There are various ways individuals can leave money or other assets to the New Hampshire Children’s Trust or entrust their money to the Children’s Trust during their lifetimes so that both the donors and the nonprofit benefit. These gifts can also support estate tax and financial goals. You don’t need to be wealthy to consider a planned gift.
NEW: IRA Extension Rollover: Fortunately, the recent tax bill provides that IRA gifts can be accomplished simply and without tax complications. Plus, you can make the gift now, while you are living and able to witness the benefits of your generosity.
Individuals over the age of 70 ½ can make annual tax-free distributions in 2013 of up to $100,000 from their IRAs directly to the NH Children’s Trust.
You may contribute from your IRA if:
- You are age 70½ or older
- The gift is $100,000 or less in the given year
- You transfer funds directly from an IRA or Rollover IRA
- You transfer the gift directly to the NH Children’s Trust
- No goods or services are given in exchange
- You make the gift on or before December 31, 2013
How the Rollover Works: An Example
Pat, aged 80, has $450,000 in an IRA and wants to give $75,000 this year. If Pat transfers $75,000 from the IRA, she will avoid paying income tax on that amount. She cannot, however, claim a charitable deduction. Pat has found an easy way to benefit her favorite charity without tax complications.
BEQUESTS: Most commonly, people simply name the nonprofit as a beneficiary in their will or trust. A will or trust can be modified during the individual’s lifetime if changing circumstances so dictate.
You can name the New Hampshire Children’s Trust as a beneficiary of an IRA, 401k, 403b, or other qualified gift plan. This simple approach to planned giving may generate significant tax savings for your estate and heirs while supporting the New Hampshire Children’s Trust and our work to eliminate child abuse in New Hampshire. You can also name the New Hampshire Children’s Trust as a beneficiary of a life insurance policy, with potential estate tax savings for heirs and support for the New Hampshire Children’s Trust.
LIFE-INCOME OR OTHER GIFTS: For someone who would like to make a lasting gift to a nonprofit but needs income during his/her lifetime, planned giving alternatives such as Charitable Gift Annuities and Charitable Remainder Trusts may be appropriate. There are other tools for legacy gifts as well.
For more information contact your attorney, estate planner or:
Keryn Bernard-Kriegl, executive director, at (603) 224-1279 ext. 22