Endowment and Special Gifts

Endowment – Building Financial Stability in the 21st Century

The establishment and building of an endowment is especially important for Brownell-Talbot for several reasons.

First, as an independent school without state or federal funding, Brownell-Talbot must rely on tuition, fees, and contributions for both annual operation budgets and capital projects. Annual gifts are raised primarily to support the annual operating budget, while endowment funds are invested for the future. The endowment's principle remains invested; it is only the generated annual interest that is used.

Second, the endowment has the flexibility to be restricted or unrestricted, thus giving contributors the freedom to designate their gifts.

Third, the endowment serves as a buffer to unforeseen financial expenditures not covered in an annual operating budget.

Finally, having an endowment is one way that independent schools can moderate dramatic increases in tuition and still provide a stable annual budget.

In 1965, the school leadership focused on the need to develop a systematic endowment program. In conjunction with this commitment, the Gilbert M. and Martha H. Hitchcock Foundation established a long-term giving program which included a financial commitment designated for endowment. This "matching gift" challenge constituted the first major campaign for endowment and was very successful.

The Brownell-Talbot Board of Trustees remains dedicated to increasing endowment and improving facilities. They will ensure that new contributions will reflect the same proportion as that of earlier gifts distributed between these two areas. By doing so, they will continue to protect Brownell-Talbot's assets and to use them as judicially as possible.

Tributes

One of the most gratifying experiences a donor can have is giving a gift in honor or in memory of a loved one. Brownell-Talbot is fortunate to have been asked many times to help families honor and memorialize alumni, past parents, grandparents, and friends. When you make a tax-deductible memorial or tribute gift, we will send a note to the family of the person being honored and an acknowledgement to the donor.

Memorial Scholarships

Currently, scholarships are awarded to students in grades 7-12 based on financial need. Scholarships are important to the school's ability to recruit a talented and diverse student body and enhance the ethnic, socio-economic mix of the school community.

Special Gifts

Operating an independent school, and striving to maintain the excellence in education for which we are known, has real costs. Perhaps you would like to help increase the collection in the James Library, contribute specifically to a program, club, or activity, thank a favorite teacher, or support an athletic sport. We would welcome the chance to speak with you about these special interests and projects.

Please contact Linda Zimmerman in the Development Office to make your contribution or obtain more information.

Other Ways to Give

Planned Giving

The tax laws traditionally have encouraged charitable contributions by allowing income, gift, and estate tax deductions for gifts to qualifying charities. Choosing the right method and timing in making such a contribution can increase tax savings and reduce the net costs of the contribution.

Following is a brief description outlining some of the prevalent charitable contribution methods available to donors. Please consult with your own tax advisor or call the school for specific questions.

Gifts for the Present

Cash

The most common gift to charity takes the form of cash, through a check written by the donor.

Tax Credits

The threshold for claiming your charitable tax credits is based on your net annual income.

Pledges

Pledges are gifts to Brownell-Talbot that may be paid over time.

Stocks & Securities

Substantial tax savings can be obtained by making contributions of appreciated securities held for at least one year to a public charity such as Brownell-Talbot.

Property

On occasion, the school may accept personal property as non-monetary gifts. Tangible personal property includes such items as books, artwork, furniture, computers, automobiles, boats, silverware and jewelry. As with gifts of real estate, gifts of personal property should be valued through a professional appraisal.

Gifts of Appreciated Real Estate

An outright gift of real estate to charity is often beneficial to a donor from a tax point of view. A resident, vacation home, farm, acreage, or vacant lot may have so appreciated in value through the years that its sale would mean a sizable capital gains tax. If given to Brownell-Talbot instead, a donor would avoid the capital gains tax and, at the same time, receive a charitable deduction for the full fair market value.

Gifts for the Future

Bequests

The most common form of deferred gift, a bequest, is a gift made through a will.

Strip or Zero Coupon Bonds

A modest investment today can leverage a substantial gift for a fixed date in the future.

Life Insurance

Gifts of life insurance policies may be made in several ways. Check with your insurance advisor.

Gift Planning

If you are interested in any of these kinds of gifts and do not have an advisor for legal, accounting, financial planning or insurance questions, please contact Linda Zimmerman at 402-556-3772.

Gifts that Give Back

Annuities

Make an outright gift and receive guaranteed payments for life. Specific requirements need to be discussed with your financial advisor.

Charitable Remainder Trusts 

Make a substantial commitment to Brownell-Talbot while maintaining the use of your assets for the duration of your life. Please check with your financial planner for specific requirements.

Other Types of Deferred Gifts

• Charitable Remainder Annuity
• Charitable Remainder Unitrust
• Charitable Lead Trust
• Contribution of Retirement Plan Assets

Please contact Linda Zimmerman in the Development Office to make your contribution or obtain more information.