June wanted to provide for both her children and grandchildren, and still support her Parish and Catholic school. A Give it Twice Trust may be right for her. The Diocese's gift planner explained that a give it twice trust would allow her to first give income to children through the trust, and then the trust would later transfer the trust balance to Diocese in trust for her Parish.
June: Before my husband Fred passed away, we talked about our estate plans. We agreed that we wanted to treat each of our three children equally and that we wanted to give to our Parish.
The gift planner told June that she had the ability to use her $800,000 estate to do something significant for both family and the Church. June was concerned because while her two oldest children are financially responsible, her youngest, Jim, "spends money like water." June was afraid that if Jim were to receive a lump sum cash inheritance, he would spend it right away.
The gift planner explained that the give it twice plan could be very helpful. June could transfer $400,000 from her IRA at death to the trust. Her children would each receive one-third of the income from the trust over 20 years. Annual payments would prevent Jim from squandering his inheritance while giving him the chance to learn to save and invest. After 20 years, the trust balance would be transferred to the Diocese. In addition, by using her IRA, June could save on income tax because the special trust is tax exempt.
June: I established a give it twice trust and was thrilled with the plan. The prospect of helping my children and my Parish made me happy, and I knew it was the right thing to do.
Is a give it twice trust right for you?
The give it twice trust can be an invaluable part of any estate plan. We would welcome the opportunity to talk to you about how this trust could benefit your family. Please give us a call to discuss this important estate planning and giving strategy.
*Please note: The name and image above are representative of a typical donor and may or may not be an actual donor to our organization. Since your benefits may be different, you may want to click here to view an example of your benefits