Planned GivingJune 10, 2014
Leave a Legacy
You can support the Solve ME/CFS Initiative (SMCI) during your lifetime and through a legacy gift made in your estate plan. Many planned gifts may also provide significant tax-saving benefits.
SMCI urges you to consult your attorney, financial planner or accountant regarding specific tax and financial implications of your charitable contributions.
Remembering the Solve ME/CFS Initiative in your Will
Everyone needs a will. A will provides for the orderly transfer of assets according to your wishes after your death. People who die without a will relinquish the right to designate assets, and may also forfeit a greater portion of their estates to the IRS. With careful estate planning, you can provide for your loved ones, meet your tax obligations and still express your values by giving to your favorite causes.
Many people, including those living with ME/CFS, their friends and family members, and others, have chosen to express their commitment to conquering ME/CFS by remembering the Solve ME/CFS Initiative (SMCI) in their will.
- You may name the Solve ME/CFS Initiative in a general bequest for a set dollar amount or percentage of your estate, or to receive a specific asset. Your estate is entitled to an estate tax deduction for the value of your bequest to the Solve ME/CFS Initiative.
- Or consider naming the Solve ME/CFS Initiative as a contingent beneficiary of assets designated for a loved one. Should the primary beneficiary named in your will predecease you, SMCI, rather than the state, will receive that part of your estate.
The correct legal designation:
The Solve ME/CFS Initiative, Inc., a 501(c)(3) tax-exempt organization incorporated by the laws of the State of North Carolina. Federal Tax Identification Number is 56-1683450.
If you wish to support SMCI through a bequest in your will, please discuss the best way to realize your goal with your attorney or financial planner.
Planned gifts, such as charitable remainder unitrusts and charitable lead trusts, can provide you with benefits such as immediate income tax deduction, life income, future use of gift property and avoidance of capital gains tax.
With a unitrust, the donor places money with a trustee with instructions to pay someone (usually the donor) income for a period of time. The income is generally a set percentage of the trust’s value. When the trust ends, the remaining property can pass to a named charity. By designating the Solve ME/CFS Initiative as your “remainder beneficiary” you may provide yourself with an immediate tax deduction and other benefits such as increased income for your family and estate tax savings.
Income from trust property in a charitable lead trust is directed to the charitable organization for some period of time (usually 10 years or more). At the end of the stated years, the trust reverts back to the donor. There may also be additional tax savings if the trust property passes to family members at the end of the trust.
Other Planned Gifts
If your life insurance policy is no longer needed for its original purpose, consider designating the Solve ME/CFS Initiative as beneficiary and owner. By continuing to pay the premiums, you may benefit from a tax deduction based on the policy’s cash value and may also see additional tax savings for premiums paid in future years. Estate tax benefits may also result from such a gift.
IRAs, pensions, 401(k) and other forms of retirement plans allow pre-tax dollars to grow tax-free. While many people participate in these attractive plans, few realize that if the funds are not depleted when they die, up to 80% of the remaining assets could be consumed by estate and income taxes if left to individual heirs other than a spouse. That means your family may receive as little as 20 cents on the dollar. Naming the Solve ME/CFS Initiative as beneficiary of assets in your qualified retirement plan means, in most cases, 100% of your assets will go to work for ME/CFS through us and you avoid costly two-fold taxation on your money.