Using philanthropy as one of the major goals of your legacy and estate planning is an important and valuable proposition, but it is one that should be done only after consulting with your estate planning lawyer.

A lawyer can tell you more about whether or not you may be able to achieve your goals effectively by gifting to charity. One of the primary concerns associated with such a gift is that the charity may not accept your gift if there are any restrictions on it.Definition of charity

If you give them an illiquid asset such as a piece of real estate and they have challenges converting this into assets to be used by the charity, such as having to invest it, they may be hesitant to accept that at all. Furthermore, many charities do not accept restricted gifts. This means that the piece of property or other asset may wind right back up in your general estate plan and provoke tax liability.

Letting the charity know well in advance about the gift you intend to make also gives you a broad overview of the options that you have and the best way to take advantage of a philanthropic goal.

 

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