Ways to Give

The obvious and most common method is a cash contribution which can result in an immediate income tax deduction for the current tax year.

A gift-in-kind contribution made from donations of non-cash items such as computers, equipment, a company's products, etc., can also result in immediate income tax deductions. The donor must submit the value of the item and gifts valued over $5,000 must have a qualified appraisal summary submitted to the Foundation to obtain a tax receipt for the donor.

Gifts of stocks, bonds, securities or real estate to any area of the University will, in some instances, reduce capital gains taxes. The fair market value (the donor must obtain a certified appraiser to appraise the value) at the time of the gift transfer is deductible. The donor must pay all appraisal costs. The gift should have the approval of the Foundation Board to be accepted.

Creating a Cash Endowment can provide an immediate gift and allow instant satisfaction, recognition and tax deduction. Although an endowment can be named from a pledge over a period of five years, a minimum balance of $10,000 must be given before a scholarship or other specific area can be drawn upon. All endowments made to the UWA Foundation will be managed through prudent investment policies which will yield the greatest income advantage. Endowments will use only the interest earned annually to fund the named scholarship, fund, or other intentions of the donor. All other gifts not classified as endowments will be funded solely by the donor’s net contribution.

Naming The UWA Foundation as the owner and beneficiary of a life insurance policy can be another method of receiving current tax deductions. Should donors name the Foundation as the beneficiary of the policy without making The Foundation the owner of the policy will ultimately benefit the Foundation but no tax deduction is allowed. A donor should inform The Foundation and send a copy of the policy.

An excellent way to make a gift and take advantage of appreciated value of your home or other real estate or securities is to enter into a life estate agreement with the Foundation. You continue to use the property or income from securities throughout your lifetime but receive an immediate tax deduction avoiding taxation on gains in addition to reducing possible estate taxes. After the donor's death, the Foundation will ultimately benefit from the use or sale of the estate.

A donor's assets can be transferred to an annuity or unitrust and the donor's beneficiary receives the income for his life. After your lifetime or that of the last beneficiary, the Foundation has ultimate use of the gift. The donor receives a life income, significant tax benefits, possible avoidance on gain depending on how the trust is funded and possible estate tax savings.

Being named as a beneficiary in a donor's will provides the donor with control over assets throughout his lifetime. Although the donor does not receive recognition in his lifetime or receive immediate tax advantages, the bequest may reduce estate taxes in some instances.

All intentions of the donor should be made known to the UWA Foundation so that requests and intentions are carried out to the best possible benefit for the donor and the University. A donor should consult his personal tax accountant and/or attorney on all legal advice. Any donation made o the Foundation can be restricted and named according to the donor's request, so long as the intentions are honorable, lawful and do not shed an unfavorable light on The University of West Alabama.

In return for any charitable contribution, a donor will receive an official UWA Foundation receipt for tax purposes. Payments made for goods or services received in exchange for any donation should be deducted from the tax deductible amount. All gifts over $50 made in a current fiscal year (October 1 through September 30), unless otherwise indicated, will be listed in the Foundation's Traditions of Giving Levels in its Annual Fund Report.