​Q. What will your legacy be?

A. As Jews, we have interwoven legacies. Like a beautiful tapestry, with each thread contributing a unique texture and color, the legacy of the Jewish people consists of the bright, varied legacies of each of us. Your legacy to B’nai B’rith signficantly impact in the lives of future Jewish generations. It will be a way for you to say, “My time here has mattered.” A bequest is one way to leave a legacy.
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Q. If I choose simply to leave a bequest in my will or through my revocable living trust to B’nai B’rith, must I specify an exact amount?

A. No. While you may make a specific bequest to the B’nai B’rith Foundation of the U.S. in your will or through your revocable living trust in a specified sum, you may also choose to leave B’nai B’rith a percentage of your estate or trust.   ​
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Q. Can I specify in my will what I want my bequest to be used for?

A. Just as you can when establishing a designated fund or endowment with B’nai B’rith during your lifetime, you may restrict your bequest or transfer from your will or revocable living trust for a particular program or service of B’nai B’rith and direct that the gift be named in your memory and/or in honor of others you select.
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Q. What language may I use in my will or trust to provide for the B’nai B’rith Foundation of the U.S.?

A. For a specific bequest – I give and bequeath unto the B’nai B’rith Foundation of the U.S., tax ID# 53-0257218, the sum of $____ to be used for its general charitable purposes.

B. For a residuary bequest – I give and bequeath __% of my residuary estate to the B’nai B’rith Foundation of the U.S., tax ID# 53-0257218, to be used for its general charitable purposes.

C. For a designated or endowed bequest – I give and bequeath unto the B’nai B’rith Foundation of the U.S., tax ID# 53-0257218, (the sum of $_____)/ (___% of my residuary estate) to be used by it for [state designation or purpose]. In the event the purpose for which this bequest has been designated or restricted can no longer be accomplished, I direct that it be used by the B’nai B’rith Foundation of the U.S. for such similar charitable purposes as it shall determine.

D. For a named fund – I give and bequeath unto the B’nai B’rith Foundation of the U.S., tax ID# 53-0257218 (the sum of $___)/(___% of my residuary estate) to establish the {NAME} Fund (in honor of _____)/ (in memory of ______), a fund without restriction to be used by the Foundation for its general charitable purposes. 

​Individuals often seek ways to maximize returns on fixed income investments at low risk. Purchasing bonds, investing in bank certificates of deposit or in money market accounts, keeping cash in savings accounts, purchasing commercial annuities — these are ways that many individuals attempt to minimize risk while achieving conservative returns.

There is, perhaps, a better way.

In addition to the traditional ways of low risk investing, consider a B’nai B’rith charitable gift annuity.

Q. What is a B’nai B’rith Charitable Gift Annuity?

A. It is a contract between you and the B’nai B’rith Foundation of the U.S. that provides a fixed-rate lifetime annuity for you (and another individual, if you wish). The B’nai B’rith charitable gift annuity agreement is governed by state laws in order to assure that the payments to annuitants are protected. In many states the laws require that the B’nai B’rith Foundation of the U.S. establish a segregated reserve fund and invest it in a specific way to further protect annuitants. The B’nai B’rith Foundation of the U.S. complies with these laws and guarantees each annuity payment.
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Q. Why should I consider a B’nai B’rith Charitable Gift Annuity?

A. It is important to make several financial plans for retirement. If you are already at retirement age, you will certainly want to secure high returns at low risk. A B’nai B’rith charitable gift annuity can help you accomplish these goals. A B’nai B’rith charitable gift annuity also provides charitable funds, when your annuity ends, to help B’nai B’rith support and encourage a Jewish future. With the tax deduction that you are entitled to claim when you establish the charitable gift annuity, the high rate (based upon your age), and the portion of tax-free income that is paid to you in each annuity payment, a B’nai B’rith charitable gift annuity may prove to be a wise philanthropic and financial investment.
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Q. How is the amount of the annuity determined?

A. The American Council on Gift Annuities publishes suggested tables that are used to determine the amount of the annuity, depending on the age of the beneficiary. These tables set fixed annuity rates. State laws also govern rates for charitable gift annuities.

​Q. What are the tax implications of a B’nai B’rith Charitable Gift Annuity?

A. If you itemize, you will be entitled to a current income tax charitable deduction for a portion of the total amount donated to purchase the annuity. In the case of a charitable gift annuity for a married couple, there will be no estate or gift taxes due. A portion of your annuity payment may be paid to you tax-free.

Q. How do I contract with the B’nai B’rith Foundation of the U.S. to have annuity payments made to me in the future, especially if I am under age 60?

