Frequently Asked Questions

Does my gift really make a difference?
What do unrestricted gifts to the Foundation support?
Can I specify how I want my gift to be used?
What are the tax benefits of making a gift to the Foundation?
How can I make my annual gift to the FarmHouse Foundation?
What percentage of alumni members give each year?
Why do alumni give to philanthropies like FarmHouse Foundation?
What fiscal year does the Foundation operate on?
What are the Foundation's donor recognition societies?
What is Campaign 2005?
Can I increase my support by having my company match my gift?
What is a Bequest?
What are the benefits of a Bequest?
Would the Foundation like to know my Bequest intentions?
Are there different types of Bequests?
What wording is appropriate for a bequest to the FarmHouse Foundation?
What are the benefits of making a gift of stock?
Is making a gift of stock easy to do?
How is a gift of stock valued?
Can I contribute securities that have decreased in value?
What is an Endowment?
How can I endow a scholarship?
Can I establish an Endowed Fund with a Planned Gift?
How is my endowment gift invested?
What is a deferred or planned gift?
Does the Foundation have a Planned Giving Society?
How can I make a gift of Life Insurance to the Foundation?
What are the benefits of a gift of life insurance?
What is Charitable Gift Annuity?
What are the benefits of Charitable Gift Annuity?
What is a Charitable Remainder Trust?
What are the benefits of a Charitable Remainder Trust?
What is a Charitable Lead Trust?
What are the benefits of a Charitable Lead Trust?

Does my gift really make a difference?

Yes! Every gift, every year, no matter the size, is greatly appreciated and is truly an investment in the future of our Fraternity. Making a gift to the Foundation is the most direct and effective way to ensure the continuing success of FarmHouse. With over 22,000 alumni, the cumulative effect of gifts of any size can be staggering. Just imagine what your gift, combined with those from hundreds of other donors can do for the success and future of FarmHouse.

What do unrestricted gifts to the Foundation support?

Unrestricted gifts are allocated to our Annual Fund and provide the Foundation flexibility in determining how best to use the funds. Such support is crucial because it allows the Foundation's Board of Trustees to assign funding where the needs are the greatest. Such gifts focus on the funding of current operating support for programs in three primary areas: leadership and financial training programs, computer labs and affiliated technology for chapter houses, and scholarships.

Can I specify how I want my gift to be used?

Absolutely. You can support any chapter or Foundation program through a restricted gift. Designated use for such gifts may include leadership programs, scholarships, technology or the educational portions of chapter housing.

What are the tax benefits of making a gift to the Foundation?

As a 501(c)3 educational foundation, a gift to the FarmHouse Foundation is tax deductible and provides you with many opportunities to positively impact both your current and future tax liabilities.

How can I make my annual gift to the FarmHouse Foundation?

Gifts via personal check, credit card, money order, or bank draft are the most popular methods of supporting FarmHouse. To make a gift you can:

• Send a check, credit card information or money order to:
  7306 NW Tiffany Springs Pkwy, Suite 210
  Kansas City, MO 64153
  
  
• Call us at 800-722-1905

What percentage of alumni members give each year?

Approximately 7 to 9% of FarmHouse brothers make gifts to the Foundation annually. Just imagine what the Foundation could do if each brother supported the FarmHouse Foundation!

Why do alumni give to philanthropies like FarmHouse Foundation?

Alumni brothers and friends give to the FarmHouse Foundation for many reasons. Some reasons you might also choose to give include:

• Your belief in the value of the FarmHouse experience and your desire to ensure that experience continues for future generations.
• Your interest in a particular FarmHouse program.
• Your gratitude for what FarmHouse has done for you.
• Your wish to memorialize or honor someone.
• Your passion to share your good fortune and challenge others to do the same.

What fiscal year does the Foundation operate on?

The FarmHouse Foundation's fiscal year runs from March 1st through February 28th.

What are the Foundation's donor recognition societies?

Accumulative Honor Groups:

• Century Club $100,000 and Up
• Doane Club $50,000 to $99,999
• H.K. Wilson Club $25,000 to $49,999
• 1905 Club $10,000 to $24,999
• Foundation Club $5,000 to $9,999
• Foundation Fellow $1,000 to $4,999
• Foundation Builder $500 to $999
• Foundation Member $100 to $499

Annual Fund Giving Clubs:
The Second 7: recognizes donors who make an unrestricted gift of $7,000
The Circle of 7: salutes those brothers who give between $700 and $6,999
Charter Circle: in honor of the 43 chapters chartered - gifts between $430 - $699
Anniversary Circle: in honor of the years since our founding - gifts between $105 - $429
Donors: honors those who have given between $1-$104.

What is Campaign 2005?

