An excellent way for you to personally support the El Paso Community Foundation’s mission, programs and services is to leave a bequest in your will, in a living trust, or within a codicil. One significant benefit of making a gift by bequest is that it permits you to continue to enjoy your assets throughout your lifetime that you will ultimately leave to charity at life’s end. Another benefit is that you are able to leave a lasting legacy to benefit our El Paso community in perpetuity.
Estate planning, and especially charitable gift planning, is certainly one means of supporting the El Paso Community Foundation in a lasting and significant manner.
Designing a charitable “bequest” to ultimately benefit a program fund, a scholarship endowment, or a specific beloved charitable organization through the El Paso Community Foundation can be accomplished with a minimum of time spent to create a maximum of opportunities for the future of all El Pasoans.
Bequest is a gift provided for in a person’s will. A bequest is one of the easiest estate planning gifts to make. With the help of a professional advisor, you can include language in your will or trust specifying that a gift be made to family, friends, or the El Paso Community Foundation as part of your estate plan.
Beneficiary Designations of Retirement Plans and IRA’s. Retirement accounts, which include pension plans, profit sharing plans, stock bonus plans, Keogh Plans, 401(k) plans and Individual Retirement Accounts (IRAs), generate a number of tax consequences at the time of death of the owner. These tax consequences make qualified retirement assets and IRAs appropriate as charitable giving vehicles.
Charitable Lead Trust, also known as a Short Term Charitable Trust or a Reversionary Living Trust, is a trust which is irrevocable for a term of years with the income being paid to a charity during this term. There is a provision for the property to revert to the trustor at the end of the term.
Charitable Remainder Annuity Trust is a trust created by the Tax Reform Act of 1969 and it provides for a donor to transfer property to a trustee subject to his right to receive a fixed percentage of the initial net fair market value of the property for as long as he lives. Whatever remains in the trust at his death becomes the property of the beneficiary institution.
Charitable Remainder Unitrust is another trust of the Tax Reform Act of 1969. It is similar to the charitable remainder annuity trust in many ways, except the income is a percentage of the fair market value of the property transferred, determined annually.
Gift of Life Insurance is designation of a charitable organization as beneficiary of an insurance policy; assignment of ownership of a policy to charity; or gift to charity of a partial interest in a policy.
Life Estate Contract is a contract that provides for a donor to transfer title to his home or family farm to a charity, reserving to himself the right to live in and on the property and receive all the income therefrom. At his death, the home or farm becomes the property of the charitable organization.