Gifts of Life Insurance or
Retirement Accounts

Gifts of Life Insurance

There are a variety of ways to make a charitable gift with insurance policies. You can name United Way as the primary, secondary, or residual beneficiary of the proceeds of a life insurance policy, or you can simply donate the policy and pay the annual premiums. With a relatively modest outlay, a donor can make a substantial gift while receiving tax benefits. Life insurance can also be used to replace an asset that has been donated to a charitable organization. This could allow your heirs to inherit a sum of money equivalent to the donated property. Please consult your legal and/or tax advisor as to how to properly structure any such life insurance policy.

Gifts Through Retirement Accounts

Donating retirement assets is one of the best ways to make a charitable gift because it is easy and it avoids the double taxation of income and estate taxes that can diminish its value to your heirs (the loss is often close to 70%). When you name United Way of Greater Kansas City as the beneficiary of your Individual Retirement Account (IRA), pension plan, 401(k) or other retirement account, the proceeds are free from income tax, estate tax, and generation-skipping taxes. Donations can also be made by creating a charitable trust that is funded with an IRA or other retirement account.

To donate retirement assets, simply contact the fund custodian for the forms necessary to designate United Way of Greater Kansas City as your beneficiary.