Bequests and Estate Plan Gift Options
You may bequest or gift through your estate by including a provision in your will or living trust, or by naming Hope & A Future III as a beneficiary of a retirement plan or life insurance policy. The amount left to Hope & A Future can be expressed as a dollar amount or as a percentage of the assets to be given.
There are many ways to give, including cash, stocks, bonds, mutual funds, retirement assets, or real estate. Each of these methods can result in tax deductions. Proceeds from the tax deductions can be used to purchase and pay the premiums of life insurance, which is another way your gift can also benefit your heirs.
Life Insurance Benefit
Did you know that your donation to Hope & A Future doesn't have to impact your heirs?
Here's how it works:
After you make a contribution to Hope & A Future, you can claim a deduction from your income taxes. Your heirs (or, if you have an irrevocable trust, your beneficiaries) can then use the tax savings to purchase and pay the premiums on a life insurance policy, which is taken out on the donor's life. An arrangement like this can help offset the impact of your donation on your heirs or beneficiaries.
Giving cash is the easiest way to make an immediate financial impact on Hope & A Future. By doing so, you can claim a deduction for charitable contributions from your income taxes. This can be done either online or through the mail.
You can send a personal check to:
Hope & A Future
3440 S. High Point Rd.
Madison, WI 53719
If you have a specific purpose in mind for the use of the funds, include it on the memo line of your personal check, or in an attached letter.
Donating real property can be a great way to leave a lasting legacy for Hope & A Future. Real property can include title to a primary residence, a vacation home, commercial property, undeveloped or agricultural land, or even a portfolio that includes one or more property types.
You can avoid the financial hit from any applicable capital gains tax on appreciated assets. Simultaneously, you can declare a deduction for charitable contributions on your income taxes.
Gifting of real property is typically done by executing a deed which transfers ownership. For tax purposes, the dollar amount of your gift is based on the property's fair market value, which must be established by an independent appraisal.
Appreciated Securities (Stocks, Bonds, Mutual Funds, etc.)
Making a gift of appreciated securities, such as stocks, bonds, or mutual funds, is an easy and tax-effective way for you to make a gift to Hope & A Future. By doing so, you can avoid capital gains taxes, and you can also declare a deduction for charitable contributions on your income taxes. Bottom line: your investments become an investment in Hope & A Future.
Retirement Assets (IRA, 401(k), pension, etc.)
After a lifetime of hard work and savings, there are a variety of or other tax-deferred plans a person might hold, including IRA, 401(k), 403(b), 457 plan or pension. May people do not use all of their retirement funds.
The scope and nature of your retirement assets can have tax implications for your heirs. For example, if any of your retirement assets were funded pre-tax, your heirs will owe income tax on these funds. Estate taxes can also come into play.
To designate Hope & A Future as a beneficiary of your retirement assets, you can request a beneficiary designation form from your retirement plan custodian.
Hope & A Future will benefit by receiving the full value of your gift because, as a charity, we are not taxed upon receiving retirement plan assets. Your heirs can benefit from a charitable deduction on any applicable estate taxes.