Giving back to your community or supporting an organization that aligns with your values is one of the most fulfilling ways to make a lasting difference. While many people focus on immediate donations to address pressing needs, legacy giving—also known as planned giving—offers a unique opportunity to maximize your charitable impact beyond your lifetime.
We all seek purpose and meaning in our lives. Supporting charitable causes is a powerful way to express that desire and contribute to the betterment of the world. For many, incorporating nonprofits into their legacy is a natural progression of their lifetime of giving. Legacy giving is not just about the present; it’s about ensuring that your values and passion for helping others continue well into the future.
Legacy giving allows donors to ask not just, “How can I help today?” but also, “How can I help tomorrow?” and “How do I want to be remembered?” By including organizations like Northern Virginia Family Service (NVFS) in your estate planning, you can leave a positive mark on your community that will endure for generations.
There are numerous benefits of legacy giving, and we will review them in this blog. Recently, we published a blog with tips for writing a will. This blog on legacy giving is a follow-up to that important blog.
What is Planned or Legacy Giving?
Planned giving, also called legacy giving, is a thoughtful way for individuals to contribute to organizations beyond their lifetime. It is a powerful continuation of one’s philanthropic journey, ensuring that support for important causes endures.
Legacy giving is growing: The number of bequests created increased by 7% in 2022.—FreeWill.com
Unlike a typical annual donation, legacy gifts are planned in advance to create an impact after life. . These gifts are typically made through wills or trusts, and many people coordinate them with the help of professional advisors and attorneys to ensure that their wishes are carried out effectively.
Significantly, legacy giving is not limited by your current financial situation. Planned gifts can be much larger than lifetime donations because they may come from non-traditional assets such as:
- Life insurance policies
- Retirement assets
- Real estate or property
- Stocks or equities
A legacy gift can have a great impact on the causes you care about. Legacy giving is a way to ensure that your support for nonprofits continues, helping them to thrive and serve future generations.
The Benefits of Legacy Giving
The benefits of legacy giving extend far beyond the immediate impact. While these gifts are crucial in sustaining nonprofits, they offer numerous advantages for the donors and their families. Here are just a few reasons why legacy giving is an essential part of a charitable strategy:
- Promotes long-term support for causes and organizations: With legacy giving, you ensure that your favorite charities continue receiving support, even after you are gone. This provides organizations like NVFS the stability needed to plan for the future and sustain their vital services.
- Promotes lasting values and beliefs: Including a nonprofit in your legacy is a way to leave a lasting testament to your values. You perpetuate the ideals and beliefs you hold dear, ensuring they make a positive difference.
- Incorporates financial planning and tax benefits: Many planned gifts offer tax benefits, which can help optimize how your assets are distributed. Charitable gifts can also be exempt from estate taxes, allowing more of your wealth to go directly to the causes you care about.
- Honors loved ones: Some people choose to make legacy gifts in honor of a family member or friend. This is a meaningful way to remember a loved one while supporting an organization that meant something special to them.
- Encourages generational philanthropy: Legacy giving sets an example for future generations, encouraging a culture of giving within families. When younger generations see the impact of charitable donations, they are more likely to carry forward the tradition of philanthropy.
Legacy giving can take many forms, including bequests, life insurance proceeds, charitable trusts, and annuities. This flexibility allows you to structure your gift in a way that meets both your personal and financial goals.
How NVFS Benefits From Legacy Giving
At Northern Virginia Family Service, the benefits of legacy giving are transformative. Legacy gifts provide critical funding that ensures NVFS can continue its mission of empowering individuals and families to achieve self-sufficiency. Serving over 30,000 individuals annually, NVFS offers a wide range of services that address poverty, family stability, and community well-being.
Legacy gifts to NVFS have a profound and lasting impact because they:
Sustain essential services: Legacy gifts provide reliable funding that allows NVFS to continue offering vital programs such as housing assistance, workforce development, health services, and child and family support.
Support future growth and innovation: With the financial security that legacy gifts provide, NVFS can invest in new initiatives and innovative approaches to solving some of the region’s most pressing social challenges.
Ensure community stability: Legacy giving helps ensure that NVFS will be able to serve the Northern Virginia community for generations to come, addressing the needs of the most vulnerable and creating opportunities for all.
The Northern Virginia Family Service Legacy Giving Program
NVFS serves a diverse community across Northern Virginia, including Arlington, Fairfax, Loudoun, and Prince William counties, and the Cities of Alexandria, Falls Church, Manassas, and Manassas Park. By leaving a charitable legacy gift, you strengthen NVFS’s ability to continue serving these communities and contribute to a brighter future for all residents.
Explore your options with NVFS’s legacy giving program. You can structure your gift to fit your financial and personal goals, whether through a bequest in your will, the donation of a specific asset, or even setting up a charitable trust. No matter how you choose to give, your legacy will live on through the essential work that NVFS does to empower individuals and families.
Your commitment to a healthy, thriving community can be your legacy, ensuring that the values and causes you care about continue flourishing. Let us help you explore the benefits of legacy giving and find a plan that works for you.
By considering the benefits of legacy giving, you have the power to make a meaningful difference, not only today but for generations to come.
