The Rotary Foundation: Building a Legacy for Tomorrow

1. You are part of the Rotary Family Be a part of it forever

2. The Permanent Fund • Enhanced Foundation programs since 1982 • Endowed fund invested permanently to build long-term stability for Foundation’s future • Key to Foundation’s role tomorrow

3. A look at the Future – Today Permanent Fund earnings already help support Rotary Foundation programs that advance our mission.

4. Humanitarian Programs • Matching Grants • District Simplified Grants • Health, Hunger and Humanity (3-H) Grants • Volunteer Service Grants

5. Educational Programs • Group Study Exchange • Ambassadorial Scholarship • Rotary Grants for University Teachers • Rotary Centers for International Studies

6. Polio • PolioPlus • PolioPlus Partners “Eradication is attainable.” Luis Giay Chairman, Board of Trustees 2006-07 The Rotary Foundation

7. You can help – You can win

8. Four “Win” Test Did you know that with one gift you can … • Make a major gift to support Rotary Foundation programs • Receive immediate tax benefits • Reduce capital gains tax on gifts of appreciated property • Receive lifetime income for you or others

9. Life Income Agreement • A Life Income Agreement enables donors to receive income for life from their charitable gift. • Types of Life Income Agreements available through TRF: • Charitable Gift Annuity • Deferred Charitable Gift Annuity • Charitable Remainder Annuity Trust • Charitable Remainder Unitrust • Lead Trust • Pooled Income Fund

10. Charitable Gift Annuity A donor makes a gift in cash or publicly traded securities and in return receives regular payments for life that never change in size or frequency, regardless of changes in the economy.

11. Deferred Charitable Gift Annuity Just like Charitable Gift Annuities, but: • Payments are postponed for a specified period of time, which is at least one year after the date of the gift. • Size of payment depends on the amount transferred, income beneficiary’s age, and the length of deferral.

12. Charitable Remainder Trust • A trust into which a donor irrevocably places assets in exchange for an income, either for life or a term of years. • The trust will pay income at an agreed upon rate minimally 5% of the initial principal. • Two types of Charitable Remainder Trusts: • Unitrust – Income fluctuates annually with the fair market value of the trust. • Annuity trust – Income payments are fixed and determined when the gift is made.

13. Illustrations Planned Giving staff can prepare a Life Income Agreement benefits illustration for you

14. Donor Advised Funds Establishing a DAF is like having a private foundation without the hassles and paperwork that go along with operating one. • Group account (From two to four account-holders, expected to last in perpetuity) • Individual account (One account-holder and a spouse, possibility of transferring account-holder status to child or children, remainder to charity)

15. Named Funds • $25,000 – establishes Named Fund to provide general support for The Rotary Foundation’s programs • $50,000 – endowment for scholarships or matching grants • $150,000 – restricted endowment, a project within a program of your choice

16. IRA Roll-over Option • Individuals who are 70 ½ at the time of the gift may annually donate up to $100,000 from their Individual Retirement Account (IRA) directly to The Rotary Foundation • This gift can be made without increasing federal gross income for that tax year • Available from now until 31 December 2007 only

17. Testamentary Gifts Testamentary Gift options: • Benefactor • Bequest Society • Making a gift of Life Insurance • Gifts that benefit The Rotary Foundation after the donor’s death.

18. Benefactors and Recognition • A Benefactor is an individual or couple that has made a provision in their estate plan to gift a minimum $1,000 to The Rotary Foundation. Benefactor Commitment Card: 149-EN

19. Leaving a Legacy of Hope – The Bequest Society • Bequest Society member is an individual or couple that has made a provision in their estate plan to gift a minimum $10,000 to TRF. Bequest Society Membership Card: 098-EN

20. Bequest Society Recognition Bequest Society Level 1 US$10,000 – 24,999.99 One Diamond Circle Pin Bequest Society Level 2 US$25,000 – 49,999.99 Two Diamond Circle Pin Bequest Society Level 3 US$50,000 – 99,999.99 Three Diamond Circle Pin Bequest Society Level 4 US$100,000 – 499,999.99 Four Diamond Circle Pin Bequest Society Level 5 US$500,000 – 999,999.99 Five Diamond Circle Pin Bequest Society Level 6 US$1,000,000 Plus Six Diamond Circle Pin

21. Planned Giving Resources www.rotary.org/newsroom/downloadcenter/foundation/development.html

22. Planned Giving Newsletter VISIONS is a semi-annual Planned Giving publication, available for download on the Rotary website.

23. What Every Rotarian Can Do • Discuss your estate plans with your spouse and children • Become a Benefactor • Talk with your financial planner about the benefits of Planned Giving • Contact Planned Giving staff at TRF to discuss specifics about your estate planning situation

24. Thank you for your Support As of December 2006 there are: • Over 72,000 Benefactors • Over 5,000 Bequest Society Members Please consider becoming a supporter of the TRF Permanent Fund by leaving a personal legacy with Rotary.

25. You are a part of the Rotary Family. Plan now to be a part of it forever. Thank you for your support

26. For additional information Please contact: Karena J. Bierman, J.D. Director of Planned and Major Gifts (847) 866-4458 (Phone) (847) 328-4101 (Fax) Karena.Bierman@rotary.org