A Generous Life and an Enduring LegacyReed Riker’s Lifetime of Giving Supports Penn State Students

Throughout his lifetime, the chemical

engineering graduate, who passed away

on August 11, 2012, established eleven

gift annuities with the University,

which will create scholarships across

Penn State’s campuses and colleges.

“Reed was a truly remarkable

person,” says Maria Russoniello, the

director of development at Penn State

Worthington Scranton who worked

Remembering Penn State

6

Penn State Office of Gift Planning

with Reed to establish an endowment at

the campus. “He had a sincere interest

in Penn State students, and he was

always very focused on how he could

help make their lives better.”

Having spent his career in the financial

industry, Reed appreciated the benefits of

gift annuities in providing an up-front tax

deduction and a stable source of income.

The annuities also allowed Reed and

his late wife, Mabel ’31 Edu, to pursue

their philanthropic passions, establishing

eight scholarship endowments at Penn

State to benefit areas of the University

that were significant to them: the

College of Education, where Mabel

earned her degree; Penn State Lehigh

Valley and Penn State Worthington

Scranton, regions where the couple lived

and worked; the Penn State basketball

team, a sport Reed enjoyed to watch and

coach; and University-wide scholarships

to support students with financial need.

Michael J. DegenhartExecutive Director

Brian J. McCullough, Esq.Gift Planning Officer

Larry J. MrozGift Planning Officer

Thomas L. ParrishAssociate Gift Planning Officer

Patricia L. Roenigk, Esq.Director, Individual Gift Planning

Jeanne M. SalladeAssistant Director

Terri L. AssaelGift Planning Assistant

Office of Gift Planning214 The 103 Building University Park, PA 16802

814-865-0872 Toll-free: 1-888-800-9170giftplanning@psu.edu

www.giftplanning.psu.edu

Gift Planning Newsletter

REAL EStAtEA Grand Way to Help Others

Gift Planning NewsletterWINTER 2013

Although Reed Riker ’32 Eng lived to the age of 101, his legacy at Penn State will live on much longer.

Inside: PAGE 2: Why you need an estate plan PAGE 3: Build a more secure future PAGE 5: Consider a gift of real estate PAGE 6: Five must-have documents

Estate Planning Essentials

Give the property directly to Penn State. This earns you an immediate

tax deduction.

Make a gift through your will. Made as part of your estate plan, a

charitable bequest gives your estate an estate tax deduction and supports our

students long after you’re gone.

Consider a bargain sale. This is part gift, part sale, meaning we purchase

the property from you for less than its current value. This entitles you to

a charitable income tax deduction based on the value of the gift portion,

reduces your capital gains taxes, and provides you with cash from the sale.

Donate your home but keep living in it. Through a retained life estate,

you make a gift while retaining the right to use and occupy the property

during your life. You realize an immediate income tax deduction for a

portion of your home’s value.

If you want to use real estate to support the University, you can make the gift in several ways.

You’re InvitedWhen you support the future of Penn State

through a planned gift, you join a group

of alumni and friends who share a love

and vision for our University and, more

important, our students. This inspirational

group is called The Atherton Society,

named for George W. Atherton, Penn

State’s seventh president, and his wife,

Frances. Their efforts laid the groundwork

for today’s achievements, much like your

gifts do today.

Join UsMembership is offered to individuals who

have included Penn State in their estate

plans or as a beneficiary of a planned

gift. Your bequest commitment can help

us reach the goals of For the Future:

The Campaign for Penn State Students.

Sharing your intentions with us allows

Penn State to ensure your wishes are

fulfilled in the future.

“Reed had a passion for high-quality

education and for helping talented

and deserving students earn their

degrees,” says Dean David Monk of the

College of Education, where the Rikers

established an undergraduate and a

graduate scholarship.

“And his gifts will help us to continue

pursuing those values—helping students

realize their educational dreams and

ensuring we continue to recruit high-

achieving and ambitious scholars.”

In addition to providing student

assistance, Maria notes that the Rikers’

gift annuities and the scholarships they

create will ensure Reed and Mabel’s

lasting impact on the University.

