It's easy. You can arrange for a gift in several ways, the most common being through a charitable gift in a will or a living trust. Many people set aside a certain dollar amount. Others leave a percentage of their estate, or any assets left over after they have provided for their family. Others leave a paid-up life insurance policy, retirement account, or other financial investment.
Everyone can leave a legacy. "Estate" is simply a word used to describe any money, property, or personal belongings that you own at the time of your death. Most people leave an estate when they die, even though they may not have a great deal of wealth. Even modest gifts are appreciated.
A charitable bequest will not take effect unless you state your intention in your will or living trust. Without a will, you may lose control over your assets after your death.
The answer is different for each individual. Some people make their wills when they have a first child, or when they receive an inheritance. But don't put it off--the time is always right to think about how you wish to be remembered.
Why should I consider leaving a legacy?
Consider the institutions and causes you support now. Why have you made gifts of money and time? Picture your Jewish community decades from now. What would you hope to see? Through your legacy, you can ensure that the organizations you care about 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 other Jewish group. You may wish to target fields of interests such as Jewish education, care for the elderly, or social services in Israel. You can also support organizations in the general community that have touched your life.
Consider designating a share of your legacy as unrestricted by including your Jewish community's Unrestricted Endowment. 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.
That is up to you. Charities often like to know in advance so that they can recognize your generosity. They can also tell you about specific opportunities for giving.
You should engage your children in every step of the legacy planning process. Here are some suggestions:
The legacy planning process can 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 for the community's recognition society.
The federation/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.
With the help of the federation/foundation and your professional advisors, you will carefully choose the source of your dollars to help fund your legacy. Examples include retirement funds, highly-appreciated stock and real estate.
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 or charitable remainder trusts. Or your legacy can be a simple bequest in your will or from your IRA.
A bequest is a legacy gift, distributed from the donor's estate after the end of his or her life. If not designated, it can be spent in the year that it is captured. An endowment is a permanent fund that is held in perpetuity, distributing a specified percentage annually to the designated purpose. For example, a Lion of Judah Endowment (LOJE) and Perpetual Annual Campaign Endowment (PACE) are funds that are held by the federation/foundation and distributed each year to the Annual Campaign. An endowment can be established by bequest or during the donor's life.
Simply call the WNC Jewish Federation at 828-545-4648, the Community Foundation of Western North Carolina at 828-254-4960 or your favorite Community Foundation or financial advisor for a confidential meeting. They look forward to working with you to keep the community strong and vibrant for generations to come.
