Legacy Giving

Montshire Museum of Science Tools for achieving your philanthropic and financial goals

Thirty years ago, the Montshire Museum was not yet in a position to ask supporters for legacy gifts. As a fledgling enterprise, the Montshire was brimming with potential but its track record was unproven.

Today, the Montshire is a highly respected institution both locally and nationally. Our exhibits and programs are recognized widely for innovation and efficacy, and finances are on solid ground. A number of families have chosen to invest in Montshire's future with a legacy gift. These gifts, often in support of Montshire's endowment, help ensure the Museum's ability to provide meaningful exhibits and programs for the generations to come. Your legacy gift can provide:

• Support for innovation: Legacy and planned gifts allow Montshire to pursue innovative opportunities and ideas such as new educational initiatives, partnerships, and exhibit development.

• Stability: Gifts to Montshire's endowment increase the annual revenue generated by these funds, allowing the Museum to weather variations in earned revenues. A simple way to continue your support is to "endow" your annual gift with a bequest that is 20 times the value of your yearly contribution.

• Recognition: Major gifts to endow a leadership position or program can provide a donor with prominent named opportunities. Specific needs are outlined at the conclusion of this document.

"We have been involved with the Montshire Museum for many years. We decided to include a gift to Montshire in our will as a way to sustain a wonderful institution that we have grown to respect and believe in. A bequest is an easy way to have a lasting impact."

Foster and Barbara Blough

Options for Legacy Giving

Outlined here are options for making a planned or legacy gift to the Montshire Museum of Science.

Bequests

Donors of all ages and means can include a gift to the Montshire in their wills. Bequests of all sizes help ensure the Museum's future.

Bequests can be included in the body of your will, or in a simple, inexpensive codicil added to your existing will. Bequests can be written to leave a specific amount to the Montshire, a percentage of your estate, or the residue of your estate after all other commitments have been satisfied.

"I established a gift annuity at the Montshire because my grandchildren just loved it. I thought it would be lovely for other kids their age to visit, whether or not their grandparents could afford to bring them. At the time, I was also looking to improve my income stream with assets that might have led to a capital gain. I'm getting a very good rate of return while giving children an opportunity to experience the joy of visiting the Museum."

Anne Segal

Following is sample language that may be used in a will:

"I hereby give, devise and bequeath to the Montshire Museum of Science Inc., a corporation organized and existing under the laws of the State of New Hampshire, with its principal place of business in Norwich, Vermont (1) the sum of $_______ (or property, securities, etc.) or (2)_______% of the residuary of my estate to be used for the benefit of the Montshire Museum of Science Inc., for its general use and purposes as the Board of Trustees may direct."

If your estate will be subject to estate tax, a significant bequest can reduce the taxable portion or bring the value below the taxable threshold.

Life Insurance Policies

An insurance policy can be used to make a significant gift to the Montshire and provide a variety of tax benefits. Transferring ownership of a policy provides an immediate tax deduction, while naming Montshire as a partial or sole beneficiary may result in an estate tax deduction. Often, adding a beneficiary to a life insurance policy can be a simple and inexpensive way to make a legacy gift.

Life Income Gifts

There are a number of ways to commit your funds or assets to a future philanthropic purpose, while receiving income during your or your spouse's lifetime. Through gift annuities or charitable remainder trusts, funds are irrevocably transferred to Montshire or another trustee to be managed for a period of years or until your or your beneficiary's death. In exchange, you receive income and a variety of tax benefits.

Charitable Gift Annuities

A gift annuity is similar to an annuity that you purchase from an insurance company in that it provides a predictable stream of income in return for your investment. Gift annuities allow you to make a contribution to the Montshire and then receive a fixed annual income from the gift during your life and/or your spouse's life. The older you are when the annuity is established, the higher the rate offered. Upon the death of the annuitant, the remaining principal becomes available to the Montshire for educational programs and exhibits.

Charitable Remainder Trusts (CRT)

A CRT can be established with cash, appreciated securities, real estate, or other marketable assets. Managed by a trustee of your choice, the CRT enables you to make a contribution to Montshire while you receive lifetime annual payments based on the trust's value each year or a fixed percentage of the amount you contribute. You also receive significant tax benefits. When the trust terminates, the remainder comes to the Museum.

"I established my first Charitable Remainder Unitrust in 1980. At that time, I had inherited shares in a family-owned company. The cost of these shares was very low and selling them would have resulted in a sizable tax liability. By donating the shares, which were subsequently sold, I avoided paying any capital gains tax and received a generous income tax deduction. The funds were invested wisely and the value of the trust has grown more than 500 percent. Each year, it provides my wife and me with substantial income; 6 percent of the value of the trust for that year. When my wife and I are both deceased, the full value of the trust will be distributed to the charities named in it. The Montshire Museum is one of these. I consider the Montshire to be a unique resource for our community. I am delighted to add to a growing endowment to ensure the Museum's growth and availability to all in the years to come."