“Anyone who met Reed will

remember his intellect, integrity, and

generosity,” Maria says. “It was an honor

to know Reed, and now generations of

future Penn Staters will be touched by

his life as well.”

The late Reed Riker ’32 Eng left a legacy of generosity to benefit future Penn State students.

To learn how a gift annuity can work for you, please contact the

Office of Gift Planning at 888-800-9170 or giftplanning@psu.edu. You

can also find more information on our website, www.giftplanning.psu.edu.

Creating a will is a vital first step in creating a solid estate plan. Here are the five must-have documents you need to have in place.

tool Why You Need It

Will The cornerstone of your estate plan, this document ensures your assets will be distributed exactly as you intend.

Trust You can make special arrangements for the management of your assets for yourself and others. Trusts can shelter assets for a surviving spouse and benefit heirs and charitable beneficiaries.

Living will This document allows you to articulate your wishes concerning heroic, life-sustaining measures.

Durable power of attorney

You can designate a trusted individual to handle legal and financial matters on your behalf.

Health care power of attorney

If you are unable to make health care decisions, this document stipulates who will make those decisions on your behalf.

The information in this publication is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.

© Penn State University and The Stelter Company

A Bright Future For YouConsider a gift that ensures your

future and brightens ours. Read

about three unique gift options

in our FREE guides. Simply

return the enclosed survey and

we’ll send your copies today.

1

2

3

4

Remembering Penn State

5

Pho

To: L

ehIG

h V

ALLe

Y h

eALT

h N

eTW

ork

If you’re considering using real estate to support the future of Penn State, please call the Office of Gift Planning at 888-800-9170.

PROtECt YOUR EStAtE

Build a Ladder of SECURItY

Is an Update Needed?Simply having a will doesn’t mean

you can rest easy, though. You must

also keep it current. Look over the

following list of items to see if an

update is in store:

� You or someone in your family has

recently had a change in marital

status or welcomed a child.

� A loved one has died.

� You have moved to another state.

� Tax laws have changed.

What Happens if You Don’t Have an Estate Plan?If you die without a will, the laws

of the state where you reside will

determine how your property is

divided among your closest surviving

relatives. If you have a spouse and

children, they may have to share part

of your estate in proportions you

wouldn’t have wanted. This can lead to

family squabbles and serious financial

consequences for your loved ones.

Every year, we ritually make resolutions to improve our lives—exercise more, be on time, put more money into our savings accounts. While some resolutions are more critical than others, updating or creating your estate plan is one promise you must keep.

The road to and through retirement can be unpredictable at times. By establishing a series of charitable gift annuities with Penn State over a number of years, you can build a ladder of security for retirement that ends with a charitable gift.

Remembering Penn State

3

� Your concerns have shifted from

the needs of your young children

to long-term care planning for your

aging parents or even yourself.

� You would like to use a portion of your

estate to help support a favorite cause.

Also, in addition to a will, there

are other essential documents you

should have to round out your plan

(see chart, Page 6).

Next StepsIf you need to have documents created

or if major life events have occurred

since you last reviewed your estate

plan, you should meet with your estate

planning attorney as soon as possible.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Remembering Penn State

2

Remembering Penn State

4

A 2013 New Year’s Resolution

What Does Your Ladder Of Security Look Like?

FOR A ONE-LIFE GIFt ANNUItY

Age Gift Amount RateGift Annuity

PaymentCharitable Deduction*

65 $10,000 4.7% $470 $2,848

70 $10,000 5.1% $510 $3,615

75 $10,000 5.8% $580 $4,216

80 $10,000 6.8% $680 $4,758

85 $10,000 7.8% $780 $5,485

At age 85, you will receive a total of $3,020 each year.

*Based on annual payments and a 1.4 percent charitable midterm federal rate.Deductions vary based on income earned.

When reviewing your estate plan, please consider adding a gift to

Penn State in your plan. Contact the Office of Gift Planning at

888-800-9170 or giftplanning@psu.edu today to discuss your options.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Step 1Determine how much you would like to donate to us in a series of irrevocable gifts.

Step 3Enjoy the tax benefits of your gift. each year you add a gift annuity to your ladder of security, you qualify for a charitable income tax deduction for the value that is expected to remain for Penn State after your lifetime.