In 2005, the Board of Trustees decided to take on the most ambitious fund-raising project in the history of the Fraternity: a $4 million comprehensive campaign for the 100th Anniversary of the Fraternity. The Fraternity had always been under-captitalized and the Foundation had been established to address this issue. However, the Foundation had only begun to change this situation in 2005. It still needed to put a firm foundation under the excellent programs the Fraternity provided to about 1,350-1,450 of the nation's best undergraduate men each year. Campaign 2005 set out to do this. At the 2002 Conclave, the FarmHouse Foundation Trustees and staff joined with FarmHouse undergraduates, alumni, and friends of the Fraternity to launch the Foundation's campaign. Thanks to the generosity of alumni and friends across the country, Campaign 2005 was a big success, bringing the Foundation's endowed funds to well over the $4 million goal of the campaign.

Can I increase my support by having my company match my gift?

Yes! Matching gifts from your employer are a great way to make your generous support of the Foundation go twice as far. To double or even triple the size of your gift, simply forward your company's matching gift form to the Foundation along with your gift. Click here to learn more about matching gifts.

What is a Bequest?

A bequest is a provision in your will that transfers property such as cash, securities or tangible property to an individual or a charitable organization like the FarmHouse Foundation.

What are the benefits of a Bequest?

For many donors a bequest offers the opportunity to make a more substantial gift than would be possible during a donor's lifetime. Bequests offer the ability to significantly reduce your taxable estate and are a simple way to support a specific chapter or program while helping to ensure the enduring success of FarmHouse.

Would the Foundation like to know my Bequest intentions?

Yes! Please let us know. When you mention the Foundation in your will, we respectfully request that you let us know. Not only will this knowledge help us better plan for the future, it will also allow us to thank you appropriately and give your gift the recognition it deserves (if that is your wish). We also want to make sure you have the opportunity to specify any specific uses of your generous gift.

Are there different types of Bequests?

There are various types of bequests that you may choose to use. Each type
achieves different objectives.

• A specific bequest is the simplest form and designates a fixed dollar amount or specific property to a beneficiary. This type of bequest is appropriate when you have an item of value (stocks or bonds, real estate, works of art) or a definite dollar amount you wish to direct to a particular beneficiary.
• A percentage request leaves a specific percentage of the value of your estate to a beneficiary.
• A residual bequest designates all or a percentage of your estate after specific amounts have been allocated to other beneficiaries. This type of bequest adjusts in size as your estate increases or decreases over time.
• A contingent bequest leaves a beneficiary interest in assets, which it may or may not receive, depending upon the occurrence of specific but uncertain events.

What wording is appropriate for a bequest to the FarmHouse Foundation?

Your bequest to The FarmHouse Foundation may be of a specific amount, or it may be a percentage of your residuary estate: I give and bequeath to The FarmHouse Foundation, Inc. (Federal Tax I.D. # 36-6111880), a not-for-profit 501(c)3 trust agreement domiciled in Missouri, the sum of $_________ (or ______ % of my residuary estate) to be used by the Foundation in the fulfillment of it's educational purposes as the Foundation of Board of Trustees shall determine. This information is intended to be of a general nature. We encourage you to consult with professional advisors concerning your own personal situation.

What are the benefits of making a gift of stock?

There are two major tax benefits that occur when gifts of stock are made. First, you are able to avoid capital gains taxes that would normally be paid on stocks that have appreciated in value. Second, you are allowed to deduct the full fair market value of the gift on your taxes for that year,
providing you have owned the stock for more than one year.

Is making a gift of stock easy to do?

Yes, it's very easy to do. Stocks can be transferred electronically from your brokerage account or can be sent through the mail if held in a certificate form. Please contact Allison Rickels, Executive Director, at 800-722-1905 or Allison@FarmHouse.org for transfer information and instructions.

How is a gift of stock valued?

A gift of stock is valued by using the average (mean) between the high and low prices on the date of the gift. The gift date for securities transferred from your brokerage account is the day the transfer hits the Foundation's brokerage account. If securities are mailed in certificate form, the gift date is the date it is received in the International Office.

Can I contribute securities that have decreased in value?

Yes. However, it will be more advantageous for you from a tax standpoint to first sell the shares (especially a capital loss) then contribute the proceeds to the FarmHouse Foundation to receive your charitable deduction.

What is an Endowment?

Endowments are special kinds of gifts. They celebrate the names of generous donor's families or friends in perpetuity and lock them to the life and mission of FarmHouse. Endowments are self-renewing sources of funding that enable the Foundation to offer leadership opportunities and training, along with scholarships to our undergraduate brothers.

How can I endow a scholarship?

Establishing a scholarship to benefit the current and future generations of some of the most outstanding young men in North America, the undergraduate members of FarmHouse, is easy, satisfying, and tax deductible. More than 35 FH men, families, and associations have done so.

