Leave a Legacy

Charitable bequests are simple gifts made in a will or living trust and cost you nothing now. Your assets remain entirely under your control during your lifetime, and your bequest or trust designation will not be subject to any potential federal estate tax in the future. Donors may change their bequests at any time.

To make a charitable bequest, donors typically add a sentence like the one below to their estate plans.

“I give (describe dollar amount, property to be given or proportion of residuary estate) to the Committee on the Shelterless, a nonprofit California organization with its principal offices in Petaluma, California, in the County of Sonoma, to be used for the benefit of the organization in such a manner as the Board of Directors may elect.”*

*This sample language is intended only as a general guide for those preparing wills or trusts. COTS encourages individuals to retain competent counsel to assist in the development of an estate plan.

Charitable Gift Annuities
A charitable gift annuity is a contract with a non-profit like COTS that allows donors to transfer assets to the organization in return for a partial tax deduction and fixed payments for the donor’s lifetime. After the donor passes away, COTS keeps the remainder of the gift.

Charitable Trusts
Charitable trusts allow donors to transfer assets or property to a trust for a partial tax deduction and receive income from the trust for a set period of time. When the trust ends, the remaining assets go to a designated non-profit like COTS.

Charitable Lead Trusts
Charitable lead trusts work differently from the basic charitable trust above. Charitable lead trusts allow donors to transfer cash or other assets to a trust, which then makes payments to a non-profit on a fixed schedule for a term of years (typically the life of one or more individuals). When the trust term expires, the remaining trust assets are transferred to the donor’s family or other heirs.

Some assets, like IRAs, 401k’s, life insurance policies, bank and brokerage accounts, and donor-advised funds, can be easily given to charity - once you no longer need them – by designation.

Gifts through an IRA Rollover
IRA Rollover gifts allow donors, 70 ½ or older, to use IRA assets to make charitable gifts. IRA Rollover gifts are immediate distributions from a donor’s IRA account made directly to charity – that count toward a donor’s required minimum distribution or RMD. By reducing taxable income, IRA Rollover gifts can lower a donor’s tax bill and may help donors avoid Medicare high-income surcharges.

Gifts of Retirement Plan Assets
By naming COTS as the beneficiary of your retirement account, you can make an impact on our community and reduce taxes to your loved ones.

To make a gift of retirement plan assets, simply ask your plan administrator for a beneficiary designation form and name COTS as a primary or contingent beneficiary of your retirement account.

Gifts of Other Assets
Life insurance: You may have a life insurance policy you purchased years ago and no longer need. You can name COTS as a full, partial, or contingent beneficiary of your policy. You can also sign over a fully paid policy and receive a tax deduction for your gift.

Bank & brokerage accounts: Assets like certificates of deposit, savings bonds, bank and brokerage accounts can become wonderful charitable gifts – once you no longer need them. Simply name COTS as the pay-on-death (POD) or transfer-on-death (TOD) beneficiary.

Donor-advised funds: Final distribution of DAF’s is controlled by beneficiary designation. You can easily name COTS as the successor of your DAF account – or a portion of the account value – leaving the balance in your DAF to allow children and grandchildren to continue your philanthropy.