Supporting organizations that align with your values is one of the most fulfilling ways to make a lasting impact. Immediate donations can address pressing needs, but legacy giving and planned giving provide a valuable opportunity to maximize your charitable impact for years to come.
Legacy giving is a meaningful way for individuals to contribute to organizations beyond their lifetime. Charitable giving vehicles can be powerful tools to continue your philanthropic journey, ensuring that support will continue beyond a lifetime.
Since our founding in 1947, Texas Hearing Institute has partnered with families and supporters to create lasting impacts through philanthropy. We understand how legacy giving works and helps the communities you care about. This article will guide you through options for arranging a meaningful legacy.
What are the Benefits of Legacy Giving?
For many, giving to nonprofits is a powerful way to improve the world. Legacy giving is not just about the present; it can ensure that your passion for helping others and improving your community continues well into the future. By including organizations in your estate planning, you can leave impactful gifts that will endure for generations.
Legacy gifts can be much larger than lifetime donations because they may come from non-traditional assets such as:
- Life insurance policies
- Retirement assets
- Real estate or property
- Stocks or equities
Planned gifts can be expressed as a dollar amount or percentage allowing your gift to adjust naturally based on the value of your assets over time. Including a nonprofit in your estate plans can leave a lasting testament to your life’s work.
No gift is too small. Modest gifts can have an enormous impact for organizations you care about.
You can structure gifts, so they are in line with your existing commitments. Charitable giving within estate planning can reduce tax burdens. This can benefit your heirs and the missions of organizations you care about.
Your legacy gifts can honor a family member or friend as a meaningful way to show appreciation for a loved one while supporting an organization that is special to them.
Legacy giving sets an example for future generations, encouraging a culture of giving within families. When younger generations see the impact of charitable donations, they are more likely to continue the tradition of philanthropy.
How Can I Make a Legacy Gift?
Bequests
You may specify that a specific dollar amount or percentage of your estate be donated to a nonprofit organization. With this method, you can make adjustments if your life circumstances or giving intentions change.
Life Insurance Policies
You may designate a nonprofit organization as a beneficiary of your life insurance policy. This vehicle allows you to commit a substantial gift for the future without impacting your financial situation.
Retirement Plan Assets
You can maximize tax efficiency by designating a nonprofit organization as a beneficiary of your retirement accounts, such as 401(k) or IRA. Many retirement plan assets are subject to income tax when inherited by individuals. Nonprofits can utilize the full gift amount because they are tax-exempt.
Charitable Remainder Trusts and Charitable Lead Trusts
With a Charitable Remainder Trust, you or your designated beneficiaries receive income for a specified period or for life and remaining assets will eventually go to a charitable organization.
A Charitable Lead Trust allocates income to the charity for a set term and then any remaining assets are passed on to your beneficiaries. Both options should be considered for tax benefits such as income and tax savings.
What Should I Do to Get Started?
Take some time to reflect on the organizations you support, the causes and programs mean the most to you, and how they align with the legacy you want to leave.
Consult professionals, such as estate planning attorneys and financial advisors to help you structure your gift effectively and align it with your financial and philanthropic goals.
Communicate with family members and beneficiaries to ensure they clearly understand your philanthropic and financial goals.
Make Your Legacy Count for Children with Hearing Loss
Your legacy can be more than something you leave behind; it can continuously help children who are deaf and hard of hearing. When you include Texas Hearing Institute in your estate plans, you will be providing children with hearing loss with access to sound, communication, and opportunity for generations to come.
If you are ready to create a legacy for future generations, will you please consider partnering with us?
Learn more about ways to give and pledge your support here: https://www.texashearing.org/ways-to-give/
