Types of Giving
Gifts to Purdue IE Can be Made Through:
- Cash – In the Internal Revenue’s Service’s dictionary, cash includes not just currency, but also monetary amounts donated by check, credit card, and cellphone texts. Cash gifts qualify for a tax deduction in the year you make the gift, and you enjoy the benefit of seeing the result of your generosity.
- Stock and Securities – Gifts of publicly traded securities that have appreciated in value allow you to claim a charitable deduction for the full market value of the securities on the date the gift is made. You pay no capital gains tax on the appreciation. Please contact the Purdue IE Office of Development for current instructions for transferring securities.
- Tangible Personal Property - Gifting tangible personal property is a way to reach philanthropic goals, but the property’s end use to Purdue IE determines the tax advantages. If the item can be used by Purdue IE as part of its mission, the deduction is equivalent to the fair-market value of the item. If the item can’t be used to further the mission of Purdue IE, the original cost basis serves as the deduction.
- Retirement Plan Assets – Consider making Purdue IE a beneficiary of an IRA account to save your family and heirs the tax burden. Money held in tax-favored retirement plans is typically not subject to income tax until it is withdrawn from the plan by the plan owner or surviving heirs. Purdue IE is able to receive this money tax-free.
- Real Estate – Just like securities, real estate is subject to capital gains tax, and only your personal residence might qualify for tax relief. A charitable gift of real estate – whether it is your personal residence, farm, vacation home, or commercial property – may have tax advantages.
- Life Insurance – Explore the possibilities of gifting a life insurance policy that you no longer need. Current gifts of life insurance can provide a tax deduction, while making Purdue IE a beneficiary will result in an estate tax deduction.
Additional Giving Opportunities for Purdue IE Include:
- Give Online
- Give by Mail – Complete the form for the gift you want to make: one-time gift, recurring gift multi-year pledge, or stock notification.
- Matching Gifts are offered by many companies today to encourage their employees to participate in philanthropy. If you work for a matching gift company and wish your company to partner with you on a gift to Purdue IE, or if you don't know if your company participates in a matching gift program, please contact the IE Office of Development and Alumni Relations.
IE’s “Leave a Legacy” Initiative:
Inspire tomorrow’s leaders though a planned gift to Purdue’s School of Industrial Engineering. Examples of planned giving opportunities include:
- Bequest – A bequest is the simplest and most popular type of planned gift. Bequests provide an opportunity to make a larger impact than might be possible in your lifetime. Bequests also can provide estate tax deductions and income tax savings for your heirs. You may choose to leave a specific dollar amount, a percentage of your estate, or certain assets, such as real estate or stock to Purdue IE.
- Endowments – Planning a named endowment can be a creative and rewarding process and allows your name and gift to Purdue IE to live in perpetuity. Named endowments also are an excellent way to honor a friend or loved one. You can have a meaningful impact on programs throughout IE by tailoring your gift to a particular area of interest, program, project, or student group. Endowments can be funded during your lifetime or through your estate. Once fully funded, your named endowment will pay out a percentage of the principal amount on an annual basis and each year thereafter. We would welcome the opportunity to discuss the university’s minimum endowment requirements with you and assist with a gift that is meaningful to you.
- Charitable Gift Annuities – A charitable gift annuity (CGA) is established when Purdue Research Foundation (PRF) and the donor(s) enter into an agreement under which PRF agrees to pay the donor(s) a fixed income for life in exchange for a gift of cash, securities, or approved real estate to Purdue IE. A CGA can be set up for one life or two, and can begin to pay immediately or payments can be deferred. The number of annuitants, age, and payment schedule are all factors that determine the rate of payment. Because parts of these payments are considered a return of principal, a portion of the income is tax-free.
- Charitable Remainder Trusts – A charitable remainder trust is established when you place assets into an irrevocable trust and name the Purdue Research Foundation as trustee. The trust will invest the assets and agree to pay you, or other named beneficiaries, and income for life or a term of years. When the trust terminates, the remaining assets are used for Purdue IE.
- Charitable Lead Trusts – A charitable lead trust is a strategy for passing assets to your heirs. You place assets in a trust and assign the income to Purdue IE for a term of years or the lifetime of an individual. The assets remaining in the trust at the end of the term will pass to your named beneficiaries with few or no tax implications.
For a more in-depth conversation or if you wish to receive additional information regarding endowments and/or planned gifts to Purdue’s School of Industrial Engineering or to Purdue University, please contact the Purdue IE Office of Development.
Purdue Research Foundation (PRF) is an independent organization that acts for the benefit of Purdue University.