Planned Giving
Planned gifts offer a variety of advantages, including income tax and estate tax benefits, recognition and the satisfaction of knowing that you are helping to end global hunger.
There are a variety of ways to make a planned gift. Learn more about some of the options available and the benefits they offer:
Donating Through Your Will
Donating Appreciated Stock or Other Assets
Donating Unneeded Life Insurance
Donating IRAs or other Retirement Assets
Donating Through a Charitable Trust
For additional information about how to make a planned gift to Friends of WFP, please contact Kerry Whitlock at (202) 530-1694, ext. 283, or kwhitlock@friendsofwfp.org
Donating Through Your Will
A bequest is a provision made in your will or living trust. It is the most common type of planned gift. Typically, people provide a gift for a charity by making a bequest of a specific amount of money. However, there are several alternatives that might be more beneficial to you.
- You can leave specific property. (Please keep in mind that your wishes may not be fulfilled if you sell or otherwise dispose of the property.)
- You can make a bequest for a percentage of your estate. If the size of your estate changes, your charitable gift will automatically adjust.
- You can leave all or part of "what's left" by designating all or part of the remainder of your estate after providing for your loved ones.
- Like any gift, a bequest to Friends of WFP can be made in memory of a loved one.
View sample bequest language.
Donating Appreciated Stock or Other Assets
For U.S. taxpayers, there are potential benefits when you make a gift of assets that have increased in value. For example, if you sell stocks, bonds or mutual funds that have appreciated in value, you may be subject to capital gains tax. However, if you donate the assets to Friends of WFP, you could earn a charitable income tax deduction for the full fair market value of the assets (provided you have held the assets for at least one year). For more information, please see our stock transfer instructions.
Donating Unneeded Life Insurance
Life insurance can provide an easy way to support Friends of WFP. Its flexibility makes it possible for nearly everyone to make a meaningful gift. For example:
- You could name Friends of WFP as the beneficiary of all or part of your life insurance death benefit.
- You can make a gift of a life insurance policy that you no longer need. For example, you can donate a policy intended for a college fund or a mortgage that is no longer needed.
- Instead of creating a bequest in your will, you can make a current gift and obtain a life insurance policy so that your heirs still receive their share. In this way, you could receive the income tax benefits now, and the insurance will replace the assets so that beneficiaries will still receive the same amount.
Donating IRAs or other Retirement Assets
Gifts of retirement assets can save your heirs undue tax burdens and allow you to accomplish your charitable objectives. When you bequeath retirement assets to your heirs, you are leaving them taxable assets which they may owe income tax on. If you name Friends of WFP as the beneficiary of a retirement plan, Friends of WFP will not pay tax on the assets. This will allow you to make a larger gift than otherwise possible.
Donating Through a Charitable Trust
A charitable trust can provide payments for your spouse or another loved one for the rest of his/her life, as well as current income tax benefits. At the end of the trust term, the remaining assets would benefit Friends of WFP and could help support food assistance programs.
The information on this site is not intended as legal advice. For legal tax advice, please contact an attorney.
|
