Gifts by Will
A will is simply a legal record of a person's wishes regarding the eventual use of assets accumulated during their lifetime. The instructions regarding the dispensation of the assets are called depository provisions. A will is a powerful instrument as it gives individuals the opportunity to:
- Choose the individual or the institution to carry out one's wishes.
- Select a guardian for minor children.
- Preserve as much of the estate as possible through the use of tax-saving devices and opportunities.
- Make charitable gifts.
A will can also be used to create a variety of other plans that take effect either immediately following death or for many years thereafter. After providing for loved ones, you may want to make a community impact by leaving a portion of your estate to the Community Foundation (CFGC).
Benefits of Giving by Will:
The will allows donors to realize their giving goals, while providing
the comfort of an "intent" rather than an "obligation."
It is important to note that, unlike many forms of charitable giving,
making a gift by will is revocable during the donor's lifetime.
A charitable bequest is one of the easiest ways to make a lasting
gift to the community and can dramatically reduce estate and inheritance
taxes.
Will Options:
Charitable Bequests provide flexibility since they may be changed at any time during the donor's lifetime. Bequests can support a favorite charity in memory of a loved one; this is a meaningful way to create a memorial that lives on in service to others. Through a bequest to a charity, one can improve the quality of life for countless people. To make a charitable bequest one simply directs that interests in certain money or property be transferred to a designated charity. The estate will be entitled to a charitable deduction for the full, fair market value of the gift.
Specific Bequests may involve the designation of the precise amount of money or the specific property that one wants the CFGC to receive.
Residuary Bequests indicate the charity will receive all (or a portion of) the estate after all debts, taxes, expenses and all other bequests have been paid. It may augment a general or specific bequest to the CFGC if the size of the estate allows, or may ensure that other beneficiaries receive their bequests prior to distribution to the CFGC.
Percentage Bequests allow the donor to direct the CFGC to receive a percentage of an estate or residuary estate. Through a percentage bequest, if the size of the estate changes, the bequest will change proportionately.
Contingent Beneficiaries provide for the situation in which a beneficiary dies first or disclaims the property. To prepare for such an occurrence, consider naming the CFGC as the contingent beneficiary.
