What is Planned Charitable Giving?

Giving is an admirable trait. It is a way to aid charitable organizations in their quest to help their recipients. If you have considered different options for sharing your financial wealth for a good cause after your death, find out how planned giving can be incorporated in your Mississippi estate planning efforts. Leaving a legacy and a lasting mark on a charity or the world is easily doable when you work with knowledgeable professionals to ensure your last wishes are met.

The Basics of Planned Charitable Giving Explained

High net-worth families can establish a generational legacy with planned giving. Here are some of the basics when it comes to giving back to others when you die:

  1. Planned Giving: This is the designation of gifts you want to be presented to a favorite charity or religious organization as part of your estate plan. It includes gifting cash, real estate, life insurance, or personal property. There are often tax benefits that maximize the gift’s impact. When planned giving is part of an estate plan, it is distributed after the donor is deceased.
  2. Benefits of Planned Giving: Possibly the most important benefit is the support you provide your chosen charitable organization as it can make a significant impact on the charity’s finances. There may be some estate tax exemptions, and donors may be able to avoid capital gains taxes when an asset is transferred to them as a planned gift. Another benefit is the opportunity to provide long term support and establish a legacy. You also have the chance to leave a significant contribution that you may not have been able to before death.
  3. Types of Planned Giving: While there are different ways to make your planned gift, here are three you may want to consider:
    1. Outright Gift – Just as it indicates, this option is the direct transfer of cash, personal property, securities, or stocks to an organization. Maybe you want to leave a significant cash gift to your favorite animal rescue center. That would be an outright gift.
    2. Gifts that Return Income – This type continuously provides financial support to your chosen organization. You might establish a charitable trust to pay out either a fixed or percentage amount at a set schedule.
    3. Gifts Payable Upon Donor’s Death – This option is paid out upon your death and is part of your estate planning. You would name the organization in your Last Will, or you could make them a beneficiary of your life insurance.

Make Planned Giving Part of Your Estate Planning

Leave a legacy when you incorporate planned charitable giving in your estate planning portfolio. The experienced professionals at Executive Planning Group can assist you in navigating the process to attain your financial goals. We help you in various ways to ensure you maintain your lifestyle after retirement and support your chosen charities after your death. Contact us today, or feel free to request a quote online.

Call us at 601-982-3000 to begin or revisit your estate planning in Mississippi.

Disclaimer: Securities offered through Valmark Securities, Inc. Member FINRASIPC. Investment advisory services offered through Valmark Advisers, Inc., an SEC-registered investment advisor. Executive Planning Group is a separate entity from Valmark Securities, Inc. and Valmark Advisers, Inc.

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