James Barrett

Charitable Lead Trusts

Unlike life income gifts, charitable lead trusts provide immediate funding for science education at Montshire. With this type of instrument, you contribute assets to a trust and establish an amount or fixed percentage to be paid to the Montshire for a designated period of time, or for the life of designated individuals. At the end of this period, the trust is terminated and the property is either returned to you or distributed to named beneficiaries without being subject to further estate or gift tax. As a result, charitable lead trusts allow you to leave property to heirs, while reducing gift and estate taxes, and providing income to the Montshire today.

Other Ways to Give

The Montshire is pleased to accept immediate gifts of cash and stock. Both options offer an income tax deduction. With a contribution of appreciated securities, you can also avoid paying capital gains taxes that would have applied had you sold the shares yourself.

Federal legislation was passed in 2006 that offers donors tax benefits for charitable gifts made from IRA distributions. Through 2007, donors who are 70 1/2 or older can make tax-free charitable gifts by transferring funds direct from their Individual Retirement Accounts to the Montshire. The tax exclusion is ideal for donors who do not need their minimum distribution for income purposes. It is valid for distributions of up to $100,000.

The Montshire may accept gifts of tangible personal property when the items are useful to the Museum or may be sold readily so the proceeds can support the Museum's mission. Under the right circumstances, the Montshire will also accept real estate, including a remainder interest that reserves the right of occupancy for you and your spouse for life.

About Montshire's Endowment

The Montshire Museum of Science has an endowment of more than $5 million that provides a stream of annual revenue to support Montshire exhibits and programs. Growing the endowment is a strategic priority of the Museum's leadership because a stronger financial foundation will provide greater long-term stability, while allowing us to pursue innovative partnerships and initiatives to advance science education. Annual income withdrawn from the endowment is determined by an endowment spending formula approved by the Montshire Board of Trustees and Investment Committee.

Endowment gifts of all levels are welcome and sincerely appreciated. Although unrestricted gifts may be more powerful in the long-term, we are pleased to discuss your wishes to direct your donation. Endowment gifts support key priorities of the Museum, including:

• Scholarships for educational programs
• Museum access for families of all income levels
• Exhibits and programs related to ecology and the environment
• Nature trails and outdoor exhibits
• Exhibit development and maintenance
• Special initiatives of the Museum Director
• Repair and maintenance of the Museum building and major capital assets

"I look back with amazement on the efforts of a small group of citizens who struggled to create a museum in a vacant bowling alley in Hanover. We had a vision for the natural science collections that Dartmouth no longer wanted! Thirty years later, your Montshire Museum is the innovative, enjoyable (and solvent!) institution it is because of the remarkable generosity of supporters throughout the region.

I'm sure many of you share my sense of gratitude for this achievement and would welcome opportunities to include the Museum in your estate plans. Legacy giving offers various opportunities to shape your generosity to your own preference as well as to the Museum's needs. These options range from endowment of a staff position to a gift (such as I have made) of a future interest in what remains of a trust when the beneficiary is deceased.

Whatever form your generosity takes, you will have the joy and satisfaction, in the here and now, of helping to insure the quality and longevity of what you truly care about, a place to explore, experiment and enjoy the endlessly intriguing world of science."

Walter Paine, Chairman Emeritus

Naming opportunities

We are pleased to recognize significant endowment gifts by naming a fund, position or program in honor of the donor. Suggested minimum gift amounts are listed below to name funds within our endowment.

• Museum Director - $3.5 million
• Director of Exhibits - $1.5 million
• Director of Education - $1.5 million
• Science Educator - $1 million
• Internship Fund - $500,000
• K-12 Program Fund - $1-5 million
• Annual Visiting Exhibit - $1-2 million
• Exhibit Development Fund - $1-2 million

Montshire Legacy Circle

The Montshire Legacy Circle was established in 2004 as a way to recognize donors who indicate that they have included the Montshire in their estate plans. Although no documentation is required, the Museum appreciates the opportunity to recognize individuals who have considered the Montshire in their plans. Donors may remain anonymous.

An annual recognition luncheon and other activities are planned for members of the Montshire Legacy Circle.

Contact Information

For questions or a confidential conversation about your estate plans, please contact Jennifer Rickards, Director of Development by calling 802-649-2200 or via e-mail at jennifer.rickards@montshire.org.

This outline is prepared as a guide to planning and should not be interpreted as advice for your specific situation. We encourage you to consult your own legal, accounting, estate, or other professional advisors as you consider options for giving to the Montshire Museum of Science.

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