Many people think of succession planning as something only relevant to businesses or nonprofits. However, it’s equally important when considering the legacy you want to leave through philanthropy—including being intentional about what happens to funds you create with The Community Foundation of Frederick County after you’re gone. The Community Foundation team can help structure provisions for your funds to support your favorite charitable causes, engage your family, tap the Community Foundation’s expertise, or a combination of all these options so that your fund can become a legacy that reflects your values and keep your name remembered in your home community.
Here are three considerations as you consider your “charitable succession plan”:
Leave a Legacy
One of the most powerful ways to extend your impact is by leaving a portion of your estate to a nonprofit—such as by naming a Community Foundation fund as a beneficiary of an IRA or other retirement account. This strategy delivers considerable tax advantages and enables your philanthropic dollars to be thoughtfully distributed in accordance with your values. Remember, IRAs left to the Community Foundation avoid not only the income tax that would hit your heirs, but also removes the assets from your taxable estate for estate tax purposes.
Lean on the Community Foundation
The Community Foundation is honored to serve as a trusted partner for many individuals and families. Our team can work with you and your advisors to enlist the Community Foundation’s expertise to make grants from your fund according to your values and charitable intentions following your death. We can also work with you and your advisors to incorporate the ability for your children and grandchildren to serve as advisors to a donor advised fund following your death, including taking advantage of the Community Foundation’s expertise to help your children and grandchildren learn how to be effective philanthropists.
Capture Your Intentions
The Community Foundation team is happy to work with you to document and formalize your charitable wishes. We’ll help you articulate your priorities and outline how you envision your fund making a difference across generations, whether that means supporting specific organizations, issue areas, urgent community needs, or a combination of priorities. By helping you capture your intentions in writing and then following your wishes, the Community Foundation acts as a steward to safeguard your philanthropic goals and help ensure that the causes you care about continue to receive support for years to come.
We look forward to talking about succession planning for a fund that you create that fulfills your intentions. The Community Foundation is honored to help you secure your charitable legacy and involve your loved ones in meaningful giving. Please reach out to us at 301.695.7660 or at Giving@FrederickCountyGives.org to discuss your charitable succession plan. Thank you for the opportunity to work with you!
The team at The Community Foundation of Frederick County is honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community. This article is provided for informational purposes only, it is not intended as legal, accounting, or financial planning advice.