It's not a coincidence that the type of planned gift most commonly used is also one of the simplest to set up – a bequest in one's will. Most people have a will. It was most likely prepared upon the birth of a child or some other significant life event.
A will is the place where one makes plans for property and family after death. It is also a way to continue to provide for organizations that one supports throughout one's lifetime. Many of us want to continue support of our favorite organizations but are uncertain as to our own future financial needs. That is why a gift through a will is the most popular planned gift.
Through your will, you retain full use of all of your property throughout your lifetime and, with your attorney's assistance, can provide for your family along with any charitable gifts you wish to make. You also retain the right to change your mind.
There are a number of ways to provide for a charitable gift in a will. The gift can be for a stated amount, for specific property or for a specific percentage of your estate. Your attorney will advise you of the different approaches and what might work best for you. Recommended wording for making a restricted or an unrestricted bequest to Canterbury can be found below.
I give and bequest to Canterbury School, a nonprofit corporation in Fort Wayne, Indiana, the sum of _____dollars ($_______)/_______% of my estate/or the property described below for such purpose as the trustees of Canterbury School shall determine to be in the best interest of Canterbury School.
If you wish to make a restricted bequest, we strongly urge you to add the following wording as one of the terms of the gift in your will:
If at some future time, in the judgment of a majority of the trustees of Canterbury School, the income or principal of the fund established by this bequest can no longer be utilized to the best advantage of Canterbury School for the purposes or in the manner specified, then the income or principal or both may be used for such related purpose and in such other manner as the trustees may deem appropriate that will most nearly accomplish my wishes.
Individual Retirement Accounts
Individual Retirement Accounts (IRAs) make a wonderful way to leave assets to Canterbury School. Consider making Canterbury the beneficiary of part or all of an IRA and avoid the high estate taxes placed on these accounts by the government.
Life insurance is a frequently overlooked asset. Many times the original need for the policy no longer exists, and in such cases a gift of the policy can be very rewarding, particularly if the policy is fully paid up. Life insurance may also be used if you want to make a gift of another asset (such as highly appreciated real estate) but wish to retain the value of that asset for your family. By using the tax savings generated from the gift of real estate to purchase an insurance policy, you may be able to replace the value of the gift for the benefit of your family.