Leaving A Legacy - Types of Gifts
Legacy Gifts provide long-term support. There are several types of these gifts:
- Outright gifts (including Life or Retirement asset gifts, bequests and gifts of real estate)
- Gifts that provide income
Many types of gifts have the added benefits of reduced taxes. We encourage you to ask your financial advisor about these benefits. We would be pleased to work with you and your advisor to determine the best option for you.
Outright Gifts -
Life Insurance or Retirement Assets: The easiest way to include Cocoon House in your estate is to name Cocoon House as the beneficiary of a life insurance policy or retirement asset, such as an IRA or 401(k). In general all you need to do is obtain a beneficiary designation form and indicate Cocoon House as a full or partial beneficiary.
Bequests: You can make a gift when writing your will or trust or by adding a codicil to an existing will. Bequests can take several forms including specific amounts of money or specific assets, percentages of your estate or the remainder of your estate after all other bequests have been honored.
Gifts of Real Estate: Real estate can be used to make an outright gift or to set up certain types of planned gifts such as charitable remainder trusts.
Gifts that Provide Income -
Charitable Remainder Trust: Cash or other assets are transferred to a trust which manages the assets and makes payments annually to one or more beneficiaries either for life or for a fixed number of years. Once the trust terminates, the remainder would go to Cocoon House.
Charitable Lead Trust: A CLT is a planned gift that provides income immediately to Cocoon House and passes your assets along to heirs sometime in the future.
The following suggested bequest wording can be used by your attorney to draw up your will. Your attorney should help you determine which is right for you. Regardless of the specific wording, it is important to remember to include our legal name – Cocoon House. You may also wish to include our Federal Tax #: 91-1497667.
Unrestricted Bequest: I give to Cocoon House, a nonprofit corporation duly organized and existing under the laws of the State of Washington, or its legal successor thereto [insert here the sum of money, percent portion of the estate, description of property, or “the rest, residue and remainder of my estate”], to be used for its general tax-exempt purposes and without other restrictions as to use.
Unrestricted Bequest for Endowment: I give to Cocoon House, a nonprofit corporation duly organized and existing under the laws of the State of Washington, or its legal successor thereto [insert here the sum of money, percent portion of the estate, description of property, or “the rest, residue and remainder of my estate”], which bequest shall create a permanent endowment, to be administered in accordance with policies established by Cocoon House for its general tax exempt purposes and without other restrictions as to use.