Development News – Fall 2006
By Roberta
Zweifler
Director of Development
Many of our friends would like to make a
significant gift to The ARC of Essex County but feel that their generosity
must be tempered by financial responsibility for themselves and their loved
ones. They hesitate to part today with assets that may be needed tomorrow to
meet personal or family obligations. Some, however, have discovered that
under their wills, it is possible to help us without neglecting other
obligations.
Most Americans, surprisingly do not have wills. Most have done no estate
planning whatever. The will is the foundation of testamentary charitable
planning; indeed, it is the basis of estate planning in general. The thought
process should begin.
“Who will be the Executor of my Will?” The executor is responsible
for inventorying, protecting and managing estate assets; ascertaining the
validity of claims against the estate; paying valid debts and other claims;
filing tax returns and carrying out the terms of the will. Some possible
candidates for executor are one’s spouse or other family members, one’s
attorney, a bank or a trust company or two of the aforementioned as
co-trustees.
“How to avoid probate?” “Probate” means technically establishing the
validity of a will. It is the whole process of settling an estate left by a
will. In some situations, probate can cause considerable delay and costs.
Assets that tend to cause the most problems are business interests,
investment real estate and out-of-state real estate. Non-probate assets
include life insurance payable to a named individual, retirement plans
payable to a named individual, and assets owned jointly with right of
survivorship.
A Revocable “Living Trust” can be a way to avoid probate, provide for asset
management in case of incapacity, preview a trustee’s performance, retain
control over investments and insure privacy in regard to one’s estate plan.
These thoughts are presented to simply alert you that if it is your
intention to make a future gift to The ARC of Essex County, some planning
must take place in advance.
May we suggest three good ways to give:
1. Bequests – Gifts Made by Will
2. Gifts of Appreciated Stock
3. Gift of Remaining Retirement Plan Assets (extremely tax advantaged under
the current tax laws)
If we can help you accomplish your charitable objectives, please contact me.
A Lesson from Warren Buffet:
“Giving While Living”
You don’t have to be Warren Buffet to make
an impact! Many people are deciding to make their important charitable
donations while they are alive. “Giving While Living” can be a smart choice.
The two largest advantages are that it allows donors to reap pleasure over
their good deeds and it also allows them to watch to make sure their money
is being used effectively and in keeping with their intent.
There are tax benefits also. When you make a lifetime gift, you get an
income tax reduction and you can move money out of your estate, which could
potentially trim estate taxes in the future. Perhaps the most meaningful
benefit is the impact it has on transmitting your values to your family. You
are leading by example. If you involve your children in your charitable
decision-making and enlist their endorsement, you are passing on values that
you hold dear. No matter how a gift is worded, it is always a “family gift.“
If you are giving some of your resources away, there are fewer dollars for
your children. That makes it their gift as well and they should be
recognized as companion donors.
So if you have the ability to share your resources whether large or small
with a cause you believe in, you will be able to:
• Give to a group run by people you know and trust
• Set an example to your children
• Witness and monitor the result
Allow us to partner with you on your “Giving While Living” projects. Please
call Roberta Zweifler at (973) 535-1181, ext. 1224 or Joseph L. Dimino at
(973) 535-1181, ext. 1236, so The ARC can learn more about your aspirations.
Roberta
Ruben Zweifler, CFRE
Director of Development
(973) 535-1135, Ext. 1224.
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