Plan Your Charitable Estate

Bequest: A bequest made through a will or living trust is a popular tool. JCF can guide you through this process in collaboration with your Estate Planning Attorney.

I give (cash of $_________ or ___% of my estate or specified property) to (legal name of organization and tax ID number) to be used for (designation).

The primary advantage of using an Individual Retirement Account (IRA) or Pension Plan as a charitable bequest is that by doing so you may bypass both the income tax and estate tax. An individual must do this through a beneficiary designation form approved by the plan sponsor. Gifting retirement plan assets to charity during your lifetime may also result in substantial tax savings.

A gift of your life insurance policy is an excellent way to provide for organizations in the future. If you no longer have the need for a policy, you may donate it to an organization, providing you with possible tax benefits. Properly structured, a gift of life insurance can greatly increase your philanthropic impact.

A Charitable Gift Annuity (CGA) is an agreement between you and the Foundation. In exchange for assets irrevocably transferred to the Foundation and designated to the charities of your choice, you receive regular fixed payments for life backed by the resources of the Foundation.

After the beneficiary’s lifetime, the remaining principal in the annuity goes to the named charity or charities. The Foundation engages Union Bank to manage its CGA program.

For more details, view our CGA flyer.

A Charitable Remainder Trust (CRT) is a trust arrangement between you and a trustee of your choosing. You transfer property, but retain the right to receive income. At the end of the trust’s term, the principal is distributed to the charitable organization(s) of your choice or to the Foundation and used to establish a permanent endowment fund in your name. It may also be added to a family donor advised fund or foundation. There are two types of CRTs:

• A Charitable Remainder Annuity Trust (CRAT) provides a fixed payout.
• A Charitable Remainder Unitrust (CRUT) provides a variable payout.

In both cases, you may receive an immediate income tax deduction and avoid capital gains tax on the transfer of appreciated assets, while creating a legacy for future generations.

Jewish tradition teaches that one of our key duties is to make the world a better place for future generations. The time is always right to think about how you wish to be remembered.

Your legacy planning can be a meaningful, life-changing experience. Picture the community decades from now. What do you see? Consider institutions and causes you are involved with now. Why have you made gifts of money and time? What have been your most significant gifts and which have provided you with the most satisfaction? Through your legacy, you can ensure that the organizations you love thrive in perpetuity and the issues you are most concerned with continue to be addressed.

All qualified, tax-exempt institutions are appropriate beneficiaries. Organizations you have supported in your life are natural choices. Help keep the Jewish community strong by considering your synagogue, Federation, Jewish day school or another Jewish group. You can also support organizations in the general community such as your alma mater or a medical institution that has touched your life. Besides specific institutions, you may wish to target special interests such as Jewish education, care for the elderly, or social services in Israel. Also consider designating a share of your legacy to the Jewish Community Foundation’s Unrestricted Endowment Fund, the Marjory Kaplan Foundation Fund. While some issues remain constant, priorities can shift in sudden and unexpected ways. This is an excellent way to express your trust in future community leaders.

You can engage your children in every step of the legacy planning process. Here are some suggestions:

• Hold a family discussion about how your values have been expressed through giving.
• Visit organizations you are considering as beneficiaries of your legacy.
• Share with your children the reasons certain issues are important to you.

The Foundation is here to be your key resource, advisor and guide. Because we distribute millions of dollars in grants to the community each year, we can help you identify community needs and potential beneficiaries. We can meet with you before you meet with your advisors to brainstorm initial ideas and goals. In future years, we can help involve your children and grandchildren in carrying out your legacy.

We can work with you and your professional advisors to plan your gift in a way that furthers your unique financial and charitable goals. We are available to meet and consult with your advisors throughout the process.

Depending on your assets and goals, you can fund your legacy now or after your lifetime. For example, if you feel there is a compelling need to provide scholarships to Jewish day schools for needy children, you can begin those scholarships now and direct your estate to complete the balance of the funding. Alternatively, you can designate your entire legacy to be funded after your lifetime if that is more appropriate for you.

Depending on your goals, your legacy can be structured in the way that is most advantageous for you. You, your spouse and family members can receive income for life through charitable gift annuities, charitable remainder trusts and pooled income funds. Or your legacy can be a simple bequest in your will or trust.

With the help of the Foundation and your professional advisors, you will carefully choose the source of dollars to help fund your legacy. Examples include retirement funds, highly-appreciated stock and real estate.

The legacy planning process can be a wondrous journey. It can engender heartfelt conversations with your family and build bonds with your partners in your community. It is truly a way to let your name be remembered as a blessing.

Your promise to provide for the Jewish community after your lifetime also makes you eligible to sign the Book of Life, a treasured archive. By inscribing your name and including a personal message, you express your belief in and commitment to Jewish values and heritage—ensuring that our people will survive and flourish. The Book of Life is displayed prominently at the Jewish Community Foundation, an ever-growing record of names and legacies—a true portrait of our community.

Simply call the Jewish Community Foundation at 858-279-2740 or your favorite organization(s) for a confidential meeting. We look forward to working with you to keep our community strong and vibrant for generations to come.