Step 5Feel secure in the present and future thanks to your gifts. This donation option ensures that you receive secure, steady payments for the rest of your life. You may also name a beneficiary to share the payments while you are both alive or to continue receiving lifetime payments after your passing. You can feel good about our future as well, because any remaining funds will benefit our brilliant students and faculty.

Step 2Lay out the frequency of your gifts to the University. You might consider establishing a gift annuity every year for five years or every five years for 20 years. You can choose the number of gift annuities and the space between each one.

Step 4Get paid more as you move up the ladder. The rate you receive with each rung in your ladder is determined by your age at the time of making the gift. For example, the gift annuity you create at age 70 could pay you 5.1 percent of the initial gift amount per year for the remainder of your lifetime. Then the next gift annuity you create at age 75 could give you a fixed rate of 5.8 percent.

1

2

3

4

5

Visit www.giftplanning.psu.edu to learn how a series of charitable gift annuities with Penn State can lead to a secure future for you and us.

With a charitable gift annuity,

you make a gift to Penn State

and in return we make regular

payments to you for your entire

lifetime. Plus, when you make

a “ladder” of your gifts, each

time you arrive at a higher age

bracket, you receive an increase

in the payment rate you receive.

Here’s how to build your

ladder to a more secure financial

future, one rung at a time.

PROtECt YOUR EStAtE

Build a Ladder of SECURItY

Is an Update Needed?Simply having a will doesn’t mean

you can rest easy, though. You must

also keep it current. Look over the

following list of items to see if an

update is in store:

� You or someone in your family has

recently had a change in marital

status or welcomed a child.

� A loved one has died.

� You have moved to another state.

� Tax laws have changed.

What Happens if You Don’t Have an Estate Plan?If you die without a will, the laws

of the state where you reside will

determine how your property is

divided among your closest surviving

relatives. If you have a spouse and

children, they may have to share part

of your estate in proportions you

wouldn’t have wanted. This can lead to

family squabbles and serious financial

consequences for your loved ones.

Every year, we ritually make resolutions to improve our lives—exercise more, be on time, put more money into our savings accounts. While some resolutions are more critical than others, updating or creating your estate plan is one promise you must keep.

The road to and through retirement can be unpredictable at times. By establishing a series of charitable gift annuities with Penn State over a number of years, you can build a ladder of security for retirement that ends with a charitable gift.

Remembering Penn State

3

� Your concerns have shifted from

the needs of your young children

to long-term care planning for your

aging parents or even yourself.

� You would like to use a portion of your

estate to help support a favorite cause.

Also, in addition to a will, there

are other essential documents you

should have to round out your plan

(see chart, Page 6).

Next StepsIf you need to have documents created

or if major life events have occurred

since you last reviewed your estate

plan, you should meet with your estate

planning attorney as soon as possible.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Remembering Penn State

2

Remembering Penn State

4

A 2013 New Year’s Resolution

What Does Your Ladder Of Security Look Like?

FOR A ONE-LIFE GIFt ANNUItY

Age Gift Amount RateGift Annuity

PaymentCharitable Deduction*

65 $10,000 4.7% $470 $2,848

70 $10,000 5.1% $510 $3,615

75 $10,000 5.8% $580 $4,216

80 $10,000 6.8% $680 $4,758

85 $10,000 7.8% $780 $5,485

At age 85, you will receive a total of $3,020 each year.

*Based on annual payments and a 1.4 percent charitable midterm federal rate.Deductions vary based on income earned.

When reviewing your estate plan, please consider adding a gift to

Penn State in your plan. Contact the Office of Gift Planning at

888-800-9170 or giftplanning@psu.edu today to discuss your options.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Step 1Determine how much you would like to donate to us in a series of irrevocable gifts.

Step 3Enjoy the tax benefits of your gift. each year you add a gift annuity to your ladder of security, you qualify for a charitable income tax deduction for the value that is expected to remain for Penn State after your lifetime.

Step 5Feel secure in the present and future thanks to your gifts. This donation option ensures that you receive secure, steady payments for the rest of your life. You may also name a beneficiary to share the payments while you are both alive or to continue receiving lifetime payments after your passing. You can feel good about our future as well, because any remaining funds will benefit our brilliant students and faculty.

