Posted: April 17, 2013
Giving is good—and good for you
Here are some reasons whyJeffrey Jensen
I recently sponsored a symposium on philanthropy hosted by the Pikes Peak Community Foundation, held at the spectacular Garden of the Gods Club in Colorado Springs. One of the sessions focused on the health benefits of giving. As Jesse Antin of the Greater Good Science Center in Berkeley said, “We all know that philanthropy feels good, but as it turns out, it’s actually good for you.”
Health Benefits of Philanthropy
“Recent research has shed new light on Darwinism, demonstrating that the fittest survivors practice compassion,” he said. Antin went on to present new studies that show how philanthropy works with our biology to improve our health and extend our lifespan. Giving may improve physical health and longevity because it helps decrease stress, which is associated with a variety of health problems.
The hormone oxytocin is also released in the body when you give, inducing feelings of warmth, euphoria and a connection to others. Recent studies show that giving to others can help ward off heart disease twice as much as taking an aspirin. People who help others report fewer aches and pains, have more energy and feel stronger.
By contributing time or money to a charitable cause, our generosity and abundance is able to produce far-reaching effects on the well-being of others, as well as on our own personal happiness.
Charitable Giving Offers Tax Benefits
Most charitable gifts provide you with a current year income tax deduction. There are several types of charitable beneficiaries including public charities, pooled income funds, private foundations, donor-advised funds and Charitable Remainder Trusts.
Charitable Remainder Trusts: A Smart Way to Leave a Legacy
One effective and popular choice for individuals who wish to leave a lasting legacy to their favorite charity, but also reap various financial benefits is the Charitable Remainder Trust. In exchange for a future gift to charity, the charitable remainder trust provides you with several major tax and economic benefits. A Charitable Remainder Trust allows you to:
Defer capital gains taxes
Increase diversification and cash flow
Receive a current-year federal income tax deduction
Reduce future estate tax liabilities
The Pikes Peak Community Foundation offers a number of philanthropic services as well as a staff of philanthropic experts to assist donors with research, grant-making, and other administrative tasks. Visit their website for more information at www.ppcf.org.
Jeffrey Jensen is a Senior Vice President – Wealth Management with the Global Wealth Management Division of Morgan Stanley in Colorado Springs. He can be reached at Jeffrey.L.Jensen@morganstanley.com or (719) 577.6321.