Insurance, Savings and Investment Accounts

Most of your financial assets and accounts will ask you to “please list your beneficiaries.” At your job, you may be asked every year to update the beneficiaries on your life insurance and pension account. If you have an IRA, you listed beneficiaries and for investment accounts, securities funds, and most bank accounts, too. Every time you are asked to list beneficiaries, consider including The Cradle. The amount could be 5% or 100% after you provide for your other beneficiaries, and your beneficiaries can be changed at any time.

Talk to your financial advisor about using your retirement assets as charitable gifts. The value of an IRA is subject to income tax on the decedent’s final income tax return and possibly other taxes depending on the size of the estate. IRA amounts paid to beneficiaries are also subject to income tax upon receipt. However, if the decedent designates a charity as beneficiary of retirement plan funds, he can avoid taxes on part or all of the funds.

For more information, contact Sarah O'Donnell, VP of Development & Marketing at 847-733-3204 or sodonnell@cradle.org.