Common Mistakes to Avoid When Including Charitable Donations in Your Will

Including charitable donations in your will is a meaningful way to leave a lasting legacy and support causes you care about, such as Orlando Health. Without careful planning, your generous intentions could lead to unintended complications or fail to have the desired impact. To ensure your charitable gifts are executed as you wish, it’s important to be aware of common pitfalls. Listed below are some of the most frequent mistakes people make when incorporating charitable donations into their wills—and how to avoid them.

1. Lack of Specificity:

Failing to be specific when including charities in your will or trust can lead to confusion or disputes. If multiple charities share a similar name, or if your intended charity later changes names, it may be difficult to ensure your donation is gifted to the correct organization. It’s crucial to clearly identify the charity by its full legal name and include additional identifying information such as a mailing address or tax identification number. When possible, also consider alerting the charity of your planned gift so they may have record of your wishes.

If you are considering including Orlando Health in your plans, here is the information you will need:

        Legal Name: Orlando Health Foundation, Inc.

        Federal Tax Identification Number: 59-2244943  

        Address: 3160 Southgate Commerce Blvd. Suite 50 Orlando, FL 32801

2. Ignoring Tax Implications:

Many people don't consider the tax consequences of their charitable gifts. While charitable donations can reduce the estate's taxable value, consider ways to structure your gift so to maximize your tax benefits. For instance, leaving retirement account assets directly to a charity can avoid income taxes that would otherwise be a burden if they were left to heirs.

To learn more about designating Orlando Health as a beneficiary of a retirement account or other assets such as a life insurance policy, donor-advised fund, bank account or CD, connect with our skilled planned giving team.

3. Failure to Update the Will:

It’s encouraged to update your estate plan after any life event such as a move to a different state, a marriage or death in the family, shift in priorities and values, or a significant change in your finances. Regularly reviewing and updating your will ensures that charitable intentions are accurately reflected and current.

Charitable bequests can involve specific legal language and tax considerations that a qualified attorney can help navigate. We encourage you to consult with your professional advisors to ensure you are informed of your legal or financial strategy options.

To learn more about other types of gifts may help reduce your taxable income, avoid capital gains or provide relief from tax burdens, visit our website OrlandoHealthPlannedGiving.com.