What is a Charitable Bequest?
A charitable bequest is simply a distribution from your estate to a charitable organization through your last will and testament. There are different kinds of bequests. For each, you must use very specific language to indicate the precise direction of your assets, and to successfully carry out your final wishes. In any charitable bequest, be sure to name the recipient accurately.
Do you have an estate?
Your estate is the sum of your assets, including property you own, insurance policies, retirement accounts, cash on hand, etc. Wealthy people may have very large estates, but even people who aren’t wealthy often have the resources to make a charitable bequest. If every adult in America made a will and included a bequest of just $100, billions of dollars would flow to charitable causes every year.
Below, we have listed some of the more common kinds of bequests, and some bequest language. We always recommend that you carefully review the terms of your will with a professional trained in handling trusts and estates.
General Bequests are legacies left to certain people or causes that come from the general value of the estate, and are made by designating a specific dollar amount, a particular asset or a fixed percentage of your estate to the cause of your choice.
General bequest language:
“I give, devise, and bequeath to Philadelphia Skating Club & Humane Society, Ardmore PA, the sum of $________(or a description of the specific asset), for the benefit of Philadelphia Skating Club & Humane Society and its general purposes.”
Specific Bequests are made when a particular item or property is bequeathed for a designated purpose. (i.e., skating scholarships, funds to be used in the operation of the club, capital improvements.)
Specific bequest language:
“I give, devise, and bequeath to Philadelphia Skating Club & Humane Society, Ardmore PA, the sum of $_______ (or a description of a specific asset), for the benefit of Philadelphia Skating Club & Humane Society to be used for the following purpose: (state the purpose). If at any time in the judgment of the trustees of Philadelphia Skating Club & Humane Society it is impossible or impracticable to carry out exactly the designated purpose, they shall determine an alternative purpose closest to the designated purpose.”
Residuary Bequests are made when you intend to leave the residue portion of your assets after other terms of the will have been satisfied.
Residuary bequest language:
“All the rest, residue, and remainder of my estate, both real and personal, I give to Philadelphia Skating Club & Humane Society, Ardmore PA, for its general purposes.”
Contingency Bequests allow you to leave a portion of your estate to a particular charity if your named beneficiary does not survive you.
Contingency bequest language:
“I devise and bequeath the residue of the property, real and personal and wherever situated, owned by me at my death, to (name of beneficiary), if (she/he) survives me. If (name of beneficiary) does not survive me, I devise and bequeath my residuary estate to Philadelphia Skating Club & Humane Society Ardmore PA, for its general purposes.”