Make a lasting gift to Redeemer
Planned giving is a generous and effective way of ensuring Redeemer’s future vibrancy. Over the past 10 years Redeemer has received 4 major bequests of almost $600,000. We also have an additional 10 parishioners who have indicated that they have included Redeemer in their will. You can make a planned gift to Redeemer in a number of tax-beneficial ways.
While you should consult with your attorney or financial advisor for guidance in determining the planned gift approach that is right for you and your family, we suggest the following options:
Gift from Retirement Plans
The simplest planned gift of all, and the most tax efficient, is made from a tax-deferred retirement plan: 401(k) plans, 403 (b) plans and individual retirement accounts (IRAs).Left as part of an estate, tax-deferred assets will be subject to income tax and possibly other forms of taxation. Where qualified, however, naming Redeemer as a beneficiary of a retirement plan allows the gift to pass directly to the Church free of any taxes.
This is also one of the easiest gifts to put in place. In most instances, simply go to the web site of the trustee or custodian of the plan and change the beneficiary designation. Like a bequest from a will or trust, the gift may be a specific dollar amount or a percentage of the plan assets.
To designate Redeemer as a retirement plan beneficiary, Redeemer’s tax ID number is 04-2225843. Please consider sending us a copy of your beneficiary form for our records.
Gift of Life Insurance Policies
Gifts of life insurance to Trinity allow you to receive charitable tax deductions while making a larger gift to the church than might otherwise be possible for you. Using an existing life insurance policy is a quick and convenient way to make a planned gift commitment to Redeemer. Ask your insurance company for a beneficiary designation form, and name “Church of Our Redeemer, Lexington, Massachusetts” as a beneficiary.
Gift by Will
Bequests by will to the church are exempt from federal and most state inheritance taxes. With a gift by will, your total estate value is reduced by the amount of your planned gift, reducing your overall estate tax.
By your will (which you may change by a codicil) or your revocable trust (which you may change by an amendment), you can make Redeemer the beneficiary of cash, securities, and/or other property. You may designate by a specific amount or a percentage of your estate, or you may make Redeemer a residual beneficiary of your will or trust; that is, a recipient of some part of the balance after payment of specific bequests, expenses, and taxes.
As you review your testamentary plans, here are three language samples for your use.
Specific Amount for General Purposes
“I give, advise, and bequeath to The Rector, Wardens, and Vestry of Church of Our Redeemer, Lexington, Massachusetts, the sum of $______ to be used at their discretion for the general objectives and purposes of said Church of Our Redeemer.”
Percentage Amount for a Specific Purpose
“I give, and bequeath to The Rector, Wardens, and Vestry of Church of Our Redeemer, Lexington, Massachusetts, ___% of the rest, residue, and remainder of my estate, to be used at their discretion for the general maintenance of the physical facilities of Church of Our Redeemer.”
Unrestricted Bequest to Redeemer’s Endowment
“I give, and bequeath to The Rector, Wardens, and the Vestry of Church of Our Redeemer, Lexington, Massachusetts, ___% of the rest, residue, and remainder of my estate, to be placed in the Church of Our Redeemer Endowment Fund, for use at their discretion.”
These are only samples for your consideration. Your legal counsel can help you to refine the bequest language to suit your specific wishes for Redeemer. If you do decide to include Trinity in your will, we would find it very helpful to have a copy of that portion of your will for our records