When Nathan Mahnke’s client revealed her dream to donate a million dollars to the church founded by her grandparents, tax efficiency was not on her mind. Then the Thrivent financial consultant explained how she could realize her dream and benefit from a significant annual tax deduction.
Nathan recommended his client give a charitable life insurance policy to InFaith Community Foundation. When she passes away, the death benefit will be paid to a donor advised fund from which the church will receive gifts long after she’s gone. Meanwhile, since the Foundation owns the policy, she can declare a charitable tax deduction for the premium payments every year.
“Never in my wildest dreams did I think I could do something like this!” his client exclaimed. “The mission work of First Lutheran will go on forever because of Nathan mentioning this idea to me.”
Charitable planning is a natural part of Nathan’s practice. When clients’ retirement plans are in place, he suggests they take their planning to the next level.
“I tell clients, ‘We’re all going to be called home. Where do you want what’s left to go?’” He asks whether they really want to include the IRS as a partial beneficiary of their estate and presents charitable solutions for them to consider.
“Without action, it’s just good intentions,” Nathan says. “When clients say ‘yes,’ I get goosebumps because I know that the opportunity is there to impact organizations and communities.” Then he collaborates with clients’ CPAs and InFaith to help clients realize their dreams.
Time Is Now for Year-end Gifts
There are several giving options before year-end for your clients, including:
- Bundling gifts using donor advised funds
- Giving appreciated securities
- Using charitable gifts to offset Roth IRA tax consequences
If you have clients with charitable intent who would potentially benefit from tax deductions yet this year, InFaith gift planners are ready to handle requests as quickly as possible. Call the team to collaborate at 800-365-4172 or visit our website.