Leaving a Legacy Through Planned Giving

You’ve done your 2018 taxes, so now it’s time to plan for next year! The tax law changes took many people by surprise, particularly with charitable giving; you may be looking for different ways to support the organizations like Wheeler that you care most about. A great option can be an estate gift through your will. Always consult with your tax or financial advisors to determine the best strategies for you.

THE MANY BENEFITS OF PLANNED GIFTS

It’s very easy to leave a significant legacy through a planned gift, and it presents many advantages for donors:

• The total gift may be larger than you would be able to afford while living, as you can use real estate, unspent retirement accounts, and other significant assets that you may no longer need after death.
• Planned gifts may offer significant tax savings to donors and survivors, reducing income, estate, and capital gains taxes.
• Planned gifts may help your surviving family avoid expensive, time-consuming probate issues.
• Planned gifts can help you support what matters the most to you, in a meaningful, long-lasting way that carries your legacy and passions forward after your death.

GIFTS THAT PAY YOU INCOME

Planned gifts may also provide income to YOU while you’re alive. If you have built a sizeable estate, consider a charitable remainder trust. These gifts may offer you tax benefits and the option for income. There are two ways to receive payments and each has its own benefits:

The annuity trust pays you, each year, the same dollar amount you choose at the start, regardless of fluctuations in investments.

The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.

A CHECKLIST TO START

It’s important to review your estate plans regularly to ensure they still accomplish what you want them to, and to make sure they reflect life’s changes. Events like births, marriages, even new tax laws, should all trigger a review of your estate plans.

• Review Your Will. Check for any changes that may need to be made because of a change in your life or because you want to add a charitable gift to organizations you care about, such as Wheeler, in your plans.
• Confirm Your Executor. Make sure the person named is still the qualified individual you want to manage your estate, resolve claims, and distribute the designated portions of your estate to your chosen beneficiaries.
• Update Guardians. Make sure you are still comfortable with the guardian named in your will for those under your care. If your dependents were minor children that are grown now, does a guardian still need to be listed?
• Review Your Beneficiaries. Make sure the beneficiaries you have designated for your insurance and retirement plans are up to date. Once you’ve named someone a beneficiary, let them know so they can claim the proceeds.
• Check Your Power of Attorney. Make sure your durable powers of attorney for financial and health care are current. Provide a copy of your financial power of attorney to the named person. Your health care power of attorney will need a copy, along with your health care provider.

To discuss how you can donate stock to support the individuals and families that Wheeler serves and align our needs with your philanthropy, please contact our Philanthropic Giving Department at 860-793-4214 or giving@wheelerclinic.org.