Greetings! Here are a few news items we thought might be of interest to you. Read up on helping your clients convert to a Roth IRA, why anyone can be philanthropist, and a case study on a designated fund bequest.
Have a great 4th of July!
Converting to a Roth IRA
Beginning this year, individuals with incomes above $100,000 can convert their traditional IRAs to Roth IRAS. However, clients taking advantage of this opportunity may pay significant taxes when they make the conversion.
Your clients could offset the taxable income from their Roth IRA conversion by making a charitable gift. Timing a charitable gift to coincide with a Roth IRA conversion may allow your clients to remain in a lower tax bracket and receive a sizeable deduction—while establishing their philanthropic legacy.
Check out the Advisor Resources page on our website for information to share with your clients about Roth IRAs.
The Philanthropist Next Door
Your clients don’t have to be Rockefeller's’ to be philanthropists. As this article explains, a donor advised fund provides flexibility and choice for donors at all levels.
If your client is considering a Roth IRA conversation, opening a donor advised fund through the Oshkosh Area Community Foundation may help reduce their tax liability. Similar benefits exist for clients seeking to alleviate the administrative burden of their private or family foundations.
Case Study: Designated Fund Bequest
Every donor has their own motivation for leaving a charitable bequest. For Howard and Enid Schafer of Neenah, it was to ensure the long-term success of their favorite causes—and to avoid government taxes.
“They had a highly taxable estate based on their investments,” says Ben Adams of Adams and Woodrow, S.C. “With no children, it was important to them that their estate benefit local charities, and not the federal government.”
In 2008, proceeds from the Schafer estate established four designated funds and a scholarship fund at the Oshkosh Area Community Foundation. The designated funds support the causes Howard and Enid cared deeply about, including the Salvation Army, Oshkosh Area Humane Society, Christine Ann Domestic Abuse Services and the ThedaCare at Home Hospice Program.
Oshkosh is Taking Root
In February, we kicked off an exciting new project for community beautification—the Taking Root campaign. Since then, we’ve raised $350,000 and planted 1,000 new trees throughout Oshkosh. Check out the incredible before and after photos on our website!
Our goal is to raise another $150,000 and plant 1,000 more trees next spring. If your client is interested in supporting community beautification, please contact Karlene at (920) 426-3993 or Karlene@OshkoshAreaCF.org.
Did you know?
With a gift of $250,000 or more, you can continue to manage your clients' assets (provided you follow the Oshkosh Area Community Foundation investment policy).
There is also an opportunity to manage gifts under $250,000 through our partnership with American Funds. By investing with American Funds, you will continue to have oversight of your clients' assets and receive the corresponding B12 fees.
To learn more, contact Eileen at (920) 426-3993 or Eileen@OshkoshAreaCF.org.
Talk to you soon!
Karlene Grabner, Development Director