Step 2Lay out the frequency of your gifts to the University. You might consider establishing a gift annuity every year for five years or every five years for 20 years. You can choose the number of gift annuities and the space between each one.

Step 4Get paid more as you move up the ladder. The rate you receive with each rung in your ladder is determined by your age at the time of making the gift. For example, the gift annuity you create at age 70 could pay you 5.1 percent of the initial gift amount per year for the remainder of your lifetime. Then the next gift annuity you create at age 75 could give you a fixed rate of 5.8 percent.

1

2

3

4

5

Visit www.giftplanning.psu.edu to learn how a series of charitable gift annuities with Penn State can lead to a secure future for you and us.

With a charitable gift annuity,

you make a gift to Penn State

and in return we make regular

payments to you for your entire

lifetime. Plus, when you make

a “ladder” of your gifts, each

time you arrive at a higher age

bracket, you receive an increase

in the payment rate you receive.

Here’s how to build your

ladder to a more secure financial

future, one rung at a time.

PROtECt YOUR EStAtE

Build a Ladder of SECURItY

Is an Update Needed?Simply having a will doesn’t mean

you can rest easy, though. You must

also keep it current. Look over the

following list of items to see if an

update is in store:

� You or someone in your family has

recently had a change in marital

status or welcomed a child.

� A loved one has died.

� You have moved to another state.

� Tax laws have changed.

What Happens if You Don’t Have an Estate Plan?If you die without a will, the laws

of the state where you reside will

determine how your property is

divided among your closest surviving

relatives. If you have a spouse and

children, they may have to share part

of your estate in proportions you

wouldn’t have wanted. This can lead to

family squabbles and serious financial

consequences for your loved ones.

Every year, we ritually make resolutions to improve our lives—exercise more, be on time, put more money into our savings accounts. While some resolutions are more critical than others, updating or creating your estate plan is one promise you must keep.

The road to and through retirement can be unpredictable at times. By establishing a series of charitable gift annuities with Penn State over a number of years, you can build a ladder of security for retirement that ends with a charitable gift.

Remembering Penn State

3

� Your concerns have shifted from

the needs of your young children

to long-term care planning for your

aging parents or even yourself.

� You would like to use a portion of your

estate to help support a favorite cause.

Also, in addition to a will, there

are other essential documents you

should have to round out your plan

(see chart, Page 6).

Next StepsIf you need to have documents created

or if major life events have occurred

since you last reviewed your estate

plan, you should meet with your estate

planning attorney as soon as possible.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Remembering Penn State

2

Remembering Penn State

4

A 2013 New Year’s Resolution

What Does Your Ladder Of Security Look Like?

FOR A ONE-LIFE GIFt ANNUItY

Age Gift Amount RateGift Annuity

PaymentCharitable Deduction*

65 $10,000 4.7% $470 $2,848

70 $10,000 5.1% $510 $3,615

75 $10,000 5.8% $580 $4,216

80 $10,000 6.8% $680 $4,758

85 $10,000 7.8% $780 $5,485

At age 85, you will receive a total of $3,020 each year.

*Based on annual payments and a 1.4 percent charitable midterm federal rate.Deductions vary based on income earned.

When reviewing your estate plan, please consider adding a gift to

Penn State in your plan. Contact the Office of Gift Planning at

888-800-9170 or giftplanning@psu.edu today to discuss your options.

ESTATE PLANNING TIPS TO HELP YOU ACHIEVE YOUR CHARITABLE GOALS

Step 1Determine how much you would like to donate to us in a series of irrevocable gifts.

Step 3Enjoy the tax benefits of your gift. each year you add a gift annuity to your ladder of security, you qualify for a charitable income tax deduction for the value that is expected to remain for Penn State after your lifetime.

Step 5Feel secure in the present and future thanks to your gifts. This donation option ensures that you receive secure, steady payments for the rest of your life. You may also name a beneficiary to share the payments while you are both alive or to continue receiving lifetime payments after your passing. You can feel good about our future as well, because any remaining funds will benefit our brilliant students and faculty.

