Articles Tagged with charitable giving

Let’s face it. many people HATE paying tax. And many people hate paying income tax when distributions are made from their IRA.8942c891917593748f2b7930878e34f5-300x300

We recently were working with a gentleman from our area on his estate plan. He owned property in Dane County. He had never been married and he never had children.

He wanted to leave some things and some money to a family member of his, but he liked the idea of setting up some scholarship funds. So, after quite a bit of discussion, he decided to name his college as the beneficiary of part of his IRA when he died. But he did not want the funds from his IRA to go into the general funds of the college. So, we are restricting the IRA so that it can only be used in a certain curriculum of the university. Now, he knows that students in his prior field will benefit from scholarships that he establishes.

Estate Planning for Baby Boomers1133299_mum_2 sxchu

According to financial planners interviewed for an article in USA Today, Baby Boomers are neglecting or simply ignoring the importance of estate planning. They are more focused on their retirement and focused on whether they will have sufficient income to provide for their needs and to do what they want during retirement. Ignoring the need to have an estate plan is not just a problem for Baby Boomers — no one really wants to think about their own death. People tend to put off estate planning because they think, “I will do that later.” Unfortunately for some, “later” is too late.

Why Do Baby Boomers Need to Have an Estate Plan?

Estate planning is an important part of your retirement plan. Your estate plan is more than telling your loved ones what you want to do with your property and financial assets after your death. Your estate plan also allows you to take care of your minor children, or grandchildren, and it allows you to make decisions about your medical care in the event you are unable to do so in the future.

What Estate Planning Tools are Available? Continue reading

Charitable Giving and Financial Fraud

Most of us think about charitable giving aroundmoney tax time; however, charitable giving continues all year long. The thought that we could be in need one day, just as the people we are helping, is a huge motivator for some. Others feel that it is their “duty” as Americans to help their fellow citizens while others simply see it as the “right” thing to do. In times of devastation or tragedy, Americans have always been very generous with their charitable giving. Whether it is because of a person’s faith, civic duty or sympathetic nature, most Americans gladly share their hard-earned income with others in need.

Unfortunately, there are thieves who take advantage of the good nature others. When we make charitable contributions, we must be very careful to protect ourselves from financial fraud. It hurts to think that a person would take advantage of our kind and giving nature; however, it happens every day throughout the United States.

How to Identify and Prevent Fraud

We are all susceptible to fraud. Some people may think that they are too “smart” or “savvy” to be taken in by fraud and that only happens to the elderly or someone not managing their finances wisely. The truth is that anyone can be a victim of fraud if that person does not take the time necessary to investigate a charity prior to giving money to it. For example, whenever there is a devastating event such as a hurricane, typhoon or tsunami, thousands of website pop up overnight claiming to support the victims. It is easy to mistake these websites as genuine organizations because the creators of these fraudulent websites are very good at making their website appear legitimate. They work very hard to deceive the public. You believe that you money is actually going to the people who need help; however, the money is going in the pockets of thieves. Continue reading