It is easy to do and does not require a lawyer. Simply request a change in beneficiary form from your plan administrator and allocate a percentage to WFIU or WTIU!
Do you have money saved in an employee retirement plan, IRA or tax-sheltered annuity? Retirement plan benefits include assets held in individual retirement accounts (IRAs) and in accounts under 401(k) plans, profit-sharing plans, Keogh plans, and 403(b) plans.
Income taxes on retirement-plan assets are deferred while they accrue, but not avoided. This means that, as these assets are withdrawn during retirement by the account owner or the account owner’s spouse, they are subject to income tax.
When passed on to your heirs, your beneficiaries will owe the income tax at your death, totaling up to 35%, which may be reason enough to consider giving your loved ones less heavily taxed assets and leaving your retirement plan assets to charity instead.
Naming a charitable organization as a beneficiary for all or for a modest percentage of your retirement plan proceeds may allow your heirs to avoid costly taxes.
Here are 5 Reasons to Share your Assets and Create a Legacy Gift
- Feel good knowing the retirement funds you didn’t spend during your lifetime will go to a cause you love
- Your beneficiary designation won’t reduce the amount of retirement funds available to you
- The gift does not occur during your lifetime—but when you no longer need it!
- This is a simple gift to make — with no need for a lawyer
- If many listeners and viewers left even 5% of their retirement plan assets to WFIU or WTIU, the results could be transformational.