Leading by Example: A Matter of Policy
By Mark Tarnacki
Rit DiVenere '67, who worked 38 years in the Saint Michael's College development office before retiring last year, recently practiced what he long preached by making a $10,000 insurance gift to support scholarship and honor a friend.
It's hard to imagine a better example for smart philanthropy, as Rit's gift optimally benefits the College and his family. In a January 2012 letter to his 1967 classmates about their coming reunion gift, Rit, former vice president for institutional advancement, explained the particulars of his insurance gift:
"On Dec. 31, 2011, I celebrated my one-year retirement anniversary from Saint Michael's College. ...During that time, I helped move the College forward through major gifts for construction, endowed chairs, equipment, internships and scholarships. You can imagine how surprised I was when, at my retirement, friends and colleagues established the DiVenere Family Scholarship. I was greatly honored because my wife and children are all graduates AND because scholarship was the singular program that both challenged and excited me as a development officer.
"As you may know, I was not a good student, but my friend and roommate Vito Angelillo was stellar. Before he died, we talked about creating a joint scholarship at a future reunion. Since that will not be a reality, Nancy and I decided that the DiVenere Family Scholarship should be awarded in honor of Vito.
"When the time came for my '67 reunion gift, Nancy and I agreed that we wanted to do something special for our scholarship. Money was tight but I had an old insurance policy that had grown to $10,000. We met with our insurance agent and Saint Michael's Director of Planned Giving Susan Moses. Because I named the College both owner and beneficiary of the policy, I am eligible for a tax deduction for this gift."
A few points about Rit's gift might resonate with you. With a gift from your estate, you can: Honor something personal to you. A gift to the College can be a concrete and fitting memorial to something deeply personal from your own life and formative years, as was the case with Rit and Nancy's gift, which honors Rit's close friend Vito.
Vito was Rit's pal since grade school and they grew up together, attending Catholic schools in Bristol, Conn., before coming to college and rooming together all four years. They stayed close right up until Vito's death in 2005, even after Vito went off to medical school and a long career as a physician. Suggesting that the DiVenere Family Scholarship benefit a science student was a direct tribute to Rit's friend. The College can help you tailor a gift to impact what's most important to you as well.
Pay it forward. Rit also expressly links the scholarship aspect of the gift to the wonderful experiences his wife and children all had as Saint Michael's graduates. Frequently our benefactors mention their desire to "pay forward" in this way all that they received in life from their days as Saint Michael's students.
Obtain tax benefits. Other factors to consider are the potential tax benefits from planned gifts, which are not insignificant, depending on specific financial and life circumstances. Insurance or estate gifts allow you to make the statement of a tangible commitment to the College without an immediate impact on your family's cash flow in these challenging economic times.
Which Gift Is Right for You?
Carla Francis will be glad to give you more information on all these possibilities. Contact her at 802-654-2618 or cfrancis@smcvt.edu to learn more.
Information contained herein was accurate at the time of posting. The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results. California residents: Annuities are subject to regulation by the State of California. Payments under such agreements, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. Oklahoma residents: A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department. South Dakota residents: Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.