When a cause is close to your heart, you want to help in any way you can. Sometimes that means leaving your money to an organization, a college, or some other charity when you pass.
Our attorneys can help you draw up the documents needed to pass your estate to a charity you love. We can also consider the effect on other potential heirs who might be upset that they are not getting your inheritance. Often, charitable bequests require advance planning for potential challenges to make sure that your wishes are carried out, even in the face of objections.
Call Flake & Flake’s charitable planning attorneys for a free case review by dialing (702) 829-5731.
Can You Leave Your Estate to Charity?
Yes. It is your estate, and you can leave it to whoever you want or whatever organization you want.
States always have “intestacy laws” that say what happens to your estate if you die without a will. When you write a will, you get to choose who your estate goes to instead. You are not limited to giving it to family or loved ones, and you can instead leave it to a charity or other organization dear to you.
What Are the Steps for Making Charitable Bequests?
Making sure that your wishes are carried out requires some advance planning:
Discuss Your Plans with a Lawyer
If you want to leave some or all of your estate to a charity, you will need help from charitable planning lawyers to write up the documents. We can help you determine the best way to get them the money, and the best way to protect that bequest from potential challenges.
Discuss the Plan with the Charity
While giving your estate to an organization is sometimes done as a surprise, it is more common to involve the organization in your plans. For example, if you want to create a fund or scholarship named after you, or you want to add a wing to a building in your name, you will want to involve the charity in your plans before making any decisions.
Discuss the Plans with Any Potential Challengers/Heirs
It is your estate, and you can leave it to whoever you want, but your family might have certain expectations of their own about who will get the estate when you pass. If you die and they are surprised that they were “cut out” of your will, they might try to challenge it.
While it is not mandatory, involving your family in the decision and letting them know in advance what you plan to do can help alleviate future issues. If they understand your plan and how important the charity is to you, then they may be more likely to respect your wishes.
Write a Will
As mentioned, your estate passes to certain heirs under the intestacy statute if you do not have a will. This means that you have to write up a will giving the estate to your charity of choice to make it happen.
Set Up Any Trust Documents (If Needed)
In some cases, it might be best to put the assets and money into a trust. This can be used in a few different ways, either to support the charitable organization or to support other heirs if you split your estate.
Do You Need Any Special Documents?
You need documentation of your wishes to make your estate pass to a charity.
Will
Your will is the legal instrument that says where your estate goes. It also says who your personal representative is – the person who will take your assets and give them to the charity.
Your will must be rock solid to avoid challenges, and you should have experienced lawyers write it. If you already have an existing will, we will need to deal with that and amend it or withdraw it – as appropriate – to put your new will into effect.
Trust
Trusts can be used to put a pool of money or assets under someone else’s control so that the benefits of those assets can be managed. There are a few reasons forming a trust might be helpful in your charitable estate planning:
- Your assets can be put in trust now, with the charity named as your successor when you pass. This means that your assets can pass to the charity through the trust instead of needing to be in a will.
- Setting up a trust with incomes to your spouse, children, or other loved ones can help provide for them after you pass while the bulk of your estate goes straight to the charity.
- Trusts can be used to help ensure property is used for charitable purposes after you pass, especially when it comes to real estate or buildings. For example, you can leave your home to the trust so it can be used for the charity without saddling them with property taxes and other burdens of ownership. If they no longer use it properly, the trust can be given instructions to give it back to your family.
Protecting Charitable Donations from Challenge
Your family might not be thrilled to find that when you pass, you are giving your estate to a charity or organization instead of them. This often means taking some steps to lock down your will’s language and prevent challenges.
Appointing a Good Executor/Personal Representative
Your personal representative is the one who will have to tell your family they do not get your inheritance, so it is important to choose someone who will stick to the plan and handle the issue properly.
Making Your Wishes Clear
You should consider talking to your loved ones about your plans to give money to charity when you die, especially if you are giving the charity all or most of your estate. You can also attach notes or letters to your will explaining this decision, to help everyone understand it.
Pre-Death Bequests
Sometimes the best way to make sure your family is okay with a big charitable bequest is to give them something before you pass. You can begin winding down your estate and reducing what is left to give to the charity while you are still alive, but it can have odd tax and will implications, so check with a lawyer about these plans.
Call Our Charitable Planning Lawyers Today
Call (702) 829-5731 for a free case evaluation with Flake & Flake’s charitable planning attorneys.
