yeah charitable giving can be made in
several ways it can be made as an
outright gift you can simply write a
check to your charity but there may be
other ways that are more tax advantaged
to make those gifts we have clients that
oftentimes want to leave their estate to
their children but they also want to
benefit some charitable organization
within the community and so sometimes in
a carefully prepared estate plan
it may be more beneficial to name the
charity as the beneficiary of the ira
and let the children receive something
else that’s not subject to income tax so
for example
if mom and dad have an ira with a
hundred thousand dollars in it and they
name their children as the beneficiary
when they die the children will have to
pay income tax on that hundred thousand
dollars and so there may only be sixty
five or seventy thousand dollars of
assets left
if mom and dad instead designated a
charity is the beneficiary of that ira
the entire 100 000 would go to the
charity free of income tax because the
charity is not subject to income tax and
the parents could then leave something
else of equal value to the children not
subject to income tax so how you
structure your charitable planning can
make a significant difference