PLANNED GIVING - OPTIONS

RETIREMENT PLAN ASSETS.


Your retirement plan is designed to benefit you during your retirement. However, you may name beneficiaries for your plan in case you pass away with funds still in your account. Along with family, relatives and friends, a charity may also be named as the beneficiary. This is among the easiest and most tax-wise ways to give.

Most retirement plans are income tax-deferred, which means that you are required to pay income tax when the funds are distributed. This means that every dollar your heirs receive from retirement accounts would be subject to income tax (unless they are your spouse or the distribution derives from a Roth IRA). Depending on the size of the estate, retirement funds, like other estate assets, may be subject to estate tax as well. However, distributions from retirement accounts to a charity such as Village Theatre would be subject neither to income nor estate tax.

Besides tax savings, a gift of retirement assets has other advantages:

  • It is easy to arrange. You merely request a Beneficiary Designation Form from your plan administrator.
  • You can designate Village Theatre as beneficiary of whatever portion you choose. For example, it might be 10 percent or 25 percent of the account. If you have otherwise provided for heirs, you could leave the entire balance to Village Theatre.
  • The gift is revocable. You retain full control of your retirement funds should you need them, and you can change beneficiaries at any time.

If you have a retirement account, and you would like to leave a legacy to Village Theatre to secure its future, the most tax-efficient gift you can make may be with some left-over funds in that account.


OUTRIGHT GIFTS OF RETIREMENT ASSETS.


If you are over 59 ½ years of age, you might also consider an outright gift from your IRA or 401(k) or 403(b) plan. While the withdrawal would be a taxable event, your charitable deduction would offset the taxable income.

IRA Rollover Provision. If you are over 70 ½ years of age, you can make charitable gifts directly from your IRA to Village Theatre without the distribution being counted as taxable income. This can have certain tax advantages, particularly if you do not usually itemize your deductions. There are some restrictions so if this is of interest to you, please let us know. We can provide you with helpful information and a form letter to use in requesting such a transfer from your plan administrator.

To find out more about naming Village Theatre as a beneficiary in your retirement plan, or to make an outright gift from retirement assets, please contact:

Louise Kincaid, Director of Development at 425 392 1942 x 111 or lkincaid@villagetheatre.org.

CONTACT DEVELOPMENT »


Louise Kincaid: (425) 392-1942 x111
Director of Development

COMMON PLANNED GIVING OPTIONS »


BEQUESTS.
Gifts made through your will or living trust.

RETIREMENT PLAN ASSETS.
Include Village Theatre as a beneficiary to your retirement plan.

LIFE INSURANCE.
Make Village Theatre the beneficiary to your life insurance policy.

CHARITABLE GIFT ANNUITIES.
An cash or asset exchange between Village Theatre and you.

CHARITABLE TRUST.
Make a gift to Village Theatre and receive income for your lifetime.

CHARITABLE LEAD TRUSTS.
Gift arrangement involving property transferred into a trust arrangement.