GIVING THROUGH YOUR ESTATE

Giving Now vs. Giving Through Your Estate.

Most of us give throughout the year to favorite charities, but imagine continuing your giving after your lifetime by creating a fund to support the causes or charities most important to you.  An endowed charitable fund can do just that. 

You can create a fund during your lifetime or through your estate.  In either case, planning with your attorney or financial advisor is key to finding the best solution regarding tax laws. Sometimes, its not a question of what to support through a charitable fund, but when is the best time to make the gift. 

Can I give now?
  Ask yourself:
  1. Do I have excess assets that enable me to establish an endowed charitable fund?  (Min. $25,000)
  2. Am I selling a business, long term investments or appreciated property and facing a significant tax burden that could be reduced by a charitable deduction?
  3. Have I received an inheritance that inspires me to create a charitable fund as a tribute to this loved one?
  4. Do I find a private foundation too costly or burdensome to administer?
  5. Do I wish to honor a special occasion, such as a milestone anniversary?
If so, you can get started right now.  Check out the types of funds, ways to make a gift, and details of fund operations.  Contact Marian or Jessica at (937) 497-7800 for more information.  Our discussions and work to set up a fund are always free!


Should I give later?
We understand the desire you have to do something charitable, but today's needs may provide limitations.  Assets tied up in homes, farms, IRAs, or insurance policies...not to mention concerns about outliving your assets...make giving something that must wait.

Giving through your estate enables you to plan a gift that is paid out upon your death and after your expenses and family distributions are settled.  See examples below to assist with making a bequest (a gift) through your Will.

Frequently individuals choose to provide a gift to charity in their Will or another part of their estate plan. There are several options that may be customized to fit your goals and situation.  We can even work with you to create the charitable fund framework that will someday receive your estate gift.  To begin thinking about charitable fund types, ideas to spark your imagination and fund operation details, please check our website pages or call Marian or Jessica at (937) 497-7800.  Our discussions and work to set up a fund are always free!

 

Disclaimer: Nothing within this website should be construed as legal advice.  The following wording is for information only and should be discussed with your attorney.

Bequest in a Will

A very common way to leave a gift that establishes or adds to a charitable fund after death is by incorporating bequest language in a Will. Typically, an individual makes provisions in their Will for surviving family or friends and then specifies one or more charitable organizations to receive a portion or the remainder of their estate. 

Note: The legal name to include the CFSC as a beneficiary or in a bequest of any kind is: The Community Foundation of Shelby County, an Ohio nonprofit corporation.

Suggested Bequest Language

General Purpose Bequest

I give, devise and bequeath to The Community Foundation of Shelby County, an Ohio nonprofit corporation, _____________________________ (percentage of estate, specific dollar amount, marketable security, tangible personal property, remainder of estate, etc.).  This gift shall be devoted to the general charitable purposes of the Community Foundation of Shelby County as set forth in its governing instruments, as amended from time to time.

Specific Bequest to Create a Charitable Fund (minimum of $25,000)

I give, devise and bequeath to The Community Foundation of Shelby County, an Ohio nonprofit corporation,  _________________________________ (percentage of estate, specific dollar amount, marketable security, tangible personal property, remainder of estate, etc.) to be administered as an endowment fund. Distributions shall be used for the purpose(s) of ______________________________________  (insert specific focus of donor’s interests), with the understanding that if it shall appear to said Foundation that such restriction or condition becomes, in effect, unnecessary, incapable of fulfillment, or inconsistent with the charitable needs of the service area, that the Foundation in its sole judgment, may direct the application of the distributions of said fund to a general purpose of the Foundation closely associated with the intention of this bequest.  I request that said fund be entered on the books of the Foundation as the ______________________ Fund.

Specific Bequest to Add to an Existing Charitable Fund

I give, devise and bequeath to The Community Foundation of Shelby County, an Ohio nonprofit corporation,  _________________________________ (percentage of estate, specific dollar amount, marketable security, tangible personal property, remainder of estate, etc.)  to be added to the ______________________________ Fund.  Should this fund no longer exist, the Foundation in its sole judgment, may direct the application of the distributions of said fund to a general purpose of the Foundation closely associated with the intended purpose of ___________________________________________________________. 

Click here for downloadable bequest language.
 

IRA or Retirement Plan

At death, IRAs and retirement plan balances are included when calculating estate and income taxes, reducing the amount your beneficiaries will receive.  Reductions can be as high as 85% of the balance you had hoped to pass to loved ones.  When given to the Community Foundation, the gift is made with pre-tax dollars, preserving the balance to benefit the community.

Life Insurance

Naming the Community Foundation as a primary or secondary beneficiary of a life insurance policy is a great way to fund a gift to support the future of our community or as a ‘Plan B’ if the primary beneficiary is deceased.  If ownership of the policy is transferred, a current income tax deduction is possible.

Charitable Gift Annuity

Those donors over age 55 who want a combination of a charitable deduction and steady payments for life may consider the Charitable Gift Annuity. Fixed payments are made back to the donor or to others for life.  The payments are based on age and the amount of the gift and are at a rate much higher than most low-risk investments. View details on the Charitable Gift Annuity.

Charitable Remainder Trust

Another type of a payment arrangement, a Charitable Remainder Trust provides income for life or for a fixed term. In this case, the charitable gift is placed in a trust. At the end or the donor’s life or the fixed term, the remaining assets are placed in a charitable fund at the Community Foundation.  The tax deduction is based on the trust’s charitable portion.


Have you included the Community Foundation of Shelby County in a deferred gift or your estate plan? Please contact Marian Spicer so she can have an understanding of your plans for the gift. You may also be included in our Legacy Society. Requests for confidentiality are always honored.