There are many options for planned giving, and we can’t summarize them all here. Nor should this information be considered legal or financial advice. Contact your attorney or financial planner to learn more about the wide variety of ways you can support Healing Hearts through planned giving.
Bequests, or gifts in your will, are what most people think of when they hear about estate planning. A bequest is one of the simplest ways to make a gift from your estate. You can make a bequest in a variety of ways, including a gift of a specific amount, a percentage of your estate, an item or piece of property, or the amount that remains after you have provided for your loved ones. Bequests are deductible for federal estate tax purposes, and are usually not subject to state inheritance or estate taxes. Contact your attorney to learn more about including Healing Hearts in your will, and which options will work best for you and your family.
Gifts Through Life Insurance
A gift through your life insurance policy is another simple way to make a charitable gift. You may have a life insurance policy that is no longer needed to provide for your family or for other expenses. You can name Healing Hearts as a partial beneficiary of your policy, or you can make a gift of the entire policy. Tax advantages vary. Your attorney and your insurance agent can help you get started with a gift through your life insurance policy.
Like a life insurance policy, Healing Hearts can be named as the first or second beneficiary on your retirement account. Heirs other than your spouse pay significant income taxes on inherited retirement funds. Making a contribution from these funds can help limit the amount of tax owed by your heirs, and can also maximize your charitable gift. Since taxes have not yet been paid on your retirement account, and you can make a tax-free donation of these funds, you may be able to give a larger gift from your retirement account than you would otherwise.
Charitable Remainder Trusts
A charitable remainder trust, or CRT, is an arrangement in which a donor’s assets provide a regular income stream to the donor, until that income is no longer needed. The assets of the trust are then passed on to a charity like Healing Hearts. Tax advantages for CRTs include a current charitable deduction for the donation and no upfront capital gains tax is payable at the time of contribution of appreciated property.