Charitable Planning: Now or at Death
Post by: Lesley Hempfling
There are numerous ways you can give during your lifetime or beyond to charitable causes that are important to you. This newsletter will only touch on a few of those planning techniques. Two of the easiest ways to make a charitable gift at your death are: 1) designating a charity as a beneficiary of your non-probate assets (e.g. to receive part or all of your life insurance proceeds or remaining principal in retirement, brokerage or financial accounts); and/or 2) making a specific, general, percentage or residuary bequest to a charity in your Will or Revocable Living Trust (e.g. "I leave 10% of my estate to ABC Charity). A more sophisticated charitable planning technique that can be used at death or during life is a Charitable Lead Trust. These trusts usually pay an annuity amount to one or more charities during the term of the trust with the remainder going back to the donor or another named beneficiary when the trust terminates. All of these methods allow the Donor to provide for his or her family while also fulfilling a charitable mission.