The concept is a simple one: $10,000 or more will permanently endow a scholarship. The gift can be made lump sum or spread over up to 5 years. The gift can be out-right, via bequest, or other deferred gift arrangement. For gifts of $10,000 or more, the Foundation will prepare a fund
agreement or contract that will assure that the gift is used as the donor intended in perpetuity.

The scholarship can be for the traditional award for academic achievement and/or need. Or it can be for the more broadly defined scholarship of the 21st Century and provide scholarships for a number of men from your chapter of initiation, other chapter or chapters to attend The FarmHouse Leadership Academy, The Regional Leadership Conference, a Financial Management Workshop, or Conclave. Scholarships can also be for study abroad, and other educational opportunities and programs.

Can I establish an Endowed Fund with a Planned Gift?

Yes. Endowments with the Foundation may be established with deferred gifts through careful estate planning. Bequests in your will, charitable trusts and life insurance gifts are all ways to make a profound impact on the future of FarmHouse through an endowment.

How is my endowment gift invested?

With the advice and assistance of the Wells Fargo Financial Advisors, the Trustees invest the endowment and other Foundation funds.

What is a deferred or planned gift?

Deferred gifts benefit an individual or an institution like FarmHouse Foundation at some future date. Such gifts are the result of careful financial and estate planning and include bequests, trusts and life insurance.

Does the Foundation have a Planned Giving Society?

Yes. The Foundation's Board of Trustees has established the FarmHouse Futures Fund, a program emphasizing planned and deferred giving. Membership in the program recognizes brothers and friends who have made a special commitment. Members of this society have included the Foundation in their charitable-giving plans through bequest by will, beneficial interest in a life-insurance policy, a charitable-gift annuity or a charitable remainder trust.

How can I make a gift of Life Insurance to the Foundation?

Making a gift of life insurance is easy to do. A fully paid up policy can be donated, naming the Foundation irrevocable owner and beneficiary. Donors are then entitled to an income tax deduction for an amount equivalent to the cash value of the policy.

What are the benefits of a gift of life insurance?

Life insurance is a useful vehicle for making a substantial gift for the future of the Foundation without removing major assets from your portfolio. In addition to the tax benefits to the donor, the large cash values resulting from relatively small premiums allow many donors to make more substantial gifts through life insurance than they could on a current outright basis.

What is Charitable Gift Annuity?

A charitable gift annuity is a way to make sure you receive guaranteed income. It is a contract between you and a charitable organization like the FarmHouse Foundation. You agree to give us money or an asset. In return, we agree to pay you a set amount every year for the rest of your life. The amount you receive as lifetime income is a certain percentage of the value of your gift, and it depends on your age at the time of the gift. The older you are, the higher the percentage.

What are the benefits of Charitable Gift Annuity?

There are two major benefits for the Charitable Gift Annuity. First, you will have the benefit of a guaranteed fixed income every year for the rest of your life (and another person's, if you choose). Second, you are allowed a charitable deduction the first year, and part of the annual income is
considered a tax-free return of capital until you reach your life expectancy. Perhaps best of all, by establishing a charitable gift annuity, you know that you're helping to support a worthy cause at the same time you're securing a stable income for yourself.

What is a Charitable Remainder Trust?

A Charitable Remainder Trust is a trust under which the donor and/or a designated beneficiary receive income for life or a fixed number of years in return for the irrevocable transfer of cash or property to a trustee like the FarmHouse Foundation. When the trust terminates, the remainder interest is distributed to a charitable organization, such as the FarmHouse Foundation.

What are the benefits of a Charitable Remainder Trust?

By creating a charitable remainder trust, you may:

• Qualify for an immediate federal income tax deduction based on a portion of the value of the gift.
• Avoid capital gains tax on appreciated property used to fund the trust.
• Provide income for life or a term of years to the beneficiary(ies) you select (yourself, spouse, friends, adult children).
• Reduce your estate tax liability by removing assets from your estate.

What is a Charitable Lead Trust?

A Charitable Lead Trust is basically the reverse of a charitable remainder trust. Assets placed in the trust generate annual income that is distributed to an entity like the FarmHouse Foundation. At the end of the trust term (a prescribed period to one or more person's lifetimes, a set
number of years, or a combination of the two) the principal returns to the donor or is transferred to a named beneficiary (typically, children or grandchildren).

By establishing a lead trust, you are, in effect "lending" an asset to the Foundation for the term of the trust and allowing the Foundation to benefit from the income the asset generates.

What are the benefits of a Charitable Lead Trust?

With a charitable lead trust, the donor can avoid gift or estate taxes through the ultimate transfer of assets to beneficiaries (family members). With such a transfer, the donor's taxable estate is also greatly reduced. At the same time, the donor's gift will greatly benefit the Foundation during
the trust term.