If you wish to make a gift to the New York Philharmonic and enjoy a stream of income for your lifetime or perhaps the lifetime of someone important to you, you may wish to consider a gift to the New York Philharmonic Pooled Income Fund (PIF). Unlike the gift annuity, PIF payments are variable, dependent on the value of the principal. The PIF is an attractive gift for the pre-retirement donor since the income payment is projected to increase over time as the assets grow.
Because retirement and estate planning issues are complex, you should always consult with your professional legal and tax advisors for a thorough analysis of your own unique situation.
How the Pooled Income Fund Works
You may participate in the PIF with an initial minimum gift of $10,000 in cash or appreciated securities. Your gift is commingled with the assets of other donors, and you are assigned proportional units. Your income represents the pro rata share of the overall pool of income to which your units are entitled. Note: PIF income is taxable.
You may make additional contributions at any time, at a minimum of $5,000 each. Assets remaining at the deaths of all income beneficiaries will pass to the Philharmonic.
Important Financial Benefits
* If the income beneficiary is someone other than yourself or your spouse, gift and estate taxes may be applicable.
Investment of the Fund
The New York Philharmonic Pooled Income Fund is a "balanced fund," invested in stocks and bonds to generate a reasonable income yield and reasonable asset growth. State Street Bank and Trust Company manages the PIF. The PIF may not accept or invest in tax-exempt securities or depreciable property.
Pooled Income Fund participants receive variable payments, often for 15-25 years during their retirement (as they would with mutual funds whose income fluctuates with investment performance). Although the annual PIF rate has been declining,the value of the principal (asset), and the income distributed to participants, has generally kept pace with inflation.
| Historical Annual Valuation |
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Historical Annual Income Distribution |
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| Note: Annual Valuation is based on initial gift of $10,000 made on 12/31/91. |
| New York Philharmonic Pooled Income Fund (PIF) 8 year Performance |
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| Principal Growth & Income Distribution Analysis: 1991 - 2000 | ||||||
| Example $10,000 Gift made on 12/31/91 has $856.73 units |
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| Date | Unit Value | Income Per Unit | Average Annual Income | Gift Value | Income Distribution | % Original Gift |
| 1991 | 11.6723 | --- | --- | $10,000.00 | --- | --- |
| 1992 | 11.8184 | 0.7392 | 6.25% | $10,125.13 | $633.27 | 6.33% |
| 1993 | 12.0037 | 0.6522 | 5.43% | $10,283.85 | $558.77 | 5.59% |
| 1994 | 11.1825 | 0.6333 | 5.66% | $9,580.33 | $542.55 | 5.43% |
| 1995 | 13.0565 | 0.6563 | 5.03% | $11,185.82 | $562.26 | 5.62% |
| 1996 | 13.5404 | 0.6385 | 4.72% | $11,600.37 | $547.00 | 5.47% |
| 1997 | 15.2158 | 0.7384 | 4.85% | $13,035.73 | $632.57 | 6.33% |
| 1998 | 16.8845 | 0.6921 | 4.10% | $14,465.35 | $592.94 | 5.93% |
| 1999 | 17.5722 | 0.7178 | 4.08% | $15,054.54 | $614.96 | 6.15% |
| 2000 | 17.2101 | 0.8060 | 4.68% | $14,744.34 | $690.52 | 6.91% |
Contact:
Marilyn J. Liebowitz
Director of Major and Planned Gifts
New York Philharmonic
10 Lincoln Center Plaza
New York, NY 10023
Tel: (212) 875-5696
Fax: (212) 875-5716
E-mail: liebowitzm@nyphil.org
