Create a Lasting Impact with Your Estate and Planned Giving:
Join the FedChoice Charitable Foundation Legacy Society!

Your legacy can continue to support the causes you care about. Through estate and planned giving, you can ensure that your values and generosity live on, making a meaningful impact for generations to come. Join us in creating a brighter future today.

Join the Legacy Society with Your Planned Gift Today!

 

The FedChoice Charitable Foundation Legacy Society celebrates those who share our dedication to empowering young people and their families through financial education, college and trade school scholarships, and more.

As a Legacy Society member, you will:

  • Gain access to exclusive events.
  • Receive updates on our core programs.
  • Be recognized in our newsletter as a key supporter of our financial literacy programs.
  • Join a community of like-minded individuals committed to changing lives in local underserved communities.

Will You Leave a Lasting Legacy with Our Foundation? Explore the various ways you can include the Foundation in your financial plans and ensure your generosity continues to make a difference.

Our Commitment to Transparency: At the FedChoice Charitable Foundation, every dollar donated makes a real difference! Your generous donation will help support our financial literacy programs and directly benefit youth and their families in local underserved communities.

*Important Information*: The content on this website is intended for general educational purposes and should not be considered legal, financial, or tax advice. Please consult your tax advisor, attorney, and/or financial planner for advice tailored to your specific situation.

Joining is easy. Simply fill out the quick form below, and we will contact you to discuss all the different ways you can support our mission of supporting local underserved communities through our financial wellness programs!

Contact us today – Fill out this form to start the conversation!

    Choose Your Way to Make Your Planned Gift!

    Make a Bequest to the FedChoice Charitable Foundation

    A charitable bequest is one of the most adaptable and straightforward ways to leave a gift to the FedChoice Charitable Foundation, ensuring a lasting impact.

    Advantages of a Bequest:

    • Create a lasting legacy for charity of your choice
    • Obtain an estate tax charitable deduction
    • Alleviate the tax burden on your family

    How a Bequest Functions:

    A bequest is among the simplest and most straightforward gifts to arrange. With the assistance of an attorney, you can include specific language in your will or trust to designate a gift to family, friends, or the FedChoice Charitable Foundation as part of your estate plan. Alternatively, you can use a beneficiary designation form to make a bequest.

    Methods to Leave a Bequest to the FedChoice Charitable Foundation:

    • Include a bequest to the FedChoice Charitable Foundation in your will or revocable trust.
    • Designate the FedChoice Charitable Foundation as a full, partial, or contingent beneficiary of your retirement account (IRA, 401(k), 403(b), or pension).
    • Name the FedChoice Charitable Foundation as a beneficiary of your life insurance policy.

    Types of Bequests:

    • Specific Bequest: Donate a specific dollar amount or asset.
    • Percentage Bequest: Contribute a percentage of your estate.
    • Residual Bequest: Give from the remaining balance of your estate.
    • Beneficiary Designation of Certain Assets: Designate the FedChoice Charitable Foundation as the beneficiary of specific assets.

    Sample Bequest Language for Your Will:

    Bequest of a Sum Sample Language: “I give the sum of (insert dollar amount) to the FedChoice Charitable Foundation, a not-for-profit corporation organized under the laws of the State of Maryland, now having its principal place of business at (insert address).”

    Residuary Bequest Sample Language: “All of the rest, residue, and remainder of my property, both real and personal and wherever situated, I give, devise, and bequeath to the FedChoice Charitable Foundation, a not-for-profit corporation organized under the laws of the State of Maryland, now having its principal place of business at (insert address).”

    Percentage Bequest Sample Language: “I give all of the rest, residue, and remainder of my estate, both real and personal, and wherever situated, which I may own or may be entitled to at the time of my death, all of which property shall be known as my ‘Residuary Estate,’ as follows: (percent) to the FedChoice Charitable Foundation, a not-for-profit corporation organized under the laws of the State of Maryland, now having its principal place of business at (insert address).”

    Restricted Bequest Sample Language: “I give the sum of (insert dollar amount) to the FedChoice Charitable Foundation, a not-for-profit corporation organized under the laws of the State of Maryland, now having its principal place of business at (insert address), to be used for (name of specific project desired).”

    Contact Us:

    If you have any questions about making a bequest to us, please reach out. We are here to help. If you have included a bequest to the FedChoice Charitable Foundation in your estate plan, please inform us. We would like to acknowledge your generosity.

    Name the FedChoice Charitable Foundation as a Beneficiary of Your Retirement Account or Life Insurance Policy

    Designating the FedChoice Charitable Foundation as a beneficiary on your retirement account or life insurance policy is a straightforward and impactful way to support our mission without altering your will or living trust. Beneficiary designation gifts bypass the probate process and immediately support our efforts to provide financial wellness programs in local underserved communities.

    Many of our supporters choose to name the FedChoice Charitable Foundation as a beneficiary of all or a portion of their IRA, 401(k), 403(b), or other retirement plans.

    Since individuals who inherit retirement plan assets typically have to pay income tax on them, these assets are often considered ideal for charitable contributions.

