General Bequest: This is the most popular type of bequest. With it, you leave a specified dollar amount or percentage to the Beach Cities Symphony. This bequest puts the Symphony “first in line” after debts and taxes are paid, or at least at the same place in line as other recipients of general bequests.
Specific Bequest: Another popular form of bequest, this will leave a specific asset to the Symphony; for example a residence, a work of art, a coin collection, and so on. This bequest will assure that the Symphony will receive the specific asset named, but only if you still own the asset at your death.
Residuary Bequest: This bequest will give the Symphony all of a donor’s property, but only after all debts, taxes, and other bequests (such as the two previous types described above) have been paid. This type of bequest will put the Symphony “second in line” among your heirs as an “heir of last resort.”
Contingent Bequest: This bequest leaves property to the Symphony in case an intended beneficiary in one of the previous three types of bequests dies before he, she, or it can receive the inheritance. This bequest will put the Symphony “last in line” among your heirs as an “heir of last resort.”
CHARITABLE REMAINDER TRUSTS
Charitable Remainder Trusts are flexible charitable giving instruments. You create this type of trust and then transfer one or more of your assets to it. The trust pays you current income for your lifetime or a specified number of years (at your option) and then leaves the balance of the asset(s) to the Beach Cities Symphony after your income interest has ended. Highly appreciated assets contributed to these trusts can be sold without capital gains, thus increasing the amount of funds available for future investment and growth. Additionally, you receive an income tax charitable contribution deduction for the charitable interest in the year the trust is established. Any portion of the deduction you do not use in that year may be carried over for up to five more years, within the limitations of the law. This trust can be designed to adapt to a variety of personal financial goals. The assets left in the trust that the Beach Cities Symphony ultimately receives will be used to continue its musical programs.
FOR MORE INFORMATION
For more information about charitable giving, or for help in finding the right type of charitable gift to fit your situation, please call Erin Prouty at (310) 470-6010 or prouty@hswlaw.com. Erin also plays the flute with the BCS and professionally is a lawyer who specializes in estate planning and charitable giving.
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