Planned Gifts

John Randolph Foundation

Deferred or Planned Gifts are types of gifts that typically benefit the Foundation sometime in the future.  These gifts include a bequest under your will, a gift of life insurance or retirement assets, or one of the types of "life income gifts" described below.

Bequests

The simplest and most flexible planned gift is a bequest, a clause under your will or trust document naming John Randolph Foundation as recipient of part or all of your estate.  Examples include:

"I give $10,000 to John Randolph Foundation in Hopewell, Virginia, and request that it be added to a scholarship in my name."

"I give John Randolph Foundation in Hopewell, Virginia, thirty percent (30%) of my residuary estate and request that it be added to the Appomattox Regional Library System Endowment Fund."

"If my spouse does not survive me, I give the residue of my estate to John Randolph Foundation in Hopewell, Virginia, to be used for the Foundation's general purposes."

 

Charitable Gift Annuity

A charitable gift annuity is a simple contract with the Foundation.  In exchange for a gift, you and/or your designated beneficiary receive fixed payments for life.  The payment is at a rate based on the income beneficiary's life expectancy.  You, the donor, receive a charitable deduction for a portion of the gift amount, and a portion of the annuity payments may be tax-free income.  At your death (or the death of your beneficiary), the remaining assets are distributed to the Foundation.  The required minimum amount to fund a charitable gift annuity is $10,000, and the gift can be cash or stock.

If you would like information about the annuity rate you could expect to receive, the income tax deduction or other tax information, please contact Lisa Sharpe, Executive Director of John Randolph Foundation, at 804-458-2239 or by email at lsharpe@covad.net.

Charitable Remainder Trust

A Charitable Remainder Trust is a type of trust which will provide income to you or other individuals for a period of time after which the Foundation will benefit from the remaining assets in the trust.  To establish a charitable remainder trust you simply transfer property to a trustee (usually a family member, friend, legal or financial advisor, or a bank or trust company).  The trust is usually funded with cash, appreciated stock or real estate.

You may choose to receive either a fixed dollar amount from the trust each year or a stated percentage of the fair market value of the trust assets as revalued each year.  The latter option provides an opportunity for income to grow along with the value of the trust, although this cannot be guaranteed.  Upon the death of the last beneficiary, the remaining assets are distributed to the Foundation to be used as you designate.

Life Insurance

You may use your life insurance to make a gift to the Foundation in several different ways:

▪ You may remain the owner of the policy and name the Foundation as the beneficiary upon your death; or

▪ You may irrevocably name the Foundation as the owner and the beneficiary of the policy.  As a result, you will receive a charitable deduction approximately equal to the cash value of the policy.  If the policy is not paid-up, you may continue to make tax-deductible gifts to the Foundation, which the Foundation may use to pay future premiums.

Gift of Your Residence

You may make a gift of your personal home or farm and retain the right to live on the property for the remainder of your life.  You would receive a charitable deduction for a portion of the property's value, and at your death the property transfers to the Foundation.

Retirement Plan Assets

Retirement assets left to family members or other individuals at your death are typically subject to tax on two levels.  The assets can be subject to estate taxes in your estate, and the recipient generally must report distributions from your retirement accounts as taxable income.  By naming John Randolph Foundation as the beneficiary of your retirement plan after the death of you or your spouse, 100 percent of the plan's balance would be available for the Foundation's use, since the distribution would avoid both income and estate taxes.  If your spouse and children are currently the beneficiaries of your retirement plan, you can continue to keep them as beneficiaries, and also include the Foundation as the beneficiary of a portion of the plan.   

For additional information about planned gifts, please contact Lisa H. Sharpe at the Foundation office.  All conversations will, of course, be confidential.

Telephone (804) 458-2239  ▪  Email:  lsharpe@covad.net