Robert R. Cawley, D.O.
Dover, NH 03802
Yes, you can make a significant difference for your community hospital without affecting your financial assets today.
Bequests and other estate gifts, such as life insurance policies and retirement plan accounts, make a lasting impact on Wentworth-Douglass. These gifts touch every department and program, supporting patient care advancements, providing for educational opportunities for our clinicians, helping those in financial need, and much more.
Please talk to your tax, financial or legal advisor to make the best decision for your own situation. You may
also call the Foundation office at (603) 740-2687 or email us at Foundation@wdhospital.org.
Wentworth-Douglass Hospital was first established thanks to a large bequest from the estate of Arioch Wentworth in 1906. Since then, gifts made through our supporters’ estates have provided vital funding of the hospital’s lifesaving mission.
The 1906 Heritage Society celebrates friends who create a legacy of giving to make care better every day in the Seacoast. This honorary society recognizes those who name the hospital as a beneficiary of a will, retirement plan, donor-advised fund or life insurance policy; or establish a charitable gift annuity or trust.
If you have included Wentworth-Douglass in your estate plans, please let the Foundation Office know, by calling us at (603) 740-2687 or emailing Foundation@wdhospital.org. We would like to welcome you to the 1906 Heritage Society.
Speak with your financial or legal advisor to update your will or estate plan to add Wentworth-Douglass Hospital as a beneficiary.
Gifting appreciated property to a qualifying charitable entity such as the Foundation may have several tax
advantages and income opportunities when done properly. The property when sold by the charity after a “true” gift is made does not trigger a capital gains tax when sold leaving 100% of the value of the asset to be used by the charity. When agreed upon beforehand with an Annuity or Trust agreement the donor may be eligible to receive an income stream for life or a set period of time. The income received from the full value of the asset along with a tax deduction for the gift is a benefit to the donor. Any residual value of the asset passes to the charity at death or at the end of the period set by agreement. The use of life insurance on the life or lives of the donor(s) may be a “wealth replacement” strategy for all, or a portion of the gift to the heirs tax-free, at death avoiding disinheritance. The reverse of this strategy may also be used where the charity receives the income for the life or the donor(s) or a set period of time with the residual value of the gift being passed to heirs directly. Please talk to your tax, financial or legal advisor to make decisions best for your own situation.
Life insurance policies that are no longer needed for family or business purposes can be transferred to the
Foundation. Transferring ownership during your lifetime enables you to claim a charitable deduction equal to the surrender value.
The insurance coverage you have developed over the years may now be valuable enough to cause some large estate taxes, which, if you still own the policy, will be expensive to your heirs. The gift of a life insurance policy is way of making a substantial gift to Wentworth-Douglass Foundation. It allows us to acknowledge and recognize the donor now, it allows the donor to make a larger gift than would normally be possible from current income, and it puts to good use assets that are becoming less important to you. To make this gift deductible, it must be irrevocable and the Foundation must be named the owner and beneficiary of the policy. If your gift is of a paid-up (there are no additional premiums to be paid) life insurance policy, you will receive an immediate income tax deduction generally equal to the sum of the premiums you have paid. If it is a policy on which you are still paying premiums, your deductions will be different but still very advantageous.
Another important use of life insurance is Wealth Replacement. If you make a substantial gift to Wentworth-
Douglass Foundation, you are often reducing the amount of your assets that will go to your heirs. Increasingly, donors are using some of their tax savings (from their charitable deduction) to purchase an insurance policy on their own life and make their heirs the owners and beneficiaries of that policy. When properly constructed, this wealth replacement strategy can permit both a larger gift and a larger legacy for your heirs. Please talk to your tax, financial or legal advisor to make decisions best for your own situation.
Retirement plans make excellent charitable gifts at the time of death. The Foundation can be named to receive all or a portion of company pension plan, an IRA, a 401(k), or a Keogh plan. Retirement plan assets are often subject to extremely high estate taxes and the income is fully taxable when received by an individual beneficiary. Making a charitable gift may be a better use of these assets.
By naming the Foundation as the beneficiary of a retirement plan you maintain control over the assets during your lifetime, but at your death the plan passes to the Foundation free of both estate and income taxes for the use you have specified at the Hospital. When creating your estate plan you may wish to consider leaving heirs other assets, such as cash and securities that are not as highly taxed and naming the Foundation as the beneficiary of your plan.
Retirement Plans seem to be the best kept secret in gift planning. Gifts from these assets often make better
financial sense to the donor than gifts of cash, securities or property. In the years since IRAs and 401(k)s and
other personal retirement plans were established, many people have deposited significant funds which have grown rapidly as the financial markets have set records. Your retirement funds may well be a very significant part of your estate now. In your estate, those funds will be taxed more heavily than others, and it may make good sense to commit those to Wentworth-Douglass Foundation instead of other assets. In some estates, retirement funds can face taxes as high as 80%, leaving little for heirs. Please talk to your tax, financial or legal advisor to make decisions best for your own situation.
Wentworth-Douglass Hospital & Health Foundation is a 501(c)(3) charitable organization. Gifts are tax deductible to the full extent of the law.