Advisors help donors realize their gift planning dreams

The gift planning process can seem daunting for a first timer. The prospect of navigating complex financial rules, tax implications, and choosing the right giving tool can be overwhelming. Fortunately, there are advisors across Nebraska ready to help.

Darwin Hunt, of Arcadia in Valley County, sought the expertise of local professional advisor Linda Cruikshank when designing his estate plans. Her guidance was invaluable.

"I was very lucky to have Linda navigate all this for me," Hunt said. "She felt it was important to make it happen."

Cruikshank and Hunt worked on his gift for many years, eventually creating a charitable remainder trust that will provide income to Hunt through his lifetime. Upon his passing, the remainder will be placed in a donor-advised fund through Nebraska Community Foundation. The Darwin Hunt Donor-Advised Fund will benefit Arcadia Public Schools, scholarships, and community, a mission in line with Hunt's passion for education.

Charitable remainder trusts are created using cash or other assets, which are then invested to pay fixed income to the donor either for a lifetime or a term of up to 20 years. The remainder of the trust is then used as the donor intended. In Hunt's case, it will benefit schools and students in Arcadia.

Hunt grew up on a farm north of Arcadia, attended college in Oregon, and undertook Montessori training in Italy. He then took that experience to Santa Cruz, California, where he taught six-to-nine-year-old children at a Montessori Academy for 26 years. He loved the work, but after retiring he returned to Valley County, where he's closer to family, friends, and the place he loves.

"It's a wonderful area," Hunt said. "I began to think about what I could do for the community that would be long-lasting."

That's where Cruikshank tells her clients to begin - what do you want to do for the places and people you love after you're gone? The gift planning process starts there.

"The first thing is really defining what it is you want to give and how you want that to be given," she said. "What is your passion and what are you trying to enhance?"

In initial planned giving meetings, Cruikshank devotes a lot of time to brainstorming. She listens attentively to her clients, takes detailed notes, and asks pertinent questions aimed at helping them discover how they want to leave their legacy.

"It's really important to listen to your client," she said. "Without that, it's hard to figure out what they want."

After finding the client's "why," an advisor plays an essential role in deciding the best way to structure a planned gift. They zoom out, take a big-picture view of their client's financial situation, and begin narrowing down the options. Advisors also have connections to lawyers, tax experts, and others in the field, so the donor doesn't need to worry about getting bogged down in the less exciting aspects of gift planning.

"A lot of people have these ideas of things they want to do, but they don't know how to format it and how to go about obtaining those objectives," Cruikshank said. "Advisors can really help with that."

For Hunt's gift, the two took inspiration from the generous bequest of John and Alyce Wozab. That gift created the John and Alyce Wozab Memorial Fund at NCF. The Fund has been incredibly valuable to Valley County's success over the past two decades. "Nebraska Community Foundation's management of that has been wonderful for our communities here," Cruikshank said.

With that gift as their model, Hunt and Cruikshank contacted NCF to see how to do something similar for Arcadia schools and students. They connected with NCF's gift planning office, who helped devise the details of a donor-advised fund that could meet Hunt's wishes while ensuring lifetime income.

"If I have a client who is looking at doing something like this, I always advise them to look at NCF because I've seen their good works," Cruikshank said. "Working on this for Darwin has been wonderful. Everybody at NCF is very knowledgeable."

Hunt is grateful for Cruikshank's and NCF's guidance. It eased the process for him, allowing him to focus on his passion for Arcadia's future.

"Now it's just a matter of knowing students will have great opportunities in Arcadia and beyond," Hunt said.

Charitable gift planning allows people to provide for the future of their family and their community. Nebraska Community Foundation's "5 to Thrive" campaign encourages Nebraskans to leave just 5% of their estate to local affiliated funds or charitable organizations benefiting their community. The website https://nebcommfound.giftlegacy.com has an abundance of resources on tax-wise charitable gift planning, including gift planning calculators, stories of donor impact, and a free downloadable wills guide.

For information on how you can give back to your hometown, contact Nebraska Community Foundation's Office of Planned Giving, 402.323.7330 or [email protected].