Charitable Giving Administration in Scottsdale, AZ – Magellan Law
Are you thinking of giving a portion or all of your estate to charity? The attorneys at Magellan Law admire your generosity and would like to help you plan appropriately to maximize your charitable giving administration. Many charities require donations be made in a very specific manner. With a personal and confidential consultation with us, we can work with you to lay out the details of your charitable intentions and work with you to determine the charity’s requirements as well as the legal requirements.
We can even help you set up a family foundation so that you may be able to benefit from the tax breaks. The attorneys at Magellan Law have helped many people through setting up their own Charitable Giving Administration to make sure their wishes are carried out after they have passed away.
Annual Gifting Execution
If your taxable estate is over the estate tax applicable exclusion amount ($5,450,000 per person as of 2016), you may want to consider starting an annual gifting program. As of 2016, a person can gift $14,000 per person without having it count against your applicable exclusion. Thus, if you are married and have four children who are also married, you and your spouse can give $14,000 per year to each of your children, and another $14,000 to their spouses. This would be a total of $224,000.
If you have grandchildren, you can give annual exclusion gifts to an Irrevocable Trust set up for your grandchildren and further reduce the size of your estate. This used to be a more common scenario when the estate tax exemption was lower. Now only people with a net worth of $5,450,000, or close to $12 million for a married couple, are given an incentive to implement such a gifting program. People may also want to make gifts to a local charity, religious organization, etc. These gifts must be done in a certain way in order to receive the tax benefit.
If you are going to make an annual gift contribution, the attorneys at Magellan Law can help you administer and document this annual process. We will set up all the required paperwork and notifications to automate the process so you don’t have to go through the administrative headache each year. Call us to set up a personal and confidential consultation if Charitable Giving Administration would fit your family.