Retirement Plan Assets

Do you have money saved in an employee retirement plan, IRA or tax-sheltered annuity? Each of these plans contains income that has yet to be taxed. When a distribution is made from your retirement plan account, your beneficiaries will owe federal income tax. Consider leaving your loved ones less heavily taxed assets and leaving your retirement plan assets to St. Joseph’s Indian School.

As a nonprofit organization, we are tax-exempt and will receive the full amount of what you designate to us from your plan. You can take advantage of this gift opportunity in several ways:

Name us a beneficiary of your plan. All this requires is updating your beneficiary designation form through your plan administrator. You can designate St. Joseph’s Indian School as the primary beneficiary for a percentage or specific amount. You can also make us the contingent beneficiary so we will receive the balance of your plan only if your primary beneficiary doesn't survive you.

With the IRA Charitable Rollover, if you are 70½ years old or older, you can take advantage of a simple way to help those we serve and receive tax benefits in return. You can give up to $100,000 from your IRA directly to a qualified charity such as St. Joseph’s Indian School without having to pay income taxes on the money.

Set up a charitable gift annuity. If you are 70½ or older, you may now make a one-time election for a qualified charitable distribution of up to $50,000 (without being taxed) from your IRA to fund a life-income gift. This gift provides you (and a spouse, if you wish) with stable lifetime income that is unaffected by the markets. After your lifetime, the remainder of the gift annuity becomes your legacy at St. Joseph’s Indian School. Some limitations apply, so contact us for more details and a personalized illustration at no obligation.

Fund a testamentary charitable remainder trust. When you fund a charitable remainder trust with your heavily taxed retirement plan assets, the trust will receive the proceeds of your plan upon your death. The trust typically pays income to one or more named beneficiaries for life or for a set term of up to 20 years, after which the remaining assets in the trust would go to support St. Joseph’s Indian School. This gift provides excellent tax and income benefits for you while supporting your family and our work.

A donor advised fund. When retirement plan assets pass to your heirs, distributions are taxed as ordinary income. This income tax burden can be substantial, greatly reducing the value of the intended gift. Instead, you can designate your donor advised fund as the beneficiary of all or a portion of your retirement plan assets. Your fund receives the full amount of the gift and bypasses any federal taxes.