Planned Giving

There are many ways to give to Southwest Boston CDC.

You can send a check or make an online donation today. But you can also make a planned legacy gift:

Please contact Erica Schwarz, 617-364-7300 x27 if you have questions about how you can use the following planned giving strategies to contribute generously to your community.

Bequest by Will: A Legacy of Giving

Including a charitable bequest in your will is a simple way to make a lasting gift to Southwest Boston CDC and your community. You can leave a bequest by adding to an existing will or drafting a new one. Make a gift of a stated dollar amount, specific property, a percentage of your estate, or the remainder after distributions to other beneficiaries.

This will allow you to leave a legacy to Southwest Boston CDC and your community, but still preserve and enjoy assets you might need during your lifetime. Plus, the assets distributed to SWBCDC are exempt from estate tax.

Life Insurance: A simple way to give a significant gift

Giving through life insurance is one of the simplest ways to make a significant contribution to Southwest Boston CDC and establish your legacy of giving. There are two approaches: You can designate Southwest Boston CDC as the primary or secondary beneficiary of either 100% or some percentage of the proceeds from your policy. Or, you can transfer to ownership of the policy to Southwest Boston CDC – either paid in full or you may continue making premium payments. The transfer of the policy is a current gift for which a charitable tax deduction may be taken, and your continued payment of premiums is considered a charitable contribution, deductible to the full extent of the law.

Real Estate: An unmatched opportunity to make an impact

You can turn the value of real estate into community good and receive financial and tax benefits with a gift to Southwest Boston CDC of real estate. A rental house, vacation home or unimproved land can be gifted to SWBCDC for sale. Or, if the site is suitable for affordable housing, we may convert it into permanently affordable homes for low-income families in the community. You avoid capital gains tax and — if we sell the property — the proceeds from the sale of the property will be used to support our work in the community.

If we retain the property and develop it into affordable housing, you will have left a legacy that will provide the stability of home for generations of families. A gift of only the ‘remainder interest’ in your personal residence to SWBCDC while you and your family continue to live in and fully enjoy your home as long as you like can also produce a charitable deduction. This is a retained life estate and works just as well with a farm or vacation home as with your primary residence.

Gifts of Publicly-Traded Stock or Business Interests: Let your portfolio or your business profit the community

Shares of appreciated publicly traded stock are an effective way to support Southwest Boston CDC and avoid taxation on the gain. We can receive stock gifts directly through your brokerage account; you receive a charitable income tax deduction, usually equivalent to fair market value as determined under IRS guidelines. We will sell the stock immediately and apply the net proceeds toward our mission.

Southwest Boston CDC will also consider gifts of closely-held business interests such as corporations, limited liability companies, and limited partnerships if an acceptable means of converting the stock into liquid assets can be an anticipated within a reasonable time. This may occur through redemption agreements, liquidation or asset transfers. These are complex transactions, so consultation with your tax advisor or planning professional is necessary.

Gifts from Retirement Plans: The perfect gift asset

Retirement plan assets (those in qualified plans and IRAs) are ideal for charitable giving purposes because these assets are often heavily taxed when passed to non-spouse beneficiaries. To make a future gift of retirement plan assets simply requires a designation of Southwest Boston CDC as the beneficiary of the plan. Making a present gift of retirement account assets during your lifetime has been permitted under recent law for certain tax years; check with your tax advisor before making a gift of retirement plan assets.

Charitable Remainder Trust: Planning for the future for you and your community

Giving through a Charitable Remainder Trust allows you to receive income for the rest of your life or a specified term of years, knowing that whatever remains will benefit Organization. You transfer assets into a trust and receive an immediate charitable deduction. The trust distributes regular income payments to you or to designated family members. You may choose to receive a fixed payment or one that changes with the value of the trust assets; payments can begin immediately, or you can defer them to increase your charitable income tax deduction.

The amount of the payments and the amount of the charitable tax deduction depends on the age of the recipient and the applicable federal rate for determining the present value of an interest for a term of years. Upon the beneficiary’s death or after a defined period of years, the remaining assets in the trust will transfer to SWBCDC. Consultation with your tax advisor or planning professional will be required.

Charitable Lead Trust: Giving to your community and your loved ones

A Charitable Lead Trust permits you to remove assets from your estate and benefit Southwest Boston CDC during the trust’s term. Assets selected by you are transferred into a trust, which pays SWBCDC an annual amount to accomplish its mission. During its term, the trust can be managed by experienced professionals, which may help your trust investments grow over time. When the trust terminates, either upon your death or after a specified number of years, its final assets are transferred to the family members you designate. Any growth in the trust passes to recipients, often with significant transfer-tax savings.

Charitable lead trusts may also be created by will as part of your testamentary planning. Charitable Lead Trusts offer financial benefits by sheltering investment earnings from income tax, too. However, at the time your trust is established, you may owe gift tax on the present value of your gift to the final beneficiary. Charitable Lead Trusts can be arranged to make annual distributions of a fixed percentage of the trust assets or distributions of a fixed dollar amount. Consultation with your tax advisor or planning professional will be required.


We recommend you consult with your tax advisor or financial planning professional to learn more about these options.

Please contact Erica Schwarz, 617-364-7300 x27 if you have questions about how you can use these planned giving strategies to grow the impact of Southwest Boston CDC’s mission.