Charitable Bargain Sales
(Gift example)

You're ready to move to a retirement facility across town. You know that you will need some of the equity in your current home for the entry fees there. But your home has appreciated significantly over the years, and you would like to use some of the excess value to fund a gift to Pomona College.

Example

You and your spouse donate a personal residence having an appraised value of $500,000, and an adjusted cost basis of $100,000 in a Charitable Bargain Sale arrangement. Bargain Sale price of the property is $125,000, payable in cash. Here are the calculations:

Charitable Bargain Sale

Summary of Benefits

*Since there is a capital gains tax exclusion of $500,000 per couple on the sale of a personal residence, all capital gains tax is avoided in this example.

PLEASE NOTE: The calculations and tax benefits included in this example are estimates only. Actual benefits may vary. This example is for illustration purposes only and is not intended as legal or tax advice. Consult your own legal and tax advisors prior to making any material decisions based on this date.

For more information

Email us, complete the personal illustration form, or call us at (909) 621-8143 or (800) 761-9899 so that we can assist you through every step of the process.

Pomona College
Trusts and Estates
550 North College Ave
Alexander Hall 235
Claremont, CA 91711
(909) 621-8143 or (800) 761-9899
Fax: (909) 621-8654
pomonaplan@pomona.edu