There may be a charitable organization that has special significance to you. Maybe an organization assisted your community after a natural disaster. Or another provided life-saving medical care to you or a loved one. If you want to say “thank you” to an organization with a donation, you can do so through your estate. Here are some ways you can provide a benefit to charities upon your death.
- A Bequest in your Will or Trust—this is a very traditional method of providing for a worthy cause. Using a gift through your will or trust allows you to retain the full use of your assets during your life, and then benefits a charity or charities in an amount you direct.
- IRA or Retirement Fund Beneficiary Designations—you can make a charity the beneficiary of your IRA or other retirement fund. The charity can be the beneficiary of the full amount of the fund, or you can designate a percentage you would like the charity to receive.
- Bank Account Designations—most accounts at banks or other financial institutions allow you to make a “payable on death” designation to a person or charitable organization. The institution can assist you in naming a charity as the beneficiary of your savings account, certificate of deposit or brokerage account.
- Life Insurance Designations—similarly with bank accounts and retirement accounts, you have the ability to designate a charity as the beneficiary of your life insurance policy. The policy proceeds can be split into percentages among family members and the charity you choose to benefit.
Any one of the above methods also may result in tax savings for your estate, as charitable donations are deductible for your estate’s income tax and inheritance tax in Nebraska.
If you have questions about your estate, contact Adams & Sullivan by calling 402-339-9550 or email me at firstname.lastname@example.org.