Retirement Assets
GOAL: Give George School what remains in my IRA or other retirement plans
"I've heard that my children may only inherit a small portion of my retirement plan assets. I want to use these tax burdened assets to make a significant gift to George School without limiting my use of these funds during my lifetime."
METHOD: Name George School as a remainder beneficiary of your IRA and other retirement plans
FREQUENTLY ASKED QUESTIONS ABOUT GIFTS OF TAX-DEFERRED RETIREMENT ASSETS
HOW ARE GIFTS OF TAX-DEFERRED RETIREMENT ASSETS MADE? Gifts of Tax-Deferred Retirement Assets (assets in tax-deferred retirement accounts, such as IRAs and 401Ks) can be made by:
- Designating George School as the primary or secondary (after spouse) beneficiary on the Beneficiary Designation Form of the custodian of these accounts, or
- Specifying in your will or estate plan that the balance in these retirement accounts be transferred to George School on your death or the death of your surviving spouse.
- Upon death, any amount in such tax-deferred retirement accounts are subject to both income and estate taxes, making them the most tax burdened assets you own and thus one of the most attractive vehicles for making a gift to George School.
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WHAT ARE THE BENEFITS OF MAKING A GIFT OF TAX-DEFERRED RETIREMENT ASSETS TO GEORGE SCHOOL?
When you, or your spouse, leave an IRA, 401(k), 403(b) or Keogh to your children or your estate, the account is subject first to estate taxes then to income taxes as funds are withdrawn. However, if you name George School as beneficiary of your retirement plan, the value of your account is not reduced by income or estate taxes. A gift of retirement plan assets is especially helpful when you are concerned about whether you can afford to make a substantial gift. Since retirement plan assets are so heavily taxed, it might be advantageous to leave them to George School and leave less heavily taxed assets to your heirs.
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WHO SHOULD I CONTACT REGARDING A GIFT OF TAX-DEFERRED RETIREMENT ASSETS TO GEORGE SCHOOL?
If you would like more information about giving your tax-deferred retirement assets to George School, now or at your death, please contact Director of Planned Giving Andy Popkin at 215.579.6563 or GSPlannedGiving@georgeschool.org.
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