Advantages of the Pooled
Life Income Fund
by Barbara Bostwick
The Pooled Life Income Fund (PLIF), available for donors to the
School of Dentistry, exists as a benefit to those who would like the tax
savings benefits of a charitable trust, but also hope to minimize investment
risk and investment overhead costs by pooling assets with others. These
objectives are accomplished very well by the PLIF. It is possible to transfer
appreciated stock or other assets to a PLIF and bypass the long-term capital
gains tax. In addition, a donor receives an income tax deduction in the
year of the gift.
Very often, the property transferred to the fund has a low yield and the
investment objective is to sell that property and reinvest in a higher
yield security. The PLIF currently used by Loma Linda University in cooperation
with the General Conference of Seventh-day Adventists has a return of
about 6.1360%.
The PLIF is comprised of many donors. Upon the transfer of highly appreciated,
low-yield assets to the fund, the donor enjoys three major benefits: (1)
bypass of capital gains; (2) increased income; and (3) a charitable income
tax deduction.
All of the assets transferred to the fund are added together and invested.
This permits a diversified portfolio of investments to be acquired and
allows all participants to receive their fair share of the investment
earnings. After the earnings have been distributed for the lives of the
donor(s), the principal is then transferred to benefit the School of Dentistry
... either unrestricted or to the program of the donor's choice. This
transfer includes an additional savings since the transfer saves on both
probate cost and potential estate taxes.
For more information on this and other estate planning ideas, please contact
the LLU Planned Giving Office at (909) 558-4553.
Scholarships an important resource for
students
by Barbara Bostwick
Each year, dental students at Loma Linda University face many challenges,
but one of the most daunting is the amount of debt they are accumulating
which will have to be faced after graduation. The average debt of a member
of the Class of 1999 is a staggering $117,398!
While various loan funds are available, those dollars must ultimately
be paid back -- with interest. In recent years there has been an increased
awareness of the need to provide assistance through scholarships, which
reduces the debt load alumni must handle when their education is completed.
Projected tuition and fees for the four-year program in the School of
Dentistry for a freshman entering this Fall is more than $133,000. This
does not include expected annual increases or living expenses.
The first School of Dentistry scholarship endowment was established by
Dr. and Mrs. Eugene Warner during the 1992-93 year. The most recent one
was set up earlier this year with a gift of $20,000 from the Alumni Association.
In total, the School has nine scholarship endowment funds, totaling just
under $700,000. Several of them are so new that they have not yet awarded
scholarships.
"There are a number of exceptional, quality applicants we would really
like to see at Loma Linda University, but we lose them due to financial
considerations," said Charles J. Goodacre, SD'71, MSD. "With
significant scholarship endowment resources, we could be more competitive
in today's academic marketplace and provide a real benefit to our students."
For information on supporting the scholarship program for dental and dental
hygiene students, contact the School of Dentistry development office at
(909) 558-4969.
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| 30th
anniversary of low-income orthodontic center The Assistance League of Long Beach Orthodontic Center recently celebrated its thirtieth year of providing quality orthodontic care for children from low-income families. The children are referred by their school nurses and the local dental community. Clinic orthodontists are all graduates of Loma Linda University School of Dentistry: Nelson Gatov, SD'75A, MS'77, Debra Finch Cook, SD'96, MS'98, and Norman Bunker, SD'63, MS'65. Pictured are Charles Smith, DDS, dean emeritus of the School of Dentistry, with Drs. Bunker, Cook, and Gatov. |
Alumni Association sponsors international clerkships
Judy Strutz, SD'85, PG'89, MEd, president of the Dental Alumni Association, and Fred Kasischke, DMin, assistant dean for spiritual nurture, admissions, and service learning, presented scholarships from the Alumni Association to dental students who will be spending summer clerkships in countries around the world. The students pictured are Matthew Wallace, Christopher Ehrbright, Kyung-Hoon Chung, and Adrian Dumitrescu, all SD'01.
All contents copyright © 2001 Loma Linda University.
All rights reserved. Revised
February 28, 2001
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