Gift Planning

Retained Life Estate

Through a retained life estate, you transfer ownership of your home or farm to Princeton, while retaining the right to live in the property.

There are several good reasons to consider this kind of gift:

  • You receive an income tax deduction in the year of the gift, based on your age and the value of the property.
  • You can avoid family disputes over the future use and ownership of your home.
  • You can make a significant gift to Princeton and support a project or program that is important to you without giving up liquid assets.
  • Giving real estate during your lifetime can simplify the estate settlement process: executors are relieved of any costs, expenses, and delays that can be involved in a transfer of real property at death.
  • A retained life estate gift reduces your estate taxes by removing your property from your taxable estate.
  • You can choose to move out of your home, which can either increase the tax deduction you can take during your lifetime or provide you with a payment for the value of your remaining life interest.

Examples of Retained Life Estate Gifts:

Arthur M. Crocker '31
Arthur M. Crocker '31 was a lifelong conservationist with a passion for preserving the environment.  After making the gift of their residence to Princeton, Arthur and his wife, Barbara, lived in their Florida home for eight years. They then decided to move, which effectively accelerated their gift to the University. Princeton sold their home, and the Crockers had the satisfaction of seeing the proceeds from the sale being used to support the Princeton Environmental Institute.

William Kleinberg *43
Ruth and William Kleinberg *43 were bibliophiles whose daughter, a master of the craft of bookbinding, helped inspire their decision to support the preservation of books and manuscripts at the Firestone Library. Thanks to the retained life estate gift of their Princeton home, the library will be able to increase its staff to conserve its historic collection.

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