Retirement Plans
Did you know that your retirement plan can support the Foundation during your lifetime or after your death?
Your retirement plan benefits are likely to be a significant part of your net worth. They include assets held in individual retirement accounts (IRAs), 401(k) plans, profit-sharing plans, 403(b) plans and more.
The special tax considerations afforded to retirement plans may be an excellent choice for funding a charitable gift.
How It Works
Gifts from Retirement Plans during your lifetime
1. You take a distribution from your qualified retirement plan or IRA that can be included in your gross income.
2. You make a gift of the distribution or of other assets equal in value to the distribution.
3. You receive an offsetting charitable deduction.
When you withdraw funds from your retirement plan and give some or all the funds to support the Northshore Schools Foundation, it creates two tax events.
One, the withdrawn funds are subject to federal income tax, and two, the amount contributed to the Northshore Schools Foundation Endowment also generates a charitable deduction that will offset some or all the tax. The distribution offsets your Required Minimum Distribution (RMD). In addition, if you use appreciated securities instead of cash from your distribution to make your gift, you may avoid the capital-gain tax on the appreciation.
* Please note that withdrawals by those 59½ or younger will be subject to early-withdrawal penalty unless the donor falls within certain exceptions.
Contact your financial advisor or the Northshore Schools Foundation to learn more about this gift of retirement plans or other options, legacy@nsdfoundation.org.
Gifts from Retirement Plans at death
1. You name the Northshore Schools Foundation as beneficiary for part, or all your retirement plan benefits.
2. Funds are transferred by the plan administrator at your death.
3. No federal income tax is due on the funds that pass to the Northshore Schools Foundation, and no federal estate tax on the funds.
Please get in touch to notify us of your intent and assist you with the details of the transfer. To learn more about gifts of retirement plans or other options, please contact us at info@northshorelegacy.org
Please note that no information on this website should be considered as the rendering of legal, accounting, or other professional advice. Please consult your personal tax and financial advisors before implementing a planned gift to charity, including the Northshore Schools Foundation. These investment options may have specific consequences for your estate planning. As always, we would be pleased to discuss in confidence how your gift can impact Northshore students.
The Northshore Schools Foundation is a local 501(c)3 local non-profit charity that serves students, and teachers in the Northshore School District located in the communities of Bothell, Kenmore, Woodinville. Our Tax ID Number is 91-1680139.