Phil ’65 and Linda Ferarra Invest in Nation’s Future with Naval Academy Gift

Phil and Linda FerarraWhen Phil '65 and Linda Ferarra thought about where their philanthropic investment could have the most influence on the future, they chose to include the Naval Academy in their estate plans.

"Like the small private school in Boston that I attended, the Naval Academy expects a lot from students academically, athletically, morally," said Phil, who spent seven years in the Navy and 25 years with Exxon Mobil.

"The quality of the education that midshipmen receive at the Naval Academy not only influences the lives of those individuals," he said, "but also has a profound impact on society as Naval Academy alumni serve as military, corporate, and government leaders."

Linda agrees as a lifelong educator: elementary school teacher, director of gifted and talented education, instructor at Johns Hopkins University and Immaculata College, and principal in the Anne Arundel County Public Schools. She earned her bachelor's and master's in elementary education from State University College of Buffalo and her PhD in education administration from the University of Pennsylvania.

"I feel strongly about the quality of the education at the Naval Academy, particularly the focus on the ethical aspects of values and behavior," she said. "We need this for the future of our country. We need highly motivated students who are working for the greater good."

Married for 30 years, the Ferarras recently helped organize Phil's 45th reunion. Having more interactions with the Naval Academy while living in Annapolis over the last 13 years motivated them to make an estate gift.

"Our interactions with Naval Academy superintendents, Foundation leaders, and midshipmen made it clear to us that this was the right thing to do and that the Naval Academy Foundation would be a good steward of our assets," Phil said.

 
 

© United States Naval Academy Alumni Association & Foundation

 
 
 

A charitable bequest is one or two sentences in your will or living trust that leave to the United States Naval Academy Foundation 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

"I give to the United States Naval Academy Foundation, a nonprofit corporation currently located at 247 King George Street, Annapolis, Maryland 21402, or its successor thereto, ______________* [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 the Naval Academy Foundation 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, 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 the Naval Academy Foundation 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 the Naval Academy Foundation 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 the Naval Academy Foundation where you agree to make a gift to the Naval Academy Foundation 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.

Personal Estate Planning Kit Request Form

Please provide the following information to view the materials for planning your estate.

eBrochure Request Form

Please provide the following information to view the brochure.