Step 2Lay out the frequency of your gifts to the University. You might consider establishing a gift annuity every year for five years or every five years for 20 years. You can choose the number of gift annuities and the space between each one.

Step 4Get paid more as you move up the ladder. The rate you receive with each rung in your ladder is determined by your age at the time of making the gift. For example, the gift annuity you create at age 70 could pay you 5.1 percent of the initial gift amount per year for the remainder of your lifetime. Then the next gift annuity you create at age 75 could give you a fixed rate of 5.8 percent.

1

2

3

4

5

Visit www.giftplanning.psu.edu to learn how a series of charitable gift annuities with Penn State can lead to a secure future for you and us.

With a charitable gift annuity,

you make a gift to Penn State

and in return we make regular

payments to you for your entire

lifetime. Plus, when you make

a “ladder” of your gifts, each

time you arrive at a higher age

bracket, you receive an increase

in the payment rate you receive.

Here’s how to build your

ladder to a more secure financial

future, one rung at a time.

A Generous Life and an Enduring LegacyReed Riker’s Lifetime of Giving Supports Penn State Students

Throughout his lifetime, the chemical

engineering graduate, who passed away

on August 11, 2012, established eleven

gift annuities with the University,

which will create scholarships across

Penn State’s campuses and colleges.

“Reed was a truly remarkable

person,” says Maria Russoniello, the

director of development at Penn State

Worthington Scranton who worked

Remembering Penn State

6

Penn State Office of Gift Planning

with Reed to establish an endowment at

the campus. “He had a sincere interest

in Penn State students, and he was

always very focused on how he could

help make their lives better.”

Having spent his career in the financial

industry, Reed appreciated the benefits of

gift annuities in providing an up-front tax

deduction and a stable source of income.

The annuities also allowed Reed and

his late wife, Mabel ’31 Edu, to pursue

their philanthropic passions, establishing

eight scholarship endowments at Penn

State to benefit areas of the University

that were significant to them: the

College of Education, where Mabel

earned her degree; Penn State Lehigh

Valley and Penn State Worthington

Scranton, regions where the couple lived

and worked; the Penn State basketball

team, a sport Reed enjoyed to watch and

coach; and University-wide scholarships

to support students with financial need.

Michael J. DegenhartExecutive Director

Brian J. McCullough, Esq.Gift Planning Officer

Larry J. MrozGift Planning Officer

Thomas L. ParrishAssociate Gift Planning Officer

Patricia L. Roenigk, Esq.Director, Individual Gift Planning

Jeanne M. SalladeAssistant Director

Terri L. AssaelGift Planning Assistant

Office of Gift Planning214 The 103 Building University Park, PA 16802

814-865-0872 Toll-free: 1-888-800-9170giftplanning@psu.edu

www.giftplanning.psu.edu

Gift Planning Newsletter

REAL EStAtEA Grand Way to Help Others

Gift Planning NewsletterWINTER 2013

Although Reed Riker ’32 Eng lived to the age of 101, his legacy at Penn State will live on much longer.

Inside: PAGE 2: Why you need an estate plan PAGE 3: Build a more secure future PAGE 5: Consider a gift of real estate PAGE 6: Five must-have documents

Estate Planning Essentials

Give the property directly to Penn State. This earns you an immediate

tax deduction.

Make a gift through your will. Made as part of your estate plan, a

charitable bequest gives your estate an estate tax deduction and supports our

students long after you’re gone.

Consider a bargain sale. This is part gift, part sale, meaning we purchase

the property from you for less than its current value. This entitles you to

a charitable income tax deduction based on the value of the gift portion,

reduces your capital gains taxes, and provides you with cash from the sale.

Donate your home but keep living in it. Through a retained life estate,

you make a gift while retaining the right to use and occupy the property

during your life. You realize an immediate income tax deduction for a

portion of your home’s value.

If you want to use real estate to support the University, you can make the gift in several ways.

You’re InvitedWhen you support the future of Penn State

through a planned gift, you join a group

of alumni and friends who share a love

and vision for our University and, more

important, our students. This inspirational

group is called The Atherton Society,

named for George W. Atherton, Penn

State’s seventh president, and his wife,

Frances. Their efforts laid the groundwork

for today’s achievements, much like your

gifts do today.

