Planned Giving: Legacy Society
Planned giving is a way for you to contribute money to Preservation Maryland while simultaneously realizing some of your estate and financial planning goals. Preservation Maryland now offers a variety of arrangements to meet your situation.
Every person who has included Preservation Maryland in their estate plans is a member of the Legacy Society. These gifts vary widely in size, form and purpose, but each in its way adds strength to PM. To let us know you have included Preservation Maryland in your will/estate plans, please download the Legacy Society Member Form.
How Legacy Gifts Are Used
Annual support from members allows Preservation Maryland to advocate for historic buildings, neighborhoods and landscapes throughout Maryland, offer educational programs like the annual statewide conference, and to provide grants to other organizations to preserve our states’ heritage.
Gifts through wills or living trusts go an important step further. They provide Preservation Maryland long-term financial security, thus ensuring that Preservation Maryland will continue its work for years to come.
Types of Planned Gifts
Bequests are gifts made through a will or living trust. They are especially popular for people who want to make a gift of significant size but who cannot give up income or capital during their lifetime. The future gift is revocable, and you retain control of the assets to meet future needs. Bequests of all sizes benefit Preservation Maryland. You can make a gift in the following ways:
- A percentage of your total estate In using this approach, your gift adjusts with changes in the size of your estate.
- The residue or a percentage of the residue of your estate After your specific gifts to loved ones have been made, you may designate that the entire residue or a percentage of the remainder shall go to one or more charitable organizations. With this approach as well, your gift adjusts with changes in the size of your estate.
- A gift of a specific amount You specify a dollar amount to be given to one or more charitable organizations. With this kind of gift, it is especially important to keep your will or trust up-to-date.
- Contingent bequest You specify that Preservation Maryland is to receive a gift only in the event of the death of other beneficiaries.
The following is sample bequest language you can take to your attorney: I give, devise, and bequeath [insert amount of gift, percentage of estate, or residuary of estate here] to The Society for the Preservation of Maryland Antiquities, Inc. (commonly known as Preservation Maryland) located at 24 West Saratoga St., Baltimore, MD 21201
Checking Accounts, Savings Accounts, CDs
By filling out a simple form at your financial institution you can designate Preservation Maryland to receive the remaining funds in these accounts after you’re gone.
Many individuals have life insurance policies whose benefits they no longer need. If this applies to you, you may want to consider naming Preservation Maryland the beneficiary and assigning us ownership of the policy. In doing so, you will receive a charitable deduction; and in removing the life insurance policy from your estate, you may also reduce your estate taxes.
Retirement plans are excellent assets to leave to Preservation Maryland. IRAs and qualified retirement plans such as 401(k)s, when passed on to heirs, can incur as much as 70 percent in taxes, because this asset faces double taxation. Not only is the plan benefit reduced by estate taxes, but the recipient must also pay income taxes on the plan. (Estate taxes at gradually reduced rates continue until at least 2010 under the 2001 tax revisions.)
If you plan to make a Legacy Gift to Preservation Maryland, you may want to consider naming us the beneficiary of your 401(k), pension, or other retirement plan, and leaving other assets to your family. Naming us the primary beneficiary avoids all income and estate taxes on the retirement plan. Of course, you can also name Preservation Maryland for a portion of the assets, or as a contingent beneficiary, with the gift to be effective only after the death of a spouse or other family member.
Moreover, in 2001 the IRS issued favorable, simplified new rules for calculating minimum annual payments from IRAs and other retirement accounts such as 401(k)s. These new rules make it easier for you to accumulate more savings – tax deferred – in your account. Now you can name Preservation Maryland as a beneficiary without increasing the minimum amounts you must withdraw each year. By taking advantage of these new rules, you can keep more tax-deferred savings in your account during your life, and designate an important future gift to Preservation Maryland.
Simply contact your plan manager, ask for a change of beneficiary form, and name Preservation Maryland (The Society for the Preservation of Maryland Antiquities, Inc.).