Creating Your Lasting Jewish Legacy
IT’S YOUR LEGACY partners recognize the importance of klal Yisrael arevim zeh la-zeh (all Jews are responsible for one another) and strive for the betterment of the entire community.
Our IT’S YOUR LEGACY partners are ready to work with you, your family and your professional advisors to meet your estate-planning and philanthropic objectives. No matter how or what you choose to give, you will fulfill a mitzvah and support vital programs that bring help and hope to Jewish people in need in Minneapolis and Greater St. Paul, in Israel and worldwide.
Charitable Gift Planning Options for Donors
Your legacy gift of any size can be customized and structured to fit your dreams, lifestyle, family and financial needs.
We invite you to read below and find out more about the charitable gift planning options available to you.
Some options include:
• Bequest in a Will
• Gift of Life Insurance
• Gift of IRA or Pension Plan
• Charitable Gift Annuity
• Charitable Remainder Trust
• Charitable Lead Trust
Bequest in a Will
What It Is: A Charitable Bequest is a gift that is contained within a will or trust. Bequests are one of the easiest ways to leave a legacy.
How It Works: You can elect to provide a bequest to any of our IT’S YOUR LEGACY partners of a specific dollar amount or a specific asset, such as securities or real estate. The charitable bequest can be in the form of a percentage of a donor’s estate or a percentage of the remainder of the estate. Bequests can be made through your will or revocable living trust. You may add a codicil to your will and/or make an amendment to an existing revocable trust. Your estate attorney can best advise you in this regard.
Advantages:
• You continue to enjoy the assets during your lifetime
• You may change your estate plan at any time
• Enjoy the satisfaction of knowing during your lifetime that your Jewish legacy ultimately will have a significant impact on the future of Jewish life
• You can establish the legacy in your own name, extend recognition to loved ones, or remain anonymous
• Donor recognition and memorial opportunities are available
• Bequests are an effective planning tool to reduce the taxable estate
• The gift can be professionally managed by The Foundation
SAMPLE BEQUEST LANGUAGE:
I give, devise and bequeath the sum of ______________________ ($__________, ___________%, or the remainder of my estate) to support the following organization(s) : __________________________________ to create a permanent endowment in my name. Suitable recognition shall follow the establishment of the fund.
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Gift of Life Insurance
What It Is: Life Insurance allows you to make a present, rather than a future gift, which may be much larger than you think might otherwise be possible. Gifts of insurance are generally affordable, especially for younger donors.
How It Works: You name any IT’S YOUR LEGACY partners as a beneficiary of a new life insurance policy. If the gift is irrevocable and any IT’S YOUR LEGACY partner is the owner and beneficiary of the policy, you are entitled to a charitable income tax deduction for all premiums paid. Existing policies may also be contributed, and you are entitled to a charitable income tax deduction for an amount essentially equivalent to the cash value of the policy.
Advantages:
• Many (especially young people) find that insurance is an ideal way to create an endowment larger than they could otherwise afford
• Premiums paid are tax-deductible
• You can honor or remember a loved one, or create your Jewish legacy in your own name
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Gift of IRA or Retirement Asset
What It Is: You may wish to designate one or more of the IT’S YOUR LEGACY partner(s) as the beneficiary of all or part of your qualified retirement plan (IRAs, 401Ks, Keogh Plans and others). When children or other heirs are designated as beneficiaries, they may receive only a small fraction of the plan’s value since inherited retirement plan assets are subject to both estate and income tax.
How It Works: You formally change the designated beneficiary for all or a portion of your qualified retirement plan to any IT’S YOUR LEGACY partner(s). Upon death, the remaining balance or designated sum transfers directly to the organization(s) of your choice free of estate or income tax.
Advantages:
• You create a meaningful legacy at minimum cost
• You enjoy significant estate and income tax savings
• Allows you to transfer other assets to your heirs
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Charitable Gift Annuity
What It Is: A Charitable Gift Annuity is a contractual agreement. An irrevocable gift of cash or marketable securities is made to any IT’S YOUR LEGACY partner(s). In return, the donor or one to two other annuitants receive a guaranteed income each year for life.
How It Works: An annuity payment is calculated based on the age(s) of the annuitants on the date of the gift and other factors. This income is paid for life, and then the remaining funds become a permanent legacy in your name.
Advantages:
• Guaranteed annuity payment for life, for you and/or your spouse or another
• You receive a significant charitable income tax deduction in the year of the gift and favorable tax treatment for the annuity income as it is paid
• You save capital gains taxes by funding Charitable Gift Annuities with gifts of appreciated property
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Charitable Remainder Trust
What It Is: A Charitable Remainder Trust also allows you to establish your lasting Jewish legacy while providing income for yourself, your spouse or another beneficiary.
How It Works: Income is provided to you or another you specify for life or for a specified number of years. When the trust ends, the remaining assets are distributed to the chosen IT’S YOUR LEGACY partner(s) to fund a permanent endowment in your name.
Advantages:
• You receive a current income tax deduction for a portion of the gift
• You and/or a loved one receive a consistent and predictable income, either for life or a specified number of years
• There are opportunities for diversification of investments and improved rates of return
• You save capital gains taxes by funding the Charitable Remainder Trust with appreciated assets
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Charitable Lead Trust
What It Is: A trust that allows you to contribute significantly to any of the IT’S YOUR LEGACY partners now while planning for the future of your family or a loved one.
How It Works: The trust is established and a portion of the trust’s investment yield is contributed to the IT’S YOUR LEGACY partner(s). Then, after a specified time or a lifetime, the remainder of the trust is transferred back to the donor or to beneficiaries of the donor’s choosing.
Advantages:
• Reduced capital gains, income or estate tax in variable combinations
• The donor can provide current support to organizations they care about while also making sure loved ones are provided for after his or her lifetime
• The donor can qualify for gift or estate tax savings based on the current value of the income paid to the IT’S YOUR LEGACY partner(s) during the trust term
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Are you ready to get started?
Click here to fill out a Declaration of Intent Form electronically. Click here to fill out a Gift Confirmation electronically. Please print, sign, and mail to:
Susan Lieberman | IT’S YOUR LEGACY
Jewish Federation of Greater St. Paul
790 Cleveland Ave S.; Suite 227
St. Paul, MN 55116
Minneapolis Jewish Federation
111 Cheshire Lane; Suite 50
Minnetonka, MN 55305
We have gift planning professionals ready to assist you in a confidential, no-obligation conversation about creating your legacy.
For questions and more information, please contact the IT’S YOUR LEGACY office at 952.417.2322 or slieberman@jewishtwincities.org.