Join UsMembership is offered to individuals who

have included Penn State in their estate

plans or as a beneficiary of a planned

gift. Your bequest commitment can help

us reach the goals of For the Future:

The Campaign for Penn State Students.

Sharing your intentions with us allows

Penn State to ensure your wishes are

fulfilled in the future.

“Reed had a passion for high-quality

education and for helping talented

and deserving students earn their

degrees,” says Dean David Monk of the

College of Education, where the Rikers

established an undergraduate and a

graduate scholarship.

“And his gifts will help us to continue

pursuing those values—helping students

realize their educational dreams and

ensuring we continue to recruit high-

achieving and ambitious scholars.”

In addition to providing student

assistance, Maria notes that the Rikers’

gift annuities and the scholarships they

create will ensure Reed and Mabel’s

lasting impact on the University.

“Anyone who met Reed will

remember his intellect, integrity, and

generosity,” Maria says. “It was an honor

to know Reed, and now generations of

future Penn Staters will be touched by

his life as well.”

The late Reed Riker ’32 Eng left a legacy of generosity to benefit future Penn State students.

To learn how a gift annuity can work for you, please contact the

Office of Gift Planning at 888-800-9170 or giftplanning@psu.edu. You

can also find more information on our website, www.giftplanning.psu.edu.

Creating a will is a vital first step in creating a solid estate plan. Here are the five must-have documents you need to have in place.

tool Why You Need It

Will The cornerstone of your estate plan, this document ensures your assets will be distributed exactly as you intend.

Trust You can make special arrangements for the management of your assets for yourself and others. Trusts can shelter assets for a surviving spouse and benefit heirs and charitable beneficiaries.

Living will This document allows you to articulate your wishes concerning heroic, life-sustaining measures.

Durable power of attorney

You can designate a trusted individual to handle legal and financial matters on your behalf.

Health care power of attorney

If you are unable to make health care decisions, this document stipulates who will make those decisions on your behalf.

The information in this publication is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.

© Penn State University and The Stelter Company

A Bright Future For YouConsider a gift that ensures your

future and brightens ours. Read

about three unique gift options

in our FREE guides. Simply

return the enclosed survey and

we’ll send your copies today.

1

2

3

4

Remembering Penn State

5

Pho

To: L

ehIG

h V

ALLe

Y h

eALT

h N

eTW

ork

If you’re considering using real estate to support the future of Penn State, please call the Office of Gift Planning at 888-800-9170.

A Generous Life and an Enduring LegacyReed Riker’s Lifetime of Giving Supports Penn State Students

Throughout his lifetime, the chemical

engineering graduate, who passed away

on August 11, 2012, established eleven

gift annuities with the University,

which will create scholarships across

Penn State’s campuses and colleges.

“Reed was a truly remarkable

person,” says Maria Russoniello, the

director of development at Penn State

Worthington Scranton who worked

Remembering Penn State

6

Penn State Office of Gift Planning

with Reed to establish an endowment at

the campus. “He had a sincere interest

in Penn State students, and he was

always very focused on how he could

help make their lives better.”

Having spent his career in the financial

industry, Reed appreciated the benefits of

gift annuities in providing an up-front tax

deduction and a stable source of income.

The annuities also allowed Reed and

his late wife, Mabel ’31 Edu, to pursue

their philanthropic passions, establishing

eight scholarship endowments at Penn

State to benefit areas of the University

that were significant to them: the

College of Education, where Mabel

earned her degree; Penn State Lehigh

Valley and Penn State Worthington

Scranton, regions where the couple lived

and worked; the Penn State basketball

team, a sport Reed enjoyed to watch and

coach; and University-wide scholarships

to support students with financial need.

