Bequest Giving
What is Bequest Giving?
Have you ever asked yourself what would happen to the charity you support if you were not around? Have you ever thought of how to keep on giving beyond your years on earth? Have you also thought of gifting a charity a gift that will keep on giving tens of years on?
A fraction of benefactors have made it their goal to give consistently, while the majority will give when it is a special occasion or a major call out for assistance.
Even so, there is a minority who actually decide to give gifts that will outlive them by leaving instructions through a legal document such as a will. It is called Bequest giving.
Simply put, bequest charity is a gift that will benefit charities year and years to come - a gift that keeps on giving.
At Develop Africa there are projects that require continuous giving. From education sponsorship, skills and talent development, health and finance assistance, Develop Africa would need partnerships that span several years.
Steps in planning a Bequest gift
- Our goals
Develop Africa seeks to develop the whole person by supporting children in their education, young adults in developing their skills and extending financial support to build tomorrow's businesses. Bequest giving can go a long way in achieving these objectives. As a potential partner, you can decide what type of projects you can extend your bequest giving in this regard.
- Your goals
What are your personal goals in giving? Being that Bequest giving can outlive the benefactor, the alignment of visions could be the best mix in producing successful future results. Such a vision is the bedrock of bequest giving. It is supporting a goal that you might not see in your life but you strongly believe in. An appropriate vision will steer you to the right bequest gift.
Types of bequest donation
There are a couple of ways you can administer your estate when planning for a bequest donation. Here they are:
- Specific Bequest.
These are gifts that are expressly written in a will e.g land, the sum of money, cars, etc. It is straight forward and there is no interpretation on such gifts. It can also be called General Bequest.
- Percentage Bequest.
This specifies the percentage of the estate or ownership of the bequest to be given to charity. It could be “20 percent of my land to go to charity” or “50 percent of returns from x company to be given to charity”. This could also be classified as a demonstrative bequest.
- Residual Bequest
The remaining portion of your real estate or what you own after other distributions have been made. Residuary gifts can come from an insurance policy or annuity.
Benefits of Bequest
- Helps us plan better
Bequest giving allows us to plan well in their pursuit of our goals. Funds would provide consistent funding over a period of time or long term. This will enable us to provide consistent, uninterrupted services to beneficiaries. Uninfluenced by donor trends, no need to depend on special grants.
- Tax benefits
As a bequest benefactor, several tax benefits are available depending on the region. Ensure to speak to your financial experts to explain what exemptions are offered.
- Easy to adjust
Just as it’s easy to change an existing will, a bequest giving is as stress-free. If your circumstances have changed, you can adjust it to suit the season.
Get Started With Bequest Giving
Once you have considered to partner with us and assign a bequest gift, speaking to your lawyers or legal representative is the next crucial step. Bequest giving is usually included in a will and it becomes an issue of the law. A counsel with your lawyer or legal representative will shed light on how your bequest giving can be allocated and how it will be administered in case of your demise.
Rachel Ralston Mancl, Attorney at Law is happy to assist you with your trust and estate needs and questions.
100 Med Tech Parkway, Suite 110
Johnson City, TN 37604
(423) 283-6319
rmancl@hsdlaw.com
www.hsdlaw.com
