Leaving a Legacy While Helping Others

The Honorable Deborah M. Paxson '75 and her husband, Michael Brewer

The Honorable Deborah M. Paxson '75 and her husband, Michael Brewer

To The Honorable Deborah Paxson '75, the opportunity to leave a legacy at Virginia Wesleyan College is just as important as helping others graduate from her alma mater. Deborah graduated from VWC in 1975 and was very pleased with the liberal arts education she received. She loved how small the school was and felt that "the College's smaller student population allows the faculty to give students more individual attention." She credits the professors at VWC for "teaching me to think critically, to communicate lucidly and to pursue learning always."

After completing her graduate degree at the University of Vermont, Deborah went on to the University of Virginia's School of Law, but only with the help of former VWC president, Dr. Lambuth Clarke, who agreed to write one of her recommendations for the program. Although she knew that his writing skills were superior, what convinced her to ask him to aid her was his true concern for the students at VWC and their future endeavors. Dr. Clarke was equally thrilled when Deborah found out she had been accepted to UVa's School of Law. Deborah says, "I'll never forget his kindness, generosity and consideration both when I was a student at VWC and many years later when I needed help. My husband still tells people this story about Dr. Clarke." Today, The Honorable Deborah Paxson '75 serves as a Judge in the Juvenile and Domestic Relations Court in Virginia Beach.

While addressing their estate plans, Deborah and her husband decided to make VWC a beneficiary in their wills. "We felt that a legacy contribution to VWC would have a greater impact than a contribution to a university with a larger alumni base and larger endowment," says Deborah. "My husband also tells me that [Dr. Clarke's recommendation] is one of the reasons he felt compelled to make this legacy contribution."

By making an investment in education at VWC, they both know that their gift will impact not only the recipient, but their community. "I'm seeing later generations of graduates making substantial contributions to our community," Deborah recalls. "It is important that the College produce not just good doctors, lawyers, teachers, and bankers, but also good people." Virginia Wesleyan is able to accomplish this because "it has a spiritual as well as an academic vision. Such a dual vision encourages young people to become good citizens, good workers, good parents, good friends and good role models."

A charitable bequest is one or two sentences in your will or living trust that leave to Virginia Wesleyan University a specific item, an amount of money, a gift contingent upon certain events or a percentage of your estate.

an individual or organization designated to receive benefits or funds under a will or other contract, such as an insurance policy, trust or retirement plan

Bequest Language

"I, [name], of [city, state ZIP], give, devise and bequeath to Virginia Wesleyan University [written amount or percentage of the estate or description of property] for its unrestricted use and purpose."

able to be changed or cancelled

A revocable living trust is set up during your lifetime and can be revoked at any time before death. They allow assets held in the trust to pass directly to beneficiaries without probate court proceedings and can also reduce federal estate taxes.

cannot be changed or cancelled

tax on gifts generally paid by the person making the gift rather than the recipient

the original value of an asset, such as stock, before its appreciation or depreciation

the growth in value of an asset like stock or real estate since the original purchase

the price a willing buyer and willing seller can agree on

The person receiving the gift annuity payments.

the part of an estate left after debts, taxes and specific bequests have been paid

a written and properly witnessed legal change to a will

the person named in a will to manage the estate, collect the property, pay any debt, and distribute property according to the will

A donor advised fund is an account that you set up but which is managed by a nonprofit organization. You contribute to the account, which grows tax-free. You can recommend how much (and how often) you want to distribute money from that fund to VWU or other charities. You cannot direct the gifts.

An endowed gift can create a new endowment or add to an existing endowment. The principal of the endowment is invested and a portion of the principal’s earnings are used each year to support our mission.

Tax on the growth in value of an asset—such as real estate or stock—since its original purchase.

Securities, real estate or any other property having a fair market value greater than its original purchase price.

Real estate can be a personal residence, vacation home, timeshare property, farm, commercial property or undeveloped land.

A charitable remainder trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create.

You give assets to a trust that pays our organization set payments for a number of years, which you choose. The longer the length of time, the better the potential tax savings to you. When the term is up, the remaining trust assets go to you, your family or other beneficiaries you select. This is an excellent way to transfer property to family members at a minimal cost.

You fund this type of trust with cash or appreciated assets—and may qualify for a federal income tax charitable deduction when you itemize. You can also make additional gifts; each one also qualifies for a tax deduction. The trust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. When the trust terminates, the remaining principal goes to VWU as a lump sum.

You fund this trust with cash or appreciated assets—and may qualify for a federal income tax charitable deduction when you itemize. Each year the trust pays you or another named individual the same dollar amount you choose at the start. When the trust terminates, the remaining principal goes to VWU as a lump sum.

A beneficiary designation clearly identifies how specific assets will be distributed after your death.

A charitable gift annuity involves a simple contract between you and VWU where you agree to make a gift to VWU and we, in return, agree to pay you (and someone else, if you choose) a fixed amount each year for the rest of your life.

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