1. Bequest - Creating a Jewish Future
How a Bequest works
- Designate a portion of your estate to Chabad of the South Shore for a Jewish legacy.
- Leave either a percentage or a specific amount to Chabad of the South Shore.
- A bequest does not cost you anything during your lifetime.
- After your passing, the trustee will transfer the money or real estate to our institution.
- Bequests are revocable and can be changed or modified during your lifetime.
- Bequests can relieve the tax burden of your family.
- This is the most popular way for individuals to leave a Jewish legacy.
Residuary Bequest
Chabad of the South Shore is given a percentage of the estate.
Outright Bequest
Chabad of the South Shore is given a specific dollar amount or a specific asset, such as securities or real estate.
2. Charitable Gift Annuity
The Charitable Gift Annuity is an agreement between you and Chabad of the South Shore to pay you or your designated beneficiary a fixed annuity for life. A CGA can be funded with cash, stock, and in most cases, real estate. The payments vary according to the age of the individual. You can enjoy significant tax benefits while providing a legacy gift to Chabad.
How can a Charitable Gift Annuity work for you?
- A charitable gift annuity to Chabad will pay a fixed payment for life.
- Receive a guaranteed income stream for life for above market rates.
- A CGA is the easiest gift that will benefit both you and Chabad.
- The remainder of your gift will go towards our institution after the donors passing.
- You can donate appreciated stock to fund the annuity.
- A portion of the income stream is Tax Free.
- A Gift Annuity is irrevocable.
- A Charitable Gift Annuity is a wonderful vehicle to leave a legacy to the Jewish people.
3. Real Estate
A Legacy gift of Real Estate to Chabad of the South Shore is a magnificent gesture to ensure Jewish continuity for years to come. You can leave a commercial or residential property, or an apartment building. Leaving a piece of real estate has many benefits.
How leaving Real Estate works:
- Leaving a piece of real estate to Chabad of the South Shore can reduce your overall tax obligation and help secure the future of our center.
- If you want to donate your residence and still stay in the home until your passing, please consider a retained life estate.
4. Life Insurance
We are grateful to those who choose to work with the Chabad Jewish Center, ensuring Jewish continuity. The multiplier effect of life insurance is an outstanding strategy to help the Jewish community far beyond your personal finances.
A charitable gift of life insurance is a pioneering way to deliver a legacy gift to Chabad. There are several ways to donate life insurance.
How Life Insurance works:
- You may contribute a new or existing policy by transferring the policy to Chabad
- You name Chabad as the owner and beneficiary of the policy.
- There are substantial benefits to both you and our center.
- The premium payments will provide you with an income tax deduction.
- The endowed gift to our center will be substantially larger than the amount used to fund the insurance policy.
- The insurance policy proceeds pass directly to Chabad outside of your estate and are not subject to probate or estate taxation.
- Gifts of life insurance are extremely affordable for younger donors, allowing them the opportunity to make sizable gifts.
- This is a wonderful opportunity for young leaders to make a defining statement about the Jewish future.
5. Charitable Trusts
There are various ways to set up a trust. Each one will serve a different purpose.
Charitable Remainder Trust
A charitable remainder trust is a highly recommended estate planning tool that allows you to donate your assets to Chabad of the South Shore while providing an income stream to you and your family. A charitable remainder trust has significant tax advantages for your children and beneficiaries during your lifetime.
Here's how a Charitable Remainder Trust can work for you:
- Appreciated real estate or securities are often an excellent asset to place in a charitable remainder trust.
- You establish a remainder trust that provides income payments to you or your family.
- A charitable remainder trust will, in most cases, reduce your estate taxes.
- After your passing, the assets are given to Chabad of the South Shore.
- This is a significant and important way to leave a meaningful Jewish legacy.
Charitable Lead Trust
A charitable lead trust can be an effective estate planning tool to transfer the assets to your heirs with significant tax advantages, while making a meaningful gift to the Chabad of the South Shore Planned Giving Office.
How Charitable Trusts can work for you:
- You can establish a lead trust that will make income payments to Chabad of the South Shore for a predetermined number of years.
- After the trust term ends, the assets are distributed to you or your family.
- This is an outstanding way to give charity today, eventually leaving the asset to your heirs.
- Appreciated real estate is often an excellent asset to place in a charitable trust.
Retained Life Estate
A retained life estate is a strategy that allows you to donate a home to Chabad of the South Shore while retaining the right to live in it for the rest of your life.
How a retained life estate works:
- You deed your home to Chabad of the South Shore, but retain the right to live there for the rest of your life.
- You continue to live on your property for as long as you want and are responsible for the expenses: maintenance fees, insurance, property taxes, repairs, etc.
- When you pass the property is transferred to Chabad of the South Shore.
- You are able to receive a substantial tax reduction.
- You benefit by knowing your property or vacation home will ensure a Jewish legacy.
6. Retirement Plans
You may wish to designate Chabad of the South Shore as a beneficiary of your retirement plan. IRA's, 401(k)'s, Keogh Plans and others are subject to both estate income taxes. Consider designating Chabad of the South Shore as a beneficiary. This outstanding gesture gives the Jewish community a substantial donation at a minimum cost to your family.
How to designate Chabad of the South Shore as a retirement plan:
- Request a beneficiary change form from your retirement plan administrator to designate Chabad of the South Shore as the beneficiary.
- Designate Chabad of the South Shore as the beneficiary of your retirement plan.
- This gift avoids both income and federal taxes.
- This type of gift is easy and can be done at no cost.
- You can continue to take withdrawals during your lifetime.
- You can always change your beneficiary if circumstances change.
- Avoid the low payout of some IRA's, which sometimes pay your children 30 cents on the dollar, with a generous donation to our local Chabad Center.
- Chabad of the South Shore will recieve 100% of your gift to encourage Jewish continuity.
Allow us to work with you, your family, and if desired, your financial adviser to develop the most personalized strategy for your goals. For more information contact us.