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Charitable Giving in Estate Planning

If you are considering charitable donations during or after your life, you have options! Below are examples of how you can give.

Bequests in a Will or a Trust – One way you can donate is within your estate plan. You can bequeath a specific dollar amount or percentage of your estate to specific charities.

Charitable Trusts – Charitable trusts are specifically for philanthropic purposes. Two common types of charitable trusts are Charitable Remainder Trusts (CRTs) and Charitable Lead Trusts (CLTs).

  • CRT – allows you to transfer assets to the trust, receive income from the trust during your lifetime, and then have the remaining assets go to the charity of your choice.
  • CLT – the charity receives income from the trust for a specified period. At the end of the term, the remaining assets go to noncharitable beneficiaries of your choice.

Donor-Advised Funds (DAFs) – DAFs are charitable giving accounts offered by public charities or financial institutions. You can contribute to a DAF during your lifetime or include it in your estate plan. Also, by donating to a DAF you can receive an immediate tax deduction and recommend grants to specific charitable organizations over time.

Charitable Foundations – Establishing a private charitable foundation allows you to create a long-term philanthropic legacy by funding the foundation with assets during your lifetime or at your death. A foundation gives you more control over how the funds are distributed.

Retirement Accounts – It is possible to designate a charity as a beneficiary of your retirement accounts allowing you to support charities directly from your retirement assets while potentially minimizing the tax burden on your beneficiaries.

Life Insurance – If you have a life insurance policy, you can name a charitable organization as the beneficiary or donate to the policy itself. This will allow the charity to receive the policy’s death benefit upon your death.

Local Charities

The Prouty – Northern New England’s largest family-friendly fundraising event combining cycling, walking, rowing, golf and more to raise funds and awareness for life-saving research and critical patient and family support services at Dartmouth Cancer Center.

Donate to Jennifer’s Tour today!

2023 Prouty: Jennifer’s Tour 2023 – Dartmouth Health (dartmouth-hitchcock.org)

NH Charitable Foundation – The New Hampshire Charitable Foundation is New Hampshire’s statewide community foundation that manages a growing collection of funds created by generous individuals, families, and businesses every year. For more information, visit www.nhcf.org or call 603-225-6641.

VT Community Foundation – The Community Foundation is a family of hundreds of funds and foundations created by Vermonters to serve their charitable goals. It provides the advice, investment vehicles, and back-office expertise to make giving easy and inspiring. For more information, visit www.vermontcf.org or call 802-388-3355.

 

There are plenty options as you can see. If you would like to discuss this further, please call us on 603-643-7577.

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