Naming charities as beneficiaries

 

What’s an easy way to leave money to your favorite charity?  Name the charity as the beneficiary of your qualified accounts.

 

For example, maybe you took out an insurance policy on your children when they were little.  Now that they’re grown and have their own income and insurance, you might not need that death benefit anymore.  Change the beneficiary to your favorite charity and they will receive the cash.

 

Other investments allow you to name a beneficiary, too, such as bank accounts, IRAs, and annuities.

 

By naming the Foundation as your beneficiary, you can set up a fund now so that the death benefit rolls directly into your donor-designed fund without taxes or probate.

 

The Community Foundation of Grundy County offers many types of donor funds that you can design to meet your philanthropic goals – either during your lifetime or as a legacy upon your passing.

 

Donor Advised Funds are the most flexible – a donor sets up a fund with a lump sum of cash or asset then makes grants out of the fund at a time that is convenient to the donor.  Field of Interest Funds are like-minded donors coming together to pool their assets and grantmaking around a particular issue such as education, fine arts, or historic preservation.  Designated Funds are set up by donors for a specific charity or organization and grants checks are automatically forwarded to that charity on an annual basis – even after your passing.  Scholarship Funds support students of all ages, backgrounds, and majors who are pursuing a post-secondary certificate, designation, or degree.  Agency Endowments are set up by non-profits as a permanent income stream as they can count on the annual income toward their operations.

 

If you think you want to set up a donor-designed fund but are unsure how to go about it, please feel free to contact us.  We love to brainstorm about the needs of the community and the size and types of donor-designed funds you can create to fulfill the needs of the local charities and the clients they serve.

 

Remember, donors don’t give TO a community foundation, they give THROUGH a community foundation.

 

The Community Foundation of Grundy County can be reached at 815-941-0852 or [email protected] or visit our website at https://cfgrundycounty.com