The SARAH Endowment Fund exists so that the SARAH Agencies can focus on making a difference for the participants they serve. By increasing the size of the Endowment, the future of the SARAH Agencies and their missions can be preserved.

The Endowment Fund grows primarily through “Planned Gifts” either made in lifetime or upon death, as part of a donor’s estate planning. It does not need to be complicated, and there are typically no additional costs to include a charitable gift in estate planning documents.

An even simpler gift can be made by designating SARAH as a beneficiary (or contingent beneficiary) of a retirement account or life insurance policy which is no longer needed to support a loved one. Depending upon a donor’s circumstances, valuable tax benefits can be realized by making these types of gifts.

There are several forms of Planned Gifts that are commonly used by families wishing to make a lasting contribution to SARAH.

Bequest Bequests sample language

The most common way to make a planned gift is to make a bequest in your Will or Trust. By remembering SARAH in this way, the assets remain available until death. A bequest is also flexible. It can be changed or modified at any time. A bequest is also an automatic estate tax deduction, if such a deduction is needed, to minimize or eliminate estate taxes. A bequest can be made for a specific amount of money, or it can gift specific items such as artwork, books, collectibles or antiques, or even a piece of real estate.

A bequest can also be made as a contingency gift, that would only take effect if one or more other beneficiaries were no longer living. Anyone can include a bequest in their estate planning documents.

Retirement Accounts & IRAs Retirement & IRA sample language

Retirement assets can also be designated to flow to SARAH after designated beneficiaries have passed away. The donor would continue to have complete control over the account, take distributions and use whatever portion of the account is needed during lifetime. Whatever is left could be designated to flow to the Endowment Fund either as the primary or contingent beneficiary. If SARAH is named as a contingent beneficiary, the assets only flow to SARAH if the primary beneficiary/beneficiaries have passed away.

Stocks or Bonds Stocks and Bonds sample language

In some cases, a financial advisor may suggest tax reasons to consider a lifetime gift to charity of highly appreciated stocks, bonds or other investments. These are assets that were originally purchased for a significantly lower price than they are worth today. If the asset were sold, the owner would be assessed capital gains tax on the difference in value between when it was purchased and when it was sold. If the same asset were gifted to SARAH, the donor would receive a tax deduction for the full current value, and SARAH, as a charitable organization, is permitted to sell the asset and use or invest the proceeds without paying capital gains tax.

Life Insurance Life Insurance sample language

Life Insurance Policies offer several types of planned giving opportunities. The most simple, is designating the SARAH Endowment Fund as the beneficiary of an existing policy, if the prior beneficiary/beneficiaries have already passed away. Alternatively, if the time comes that there is no longer a need to keep the policy in place; ownership of the policy can be transferred to SARAH. The donor will receive an immediate income tax deduction for the cash value of the policy. SARAH can then decide whether it is more beneficial to cash the policy in, or maintain the policy and receive the death benefit later.

Planned Gifts

Planned giving creates a special opportunity for both SARAH and our supporters. Determining what gift is right for you is just as important as making the gift itself. There are many options from which you can choose. Whatever your circumstances, we are honored that would consider making a commitment to SARAH part of your plan.

Every gift to the SARAH Endowment Fund helps make it possible for the SARAH Agencies to continue serving families for years to come. To learn more about how you can make a lasting contribution to SARAH, please contact Ken Alberti, Executive Director at the SARAH Foundation at 203-453-6531.