Charitable Giving in Estate Plans
Financial ups and downs are common, and charitable organizations frequently close down when there is an economic downturn. When looking to give charitable donations as part of estate planning, donors are frequently skeptical about handing over large sums of money. There are few ways that your estate planner can help you donate your money in such a way that it won’t be wiped away by a financial downturn.
Giving to large, well-established organizations, like a university, is one way to ensure the money won’t be wasted. Funds for general operating procedures can be hard to come by, so large non-profit organizations with significant administrative costs are always grateful for money that can added into a general pool instead of funds that come with restricted use guidelines.
Organizations like The United Way represent a variety of small non-profit organizations. These larger non-profit organizations are stable but still give you access to small organizations. If the smaller organizations shut down, your money can be diverted to other like-minded non-profits.
Lastly, you can use a gift annuity to ensure a steady stream of money for a specific non-profit and a specific program within any organization. These gift annuities are a great way to provide regular, reliable income. Gift annuities are also a great way to provide money for annual scholarships.
Your estate planner can review with you the amount of money you are likely to have for donations in your will. Because options vary based on the amount you can give, your lawyer will guide you through selecting the best choice for your specific financial circumstance.