Michael J. DegenhartExecutive Director

Brian J. McCullough, Esq.Gift Planning Officer

Larry J. MrozGift Planning Officer

Thomas L. ParrishAssociate Gift Planning Officer

Patricia L. Roenigk, Esq.Director, Individual Gift Planning

Jeanne M. SalladeAssistant Director

Terri L. AssaelGift Planning Assistant

Office of Gift Planning214 The 103 Building University Park, PA 16802

814-865-0872 Toll-free: 1-888-800-9170giftplanning@psu.edu

www.giftplanning.psu.edu

Gift Planning Newsletter

REAL EStAtEA Grand Way to Help Others

Gift Planning NewsletterWINTER 2013

Although Reed Riker ’32 Eng lived to the age of 101, his legacy at Penn State will live on much longer.

Inside: PAGE 2: Why you need an estate plan PAGE 3: Build a more secure future PAGE 5: Consider a gift of real estate PAGE 6: Five must-have documents

Estate Planning Essentials

Give the property directly to Penn State. This earns you an immediate

tax deduction.

Make a gift through your will. Made as part of your estate plan, a

charitable bequest gives your estate an estate tax deduction and supports our

students long after you’re gone.

Consider a bargain sale. This is part gift, part sale, meaning we purchase

the property from you for less than its current value. This entitles you to

a charitable income tax deduction based on the value of the gift portion,

reduces your capital gains taxes, and provides you with cash from the sale.

Donate your home but keep living in it. Through a retained life estate,

you make a gift while retaining the right to use and occupy the property

during your life. You realize an immediate income tax deduction for a

portion of your home’s value.

If you want to use real estate to support the University, you can make the gift in several ways.

You’re InvitedWhen you support the future of Penn State

through a planned gift, you join a group

of alumni and friends who share a love

and vision for our University and, more

important, our students. This inspirational

group is called The Atherton Society,

named for George W. Atherton, Penn

State’s seventh president, and his wife,

Frances. Their efforts laid the groundwork

for today’s achievements, much like your

gifts do today.

Join UsMembership is offered to individuals who

have included Penn State in their estate

plans or as a beneficiary of a planned

gift. Your bequest commitment can help

us reach the goals of For the Future:

The Campaign for Penn State Students.

Sharing your intentions with us allows

Penn State to ensure your wishes are

fulfilled in the future.

“Reed had a passion for high-quality

education and for helping talented

and deserving students earn their

degrees,” says Dean David Monk of the

College of Education, where the Rikers

established an undergraduate and a

graduate scholarship.

“And his gifts will help us to continue

pursuing those values—helping students

realize their educational dreams and

ensuring we continue to recruit high-

achieving and ambitious scholars.”

In addition to providing student

assistance, Maria notes that the Rikers’

gift annuities and the scholarships they

create will ensure Reed and Mabel’s

lasting impact on the University.

“Anyone who met Reed will

remember his intellect, integrity, and

generosity,” Maria says. “It was an honor

to know Reed, and now generations of

future Penn Staters will be touched by

his life as well.”

The late Reed Riker ’32 Eng left a legacy of generosity to benefit future Penn State students.

To learn how a gift annuity can work for you, please contact the

Office of Gift Planning at 888-800-9170 or giftplanning@psu.edu. You

can also find more information on our website, www.giftplanning.psu.edu.

Creating a will is a vital first step in creating a solid estate plan. Here are the five must-have documents you need to have in place.

tool Why You Need It

Will The cornerstone of your estate plan, this document ensures your assets will be distributed exactly as you intend.

Trust You can make special arrangements for the management of your assets for yourself and others. Trusts can shelter assets for a surviving spouse and benefit heirs and charitable beneficiaries.

Living will This document allows you to articulate your wishes concerning heroic, life-sustaining measures.

Durable power of attorney

You can designate a trusted individual to handle legal and financial matters on your behalf.

Health care power of attorney

If you are unable to make health care decisions, this document stipulates who will make those decisions on your behalf.

The information in this publication is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.

© Penn State University and The Stelter Company

A Bright Future For YouConsider a gift that ensures your

future and brightens ours. Read

about three unique gift options

in our FREE guides. Simply

return the enclosed survey and

we’ll send your copies today.

1

2

3

4

Remembering Penn State

5

Pho

To: L

ehIG

h V

ALLe

Y h

eALT

h N

eTW

ork

If you’re considering using real estate to support the future of Penn State, please call the Office of Gift Planning at 888-800-9170.