Make Your Legacy Simple and Significant

If you want to make a difference for serving leaders through Servant’s Oasis, please consider a gift from your retirement plan or IRA. Both retirement plans and IRAs typically generate a sizable taxable income when paid to a beneficiary. In fact, more than half of your retirement plan assets could be subject to income and estate taxes.

Because of these heavy taxes, it is usually advantageous to leave taxable assets to Servant’s Oasis and allocate your nontaxable assets elsewhere. To make a gift through your retirement plan or IRA, you will need to contact your retirement plan or IRA administrator and complete a beneficiary designation form. This form will assist in the process of naming Servant’s Oasis as a beneficiary. On this form, you will designate the percentage you’d like Servant’s Oasis to receive. After the form is filled out, you’ll need to send it to your plan administrator. Be sure to keep a copy for your records.

It is important to note that beneficiary forms can be filled out and changed at any time. Beneficiary designations must be kept up-to-date, or your assets may never reach your intended recipients. Experts suggest reviewing your plans and beneficiaries every two to three years and when you review your entire estate plan.

If you are at least 59½ years old, you can take a distribution and then make a gift from your IRA without penalty. If you itemize your deductions, you can take a charitable deduction for the amount of your gift. We highly recommend contacting your advisor for more details.

If you are 70 1/2 years or older, you can make a direct transfer from your IRA to a qualified nonprofit like Servant’s Oasis without having to pay income taxes on the money. This is an increasingly popular gift option called a qualified charitable distribution (QCD), is also known as an IRA charitable rollover.

This gift can satisfy all or part of your required minimum distribution. The gift does not generate taxable income or a tax deduction. In addition, you may now make a one-time election from your IRA to fund a charitable gift annuity or charitable remainder trust. Special rules and dollar limitations apply, so contact your advisor for more details.

Life insurance is an asset that can be gifted to Servant’s Oasis. This is a way that you make a substantial gift at a relatively low cost. You will need to designate Servant’s Oasis as the beneficiary for a percentage of your life insurance policy’s death benefit. To update your policy with Servant’s Oasis as a beneficiary, you will need to contact your insurance company or agent and request a beneficiary designation form. Complete the form and send it back to the insurance company. Be sure to keep a copy for your records.

Commercial annuities are assets with an income tax burden when paid out to your named beneficiary. The income tax on commercial annuities is due on the growth of the annuity. This tax burden makes these assets another popular choice to leave to a tax-exempt organization like Servant’s Oasis. The process for making gifts of commercial annuities is similar to the process used to give retirement plan assets and life insurance.

You will need to contact your bank, insurance company, or financial institution for a change-of-beneficiary form for the annuity. Decide what percentage of the annuity’s value you would like Servant’s Oasis to receive, and name us along with the percentage on the beneficiary form. Once completed, send the form back, and be sure keep a copy for your records.