Related Links

Gift Illustration

Complete Gift Description

Is This Gift Right For You?

Frequently Asked Questions

Contact Us

Testamentary Life Income Gift: The Details

Is this gift right for you?

A gift of testamentary life income is for you if…

  • You want to make a significant gift to Yale but must also provide for family.
  • You are looking for tools to reduce the tax liability your estate will bear.
  • You want to direct income to a special-needs family member, to an employee or caregiver, or to beneficiaries who do not need a large outright bequest.

A testamentary life income gift adds additional flexibility to your estate plan. You can provide that your estate will fund a charitable gift annuity, charitable remainder unitrust or charitable remainder annuity trust at your death. You make the provisions in your will or revocable trust, and they are carried out by your executor or trustee and Yale.

Your estate will receive a charitable estate tax deduction for the gift, based on the value of the transfer minus the value of the beneficiaries' income interest.

The result? You help Yale while also benefiting children or other heirs, making one asset do the work of two. You potentially lower the estate tax burden on your estate. You also gain flexibility in making special provisions for your heirs, either by providing additional resources for an individual or by limiting that individual to a life income rather than a large outright bequest.

Important considerations