Estate planning is the process by which an individual or family arranges for the administration and transfer of assets in anticipation of their incapacitation or death. When contemplating such transfers, it has been said that every parent has one additional child to remember in his or her will: the Jewish community.
A charitable bequest is perhaps the easiest way to ensure Jewish continuity. A charitable bequest may provide for a percentage of an estate or a specific dollar gift or specific asset(s) to be given to support the community. It may also be in the form of a gift of the remaining assets of an estate after other specific designations are made. Like other gifts, a charitable bequest can be designated for a wide range of purposes or given without restriction. Designating a bequest that creates a single fund at the Tidewater Jewish Foundation can provide annual support to community agencies as desired.
• May be established through a will
• May be in any amount
• Provide an estate tax deduction if the estate is taxable
• Provide permanent resources to support organizations important to the individual.
By deciding to leave a bequest in a will, a permanent legacy can be created. Gifts may be in the form of cash, securities or other estate property—and the estate will receive a tax deduction in the amount of the charitable bequest. Those who have already drafted their wills, can have their attorneys help arrange or change a charitable bequest with a simple amendment or codicil.
An easy way of establishing a legacy is through the designation of retirement plan assets. Too often, the estate and income taxes imposed on these plans make them a poor choice for passing on to heirs. As charitable gifts, however, retirement plans can be powerful tools for endowing a charitable legacy to the community. By careful planning during one’s lifetime, a loving parent can give a sizeable gift to the community that could otherwise create a heavy tax burden on their heirs. These plans may also be used to create a testamentary charitable trust as part of a will with significant benefits to both heirs and the community.
No one is ever too young to make plans for the future. Contact your attorney or financial professional for guidance on how best to ensure your legacy. A planned gift enables you to be present forever. You may also contact TJF for assistance and for a copy of the Wills Planner to aid in this process, www.jewishva.org.
by Shelby Tudor