Create a Jewish Legacy

What is Create a Jewish Legacy?

With an eye on the future, the Jewish Endowment Foundation of Louisiana and its partners started Create a Jewish Legacy in 2009. The initiative is a partnership between the Jewish Endowment Foundation of Louisiana and area Jewish agencies and synagogues. The program concentrates on safeguarding our beloved Jewish community by creating endowment funds, which are invested and grow in perpetuity.

Create a Jewish Legacy promotes the message that all of us have the ability to make a difference in the lives of future Jewish generations. Your bequest or other planned gift will keep our Jewish community strong for generations. It’s a way for you to be there whenever help is needed.

Why Create a Jewish Legacy?

Jewish tradition teaches that one of our key duties is to make the world a better place for future generations. Chances are you already donate to the Jewish charitable organizations of your choice. But have you considered including those organizations in your will so that you can continue to make a difference for generations to come? Whether you use a will or other estate planning vehicle, your generosity can do a world of good. The Jewish Endowment Foundation of Louisiana and an estate planning professional can help you start this rewarding process. The legacy planning process can engender heartfelt conversations with your family and build bonds with your partners in the community. When you create your Jewish legacy you reflect what is most important and meaningful to you and help to ensure our community’s Jewish future will be bright.
Download a declaration of intent form and begin you Legacy Plan today.

How Do I Create a Jewish Legacy?

There are many different ways to Create a Jewish Legacy. Everyone has a unique family and financial situation, and your legacy gift of any size can be designed to suit your personal circumstances. Some can even be completed without the help of an advisor, although you are always encouraged to consult with a professional.

Utilizing the giving vehicle that works best for you, funds are placed at the Jewish Endowment Foundation, whose business it is and has been since 1967 to wisely invest and manage money for the Jewish community and other charitable causes. You, as a legacy donor, decide what agencies, synagogues, charities, or specific causes should benefit from this fund. The Jewish Endowment Foundation will distribute those monies as you request.

Giving options include:

Outright Gifts using appreciated assets or cash. All of the Create a Jewish Legacy partner organizations in the Jewish community have CJL funds set up at the Jewish Endowment Foundation for these monies to be placed so that they will be invested and grow in perpetuity.
Planned Gifts (also known as Deferred Gifts). See explanation of giving vehicles below.

What is planned giving?

Many potential donors want to give a charitable gift but are unable to do so immediately since they need their assets in order to provide income to themselves, their spouses, or others. For these donors the solution may be a form of planned (or deferred) giving. With deferred giving, the charity receives full use of the gift asset at a later date.

Planned gifts provide many benefits including the satisfaction that donors have knowing they are helping an organization to fulfill its mission for generations to come. Another benefit is peace of mind in knowing that estate plans are in order and that personal needs as well as those of loved ones will be met while charitable intentions will be fulfilled upon death. Additionally, many deferred gifts receive favorable tax treatment. Capital gains taxes can often be avoided or deferred, and some deferred gifts receive charitable gift deductions on federal income tax.

Here are some of the various types of planned giving.

Bequest:

The most common form of deferred giving, an outright charitable bequest, is made through terms of a will. It may be either a specified amount, a percentage of a final estate, or the residual of an estate after all other specific bequests have been made. A simple codicil added to your will can establish a bequest to one or more of your favorite charitable organizations. We recommend consulting your attorney or accountant to make additions or changes to your will and to assure that it meets state requirements.

Retirement Plan or IRA:

Any funds remaining in an Individual Retirement Account (IRA) or other type of retirement plan may be taxed substantially after your death and/or that of your spouse. Taxes due on your retirement plan may be avoided by naming a charity as the beneficiary of your plan. The company holding your plan can provide you with a Beneficiary Designation Form. Other assets can be left to your heirs, and your Jewish community can receive a significant contribution in your name from your retirement account.

Life Insurance Policy:

You can donate a new or previously existing life insurance policy to the Jewish Endowment Foundation. Life insurance policy donations can increase income tax deductions while decreasing your taxable estate. You receive an income tax deduction at the time of your gift. If you continue to pay premiums on that policy, each payment constitutes a charitable contribution at that time. You can designate the organizations you would like to benefit from this donation after your lifetime.

Charitable Gift Annuity (CGA):

In exchange for a gift to a charity, the charity provides a specific income for life for up to two individuals, which may include the donor. The annuity amount or rate is based on the age of the donor. There are immediate tax benefits from this gift, and with interest rates at all-time lows, this is a charitable way to increase income. At the death of the donor, the remaining funds are available for use by the charity. Because of the financial obligations associated with guaranteeing an annuity, the Jewish Endowment Foundation of Louisiana only offers this program for funds benefiting JEF.

Charitable Remainder Trust:

You can establish a fund in your name or that of your family through several types of remainder trusts tailored to meet your estate planning goals and the needs of your beneficiaries. You set aside an asset for a favorite 501(c)(3) organization while continuing to receive annual income from it during your lifetime. The income may continue for the life of additional beneficiaries, such as your spouse or children. Upon termination of the trust, the remaining principal reverts to the charity or charities that you name.

Make a Commitment

Creating a Jewish legacy involves a gift, but it starts with your vision. As such, you are encouraged to first think about what is most important to you. Ask yourself:

What charitable organizations have I supported, and why?
Which ones would I like to continue supporting past my lifetime?
What are the causes that I am most passionate about, and why?
Which ones would I like to continue supporting past my lifetime?
What kind of world would I like my family and future generations to live in?
How could I help to make that vision closer to reality through my legacy gift?

You don’t have to have figured out your legacy gift right away. But when you’ve made the commitment to set aside a part of your estate for the benefit of the Jewish community, you’ve made the most important step. When you’ve made a commitment to create a Jewish legacy you can contact JEF’s staff to help with your Legacy Plan and to coordinate with your professional advisors.

Put Together Your Legacy Plan

Once you have thought about your legacy and made the commitment, the next step is to work with staff to create a Legacy Plan. This plan specifies the purpose of your gift, and what organizations and causes it will support. It ensures that the Jewish Endowment Foundation of Louisiana knows how your gift should be used in the future. Download a declaration of intent form and begin you Legacy Plan today.

For more information about Create a Jewish Legacy
please contact Sandy Levy or Leigh S. Goodman at 504.524.4559.

This information is intended as an educational tool, presented to provide general information only and should not be construed as legal or accounting advice. Because tax and financial consequences involved with any gifting program depend on personal financial circumstances, individuals should consult with their own financial, legal, and accounting advisors to review any charitable estate planning options.