    How to Name the FedChoice Charitable Foundation on Your Retirement Account:

    Request a change of beneficiary form from your retirement plan administrator or financial institution. Please list us as:

    Legal Name: FedChoice Charitable Foundation

    Address: 10001 Willowdale Road, Lanham, MD 20706

    Federal Tax ID #: 52-1234567

    Notify Us of Your Beneficiary Designation:

    Please inform us when you have designated the FedChoice Charitable Foundation as a beneficiary so we can express our gratitude and include you in our Foundation Legacy Society.

    Request a copy of our legacy brochure and notify us of your intentions.

    TAKE ADVANTAGE OF THIS EXCEPTIONAL TAX BENEFIT!

    Support young people and their families in local underserved communities with your IRA through the Tax-Free Charitable IRA Rollover!

    The Tax Cuts and Jobs Act of 2017 lowered some tax rates and doubled the standard deduction for taxpayers. As a result, fewer people itemize their taxes, making it harder to use the charitable deduction. However, there is a unique opportunity to make tax-free charitable gifts from IRAs!

    Starting in 2020, the IRS requires you to begin withdrawing funds from your IRA at age 72, which increases your taxable income and could push you into a higher tax bracket. With many deductions no longer applicable, there are limited ways to reduce taxable income. One smart strategy is to direct your required minimum distribution (RMD) from your IRA to the FedChoice Charitable Foundation to support our financial literacy projects in the Greater Washington DC area. Your gift will not be counted as income, fulfilling your RMD requirement and potentially saving you thousands in taxes!

    Rules to Ensure Your Gift Qualifies for Tax-Free Treatment:

    • You must be 72 years old.
    • The transfer must be made directly from your IRA to the FedChoice Charitable Foundation.
    • The gift cannot exceed $100,000. Married couples can combine their gifts to contribute up to $200,000.
    • The gift must be an outright donation.

    Who Can Benefit?

    FedChoice Charitable Foundation donors who take Required Minimum Distributions (RMD).

    Under this law, a donor can use up to $100,000 of their RMD with a direct transfer to the FedChoice Charitable Foundation.

    Example: John, aged 72, is required by IRS law to take a $150,000 distribution from his IRA, which would incur approximately $52,500 in taxes at a 35% federal income tax rate. He doesn’t need the income and supports the FedChoice Charitable Foundation. He asks his IRA administrator to send $100,000 to the Foundation and $50,000 to him. This satisfies the IRS requirement, and he only pays taxes on the $50,000 he received directly. The $100,000 gift supports our financial literacy programs inspiring young people in the Title I schools in the Greater Washington, DC area to reach their financial goals!

    Many donors can no longer itemize their deductions due to the increased standard deduction. By using this provision, up to $100,000 per person can be contributed from an IRA account. These gifts satisfy IRS RMD rules and are not counted as income.

    Example: Mary has an adjusted gross income (AGI) of $150,000 and typically donates $25,000 to charity. At 72, she must take her first RMD of $25,000 from her IRA. Since she no longer itemizes deductions, this $25,000 would push her into a higher tax bracket. Mary directs her IRA administrator to transfer $25,000 to the FedChoice Charitable Foundation. This satisfies the RMD rules, saves her money on taxes, and funds twenty-five scholarships for graduating high school seniors in the Greater Washington DC area!

    Transfers of IRA gifts to donor-advised funds, supporting organizations, charitable gift annuities, or charitable remainder trusts do not qualify.

    Consult your advisor to determine the best ways to take advantage of this tax-saving strategy.

    Other Ways to Name the FedChoice Charitable Foundation as a Beneficiary

    Bank and Investment Accounts & Commercial Annuities

    You can create a lasting legacy by naming the FedChoice Charitable Foundation as a Transfer-on-Death (TOD) or Payable-on-Death (POD) beneficiary on your bank or investment account, or a commercial annuity. Check with your financial institution to see if this option is available.

    Charitable Remainder Trust

    A charitable remainder trust is a separately managed trust that allows you to make a significant gift to the future of the FedChoice Charitable Foundation’s work while providing an income for yourself or loved ones. After transferring cash, securities, or other assets to a trust, a trustee invests the assets, and the trust pays income to you or to individuals you name for life, or for a set term of years. When the trust terminates, the FedChoice Charitable Foundation receives the remainder.

    The trust can be a charitable remainder annuity trust (fixed payments) or a charitable remainder unitrust (fixed percentage).

    To learn more, please contact your attorney or accountant.

    The above information is not intended as tax or legal advice, and your tax treatment may vary depending on your circumstances. Please consult with your tax advisor.

    Charitable Lead Trust

    A charitable lead trust allows you to support the work of the FedChoice Charitable Foundation while safeguarding assets for your loved ones. You transfer cash, securities, or other assets to a trust. The trustee invests the assets, providing annual payments to the FedChoice Charitable Foundation for a period of time that you select. When the trust terminates, the remaining amount is paid to you or your heirs with the benefit of a reduced transfer tax.

    The trust can be a charitable lead annuity (fixed payments) or a charitable lead unitrust (fixed percentage).

    Benefits of a Charitable Lead Trust:

    • Reduction in transfer tax on the amount passing to your heirs
    • Appreciation in trust value passes to your heirs free of gift and estate tax
    • Control over when your heirs inherit trust assets

    To learn more, please contact your attorney or accountant.

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