A. You can establish a deferred charitable gift annuity and specify the date in the future when your annuity payments will commence. If you are under age 60, you may elect to defer the payment of your annuity until age 65 or later and obtain a higher fixed annuity rate for the remainder of your life. The rate for a current or deferred charitable gift annuity is fixed for life. The deferral generally allows for a higher annuity rate than an immediate charitable gift annuity.
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​Q. Should I consider using deferred gift annuities for my children to help them with their retirement?

A. Many individuals who want to make provisions for their children prefer to establish deferred charitable gift annuities to provide assured lifetime income for them in the future instead of giving them lump-sum legacies.

The following are sample rates for one-life and two-life current charitable gift annuities:

When you begin to consider ways to preserve your estate for retirement, when you are faced with a windfall that will result in substantial taxes, when you need to find ways to pass your IRA or other qualified retirement plan on to others, you may want to consider establishing a charitable remainder trust with the B’nai B’rith Foundation of the U.S. A charitable remainder trust (CRT) is a deferred charitable gift that is designed to let you commit funds for B’nai B’rith in the future while preserving your financial security now. A CRT is irrevocable and is established under IRS regulations to provide substantial financial, tax and estate planning advantages.
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Q. Is it possible to contribute property to B’nai B’rith and still retain income from it for the rest of my life?

A. What you describe is known as a charitable remainder trust. You may make a gift of cash, securities, real estate, tangible personal property or certain other property interests to a charitable remainder trust for the future benefit of B’nai B’rith and for your present benefit. You can retain the right to a fixed annuity in a specific sum or as a percentage of the initial value of the gift – at least five percent – for your lifetime or for a term of up to 20 years. What is more, under the annuity the right to receive income may include a survivor as well. The payments are often at rates higher than were available for the property before contribution. Tax benefits from charitable remainder trusts include an income tax charitable deduction based on a portion of the value of the property or cash contributed to the trust. Other advantages are avoiding recognition of capital gain on the disposition of appreciated long-term assets and removing the value of the contributed property from your taxable estate.
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Q. Is it difficult to establish a charitable remainder trust?

A. No. An experienced representative of B’nai B’rith will work with you and your professional advisors to help you establish a charitable remainder trust. What is more, you will be able to take advantage of two different types of charitable remainder trusts: An Annuity Trust pays an annual fixed amount of income of at least five percent of the value of the donated assets when contributed to the Trust. Once established and funded, there will be no adjustment to the annuity payments as a consequence of market conditions. A Unitrust pays a fixed percentage (also at least five percent) of the trust principal as revalued annually. When the trust principal grows, the payments grow proportionately to the stated rate as a hedge against inflation. Certain unitrusts may be appropriate to receive gifts of real estate in order to enable individuals to increase income productivity from this type of investment, avoid tax on the long-term capital gain and permit the trustee to the sale of the real estate to maximize its value to the beneficiaries of these unitrusts.
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Q. Does a charitable remainder trust offer any other benefits?

A. Yes. You can generally achieve greater overall economic benefits by contributing an asset to a charitable remainder trust than by retaining it in the estate for distribution to heirs. Since you might have originally intended that the contributed asset go to your heirs, you can take advantage of the financial and tax benefits which result from the creation and operation of the trust and replace the value of the asset for your heirs, perhaps through the use of a life insurance product or deferred gift annuities. Often, your heirs will receive the life insurance proceeds, for example, as a replacement asset free of both gift and estate taxes, thereby receiving a distribution of greater value than had they inherited the property from you. This often enables a family to have a “win-win” result from the use of a charitable remainder trust.
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Q. Can I use a charitable remainder trust as a planning vehicle to shield my retirement plan from the large amount of taxes to which it may be exposed at my death?

A. Yes, either as part of a plan during your lifetime or through a designation to take effect at the end of your lifetime. You can withdraw all or a portion of the plan after you reach the threshold age (59-1/2) and place the net amount (after taxes, which are partially offset by your charitable deduction) in a charitable remainder trust. The Trust will pay you income for the rest of your and your survivor’s lifetimes, and you may choose to use this income to replace a substantial portion of the value of the assets withdrawn from the plan, thereby benefiting your heirs without estate and other taxes. You can also accomplish this by creating a testamentary charitable remainder trust, funding it with assets in your qualified retirement plan by designation, and, if your spouse is the beneficiary, generally avoiding both estate and income taxes.

Every issue of B’nai B’rith Magazine names a member and/or family who has made or is making a financial contribution to B’nai B’rith International. These testimonials emphasize the generosity behind these gifts and the personal satisfaction that comes from giving, while also educating and inspiring others to donate.

Our generous benefactors understand that donating to B’nai B’rith International  provides an avenue not only for giving back but also a means of creating memorials for loved ones.
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