By Barry R. Harrow, Attorney at Law and
Member of the Board of Directors of The Friends of the Carmel Valley Library
How does The Friends of the Carmel Valley Library help the Library? The answer is, primarily through the thoughtful application of money to help fund various aspects of the Library’s activities that are not fully funded by the county budget. What is the source of that money? The answer is, individuals who make charitable contributions to the Friends.
Charitable contributions can be made in small amounts or large amounts of money. You can make a charitable contribution at any time. You can make it during your lifetime or you can make it when you pass away through your Estate Plan.
Why make a charitable contribution? The reason to do so is that your charitable contribution makes it possible for the Friends to carry out its purpose. If you’re reading this, you probably believe in supporting the Library. Gifts are easy to make. Just write a check, payable to The Friends of the Carmel Valley Library. Gifts made when you pass away take a little Estate Planning and can be done through such devices as a Will, a Living Trust, or a Charitable Remainder Trust. It is always a good idea to explore the possibilities for charitable giving in your Estate Plan. You just need to be sure to have the contribution go to The Friends of the Carmel Valley Library.
A Charitable Remainder Trust is an interesting way to give money to charity. You can take a highly appreciated asset, such as stock or art, and contribute it to a Charitable Remainder Trust. The Trust can sell it without incurring any capital gain (that’s a nice savings right there). The Trust can then pay you (and other individuals, such as your spouse and other family members) a regular income for life from the proceeds. Ultimately, when the income beneficiaries pass away, the balance of the Trust would go to The Friends of the Carmel Valley Library.
A nice feature of making a charitable gift is that the IRS allows you to take a charitable deduction against your income. This results in an income tax savings for you because there is a public policy to support charities and it is written into the Internal Revenue Code.
Everyone's tax situation is different, so you should check with your accountant or lawyer about what is right for your situation. The Friends of the Carmel Valley Library thanks you for your support.