This is one of the models available in Planned Giving Manager (PGM) in the Type of plan to model window in Life Income Projections. It illustrates three estate planning options for a single person and follows the estate consequences of each through two successive estates: two non-charitable options that are presented in the Estate plan without life income plan chart and diagrams and one charitable option that is presented in the Estate plan with life income plan chart and diagrams.
In the charitable plan, this model assumes that the donor funds a life income plan at the start of the projection, then predicts the taxes and transfers that will occur at the donor's death and, later, at the death of the donor's heir. The model assumes that the donor's estate leaves everything to an irrevocable trust which grows at the general estate growth rate, then distributes its principal at the death of the donor's heir.
In the non-charitable options, this model shows the estate consequences of bequeathing the would-be gift assets to heirs along with the rest of the estate. In this case, the model produces two illustrations. The first describes the consequences of a simple will, where the donor leaves everything to the donor's heir who later leaves everything to his or her heirs. The second describes the consequences if the donor leaves everything to an irrevocable trust instead, and the trust and the donor's heir later leave everything to heirs.
This calculation can be created in our Planned Giving Manager (PGM) software. If you are a PGM license holder, see the Help section in the software for more details.
The other models available in Life Income Projections are:
Standard life income plan
Gift tax on life income plan
Sell part and give part
Testamentary life income plan
Testamentary gift of retirement plan or IRD
Estate plan for married couple
Estate plan for survivor
