Including Central Kentucky Community Foundation in your estate plan is an easy way for you to make an impact on the community and interests you care about and leave a legacy that lasts forever.
After ensuring your loved ones are cared for, we offer you a variety of ways you can use your assets to make a planned gift and accomplish your charitable goals.
For many Americans, their charitable dollars are invested close to home. Whether it’s an organization that has touched their life in a meaningful way or a cause they are passionate about, when it comes time to donate, they want to see the dollars make a difference in their community.
It’s no different when it comes to their estate planning. People want to make a lasting impact on what matters most to them. That’s where our Give5 initiative comes in. With a gift of 5% in your estate plans, our community will benefit forever.
Bequests allow you to give in the future without affecting your current financial situation and to continue your charitable giving beyond your lifetime. Establishing a fund with CKCF through your will or trust is a popular planning technique, which may result in estate tax savings. Our Give 5 Initiative encourages people to consider the community in your estate plans. Think about giving 5% to an endowment fund for what matters to you.
You can designate CKCF as a beneficiary of your estate to receive a percentage or defined dollar amount or to be the residuary or contingent beneficiary. You can make a big difference in this community by adding simple language to your will. Ask your estate planning attorney to contact us for more information.
Assets held in 401K and individual retirement accounts require special consideration in your financial planning. Once you must take the Required Minimum Distribution (RMD) annually, the income tax can reduce their value for you and your heirs. If these assets remain in your estate, they also could incur an estate tax, meaning possible double taxation for your heirs.
By donating retirement assets to CKCF during your lifetime, you can remove them from your estate, preserve more of their value and receive a federal deduction for the gift. Talk with us and your financial advisor about making an IRA Charitable rollover.
You may name Central Kentucky Community Foundation or a CKCF fund as the beneficiary on almost any kind of financial account (bank accounts, 401k, IRA, brokerage and investment accounts) and insurance policies. Just ask your financial institution for a Beneficiary Designation Form and include the community foundation as beneficiary or contingent beneficiary on your account(s). Always check with a professional advisor to make sure this gift is coordinated with your overall estate plan.
For some people, real estate represents a significant portion of their assets. Gifting real property to CKCF can be a smart tax strategy and help fund your charitable interests long-term.
Life insurance offers several options for giving.
- You can name Central Kentucky Community Foundation or a CKCF fund as a beneficiary of your existing policy.
- You can donate an existing, paid-up policy and in turn, you will get an immediate tax deduction for the gift, usually equal to the policy’s cash surrender value.
- You can take out a new insurance policy naming the Foundation as owner and beneficiary. Your annual payments to the Foundation to pay the premiums are fully deductible as a charitable contribution.
Charitable Remainder Trust
You can place cash or property in a trust that pays annual income to you (or another named beneficiary) for life. After your death, the remainder of your trust transfers to CKCF and is placed into a charitable fund you have selected. You receive income tax benefits the year you establish your trust.
Charitable Lead Trust
You can place cash or property into a trust that pays a fixed amount to Central Kentucky Community Foundation for a fund or a cause you care about. Once this period ends, the assets held by the trust are transferred to beneficiaries you name. In some cases, you receive a substantial reduction in federal gift and estate taxes.
For help developing an estate plan to meet your charitable giving needs and goals, please contact Davette Swiney at 270-737-8393 or by email at firstname.lastname@example.org.