy:
What is your 100 year plan?
How will you define success?
What do you want to be remember for?
What will your family say about you after you are gone?
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
Our Children and Charity
Rule #1: Do no harm
Rule #2: Include them
• Share with them your vision, values & dreams
• Talk with them
• Share what is important to you
• Share why it is important to you
• Give them a way to participate
• Ask them what is important to them
• Ask them why?
• Let them give some money away
• Consider formalizing your gifting strategies
• Donor Advised Fund
• Private Family Foundation
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
Contact Information:
Dan Patterson
Silverleafe Capital Partners, LLC
6070 Poplar Avenue, Suite 725
Memphis, Tennessee 38119
[email protected]
6070 Poplar Avenue, Suite 725 | Memphis, TN 38119 | 901-259-3345 | [email protected]
The Clanlo Society
• Giving Society named in honor of the School’s first bequest
donor and her family
• Membership is made of any parents and friends who have a
confirmed bequest intention on file with the school
• Why Inform?
• Changing Programs & Needs, Planning, and Forecasting
• Quarterly Newsletters
• Annual Luncheon & Cocktail Event
Contact Information
Jay Philpott
Director of Advancement
St. George’s Independent School
1880 Wolf River Blvd
Collierville, TN 38017
[email protected]
901-213-7688 cell
901-457-2014 office

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