Support the Causes You Care About with Planned Giving

When most people think of supporting a charity, they think of making a one-time donation or perhaps setting up a recurring donation. However, there is another way to support charities that can have a major impact: planned giving. Planned giving refers to making a charitable donation as part of your overall financial planning. It can take many different forms, but the common thread is that it is a thoughtful, long-term commitment.

Have questions? Ready to get started? Contact Milwaukee Estate Planning Lawyer Paul Margerie of Margerie Law today for help with planned or legacy giving.

Why consider leaving a planned gift?

There are many reasons to consider planned giving. First, it allows you to have a greater impact on the charities you care about. Because you are committing to giving over an extended period of time, you can help charities plan and budget for the future, knowing they will have a reliable source of funding. Second, planned giving can be tailored to fit your unique financial situation. There are many ways to structure a planned gift, so you can find an approach that works for you. Finally, planned giving is a great way to leave a lasting legacy. Your gift can continue to support charities long after you are gone, making a lasting difference in the world.

How does planned giving work?

Planned giving is a type of philanthropic giving that is structured in advance in order to maximize the benefits for both the donor and the recipient charity organization. There are many different ways to structure a planned gift, but common methods include making a gift through a will or trust, establishing a charitable gift annuity, or creating a charitable remainder trust. Planned giving can be an excellent way to support a cause that is important to you, while also receiving significant tax benefits. For charities, planned gifts can provide a much-needed source of funding for long-term projects or endowments.

When you make a planned gift, it is important to work with your estate planning attorney who can help you choose the right type of gift and structure it in the most advantageous way possible. With careful planning, you can ensure that your gift has the maximum impact, both for yourself and for the charity organization you choose to support.

What types of planned gifts are available, and which one is right for you?

There are a variety of planned gifts available, each with its own advantages. For example, you can make a gift of stock or property, which can provide tax benefits and make it easier to support your favorite causes. You can also establish a charitable trust, which can provide income for you or your family while also benefiting a charitable organization. Another option is to name a charity as the beneficiary of your retirement account. This can be a simple way to make a significant gift, and it can also help to reduce your taxable estate. Ultimately, the best-planned gift is the one that meets your individual needs and objectives. With careful planning, you can ensure that your gift will have the maximum impact, whether it is for yourself, your family, or the causes you care about.

How do you go about setting up a planned gift donation, and what are the tax implications involved?

When setting up a planned gift, the first step is to choose the type of asset that will be donated. Common types of assets used for planned gifts include cash, stocks, bonds, real estate, and life insurance policies. Once the asset has been selected, the donor must then decide how the asset will be used by the charity. The options include making an outright gift, establishing a charitable trust, or naming the charity as a beneficiary of the asset.

Finally, the donor must consider the tax implications of the gift. For most planned gifts, the donor will be eligible for an income tax deduction equivalent to the fair market value of the asset donated. In addition, any capital gains taxes that would have been due on the sale of the asset are also avoided. As a result, careful planning can enable a donor to make a substantial contribution to their favorite charity while also realizing significant tax savings.

Planned giving is a great way to support charity while also enjoying tax benefits and peace of mind. There are many different types of planned gifts, so it’s important to do your research to find the one that best suits your needs. If you’re interested in learning more about planned giving, an experienced estate planning attorney can answer your questions. Ready to get started? I’m Estate Planning Attorney Paul Margerie of Margerie Law. If you’re looking for Milwaukee estate planning support, or help with wills, trusts, or powers of attorney, I’m here to help. Contact me today.