Designating the St. Croix Foundation as a beneficiary in your will or living trust known as a bequest gives the Foundation flexibility to use funds where they are most needed. A bequest can be in the form of a stated dollar amount, a specific asset such as cash, non-cash assets, securities or real estate, a percentage of your overall estate or a percentage of the residual of your estate. You also have the flexibility to change your will at any time for any reason and can set up a gift in as little as one sentence (see below).

Benefits of Bequests

• No initial outlay of funds required
• Offers clarity to heirs on your intent
• Changes can be made to your will or trust at any time with a simple codicil that references the original document and states the desired changes
• You retain ownership and control of your assets during your lifetime since they won’t be transferred to the Foundation until your passing
• Assets distributed to charities at passing are exempt from income or estate tax

Sample Bequest Language
Bequest of specific dollar amount or asset: “I hereby give, devise and bequeath __________ ($DOLLARS or description of asset) to the St. Croix Foundation, a nonprofit organization located at 1023 Market Street 2nd Floor Christiansted, VI 00820, Federal Tax ID #66-0480131.”

Percentage bequest: “I hereby give, devise and bequest ____ percent (____%) of my total estate determined as of the date of my death, to the St. Croix Foundation, a nonprofit organization located at 1023 Market Street 2nd Floor Christiansted, VI 00820, Federal Tax ID #66-0480131.”

Residual bequest: “I hereby give, devise and bequeath all or a percentage of the rest, residue and remainder of my estate to the St. Croix Foundation, a nonprofit organization located at 1023 Market Street 2nd Floor Christiansted, VI 00820, Federal Tax ID #66-0480131.”

Retirement Plans and IRAs
Naming the St. Croix Foundation as a beneficiary of your retirement plan or IRA can minimize income and estate tax liability that might impact assets you leave for your heirs. Individuals who inherit retirement plan assets are usually required to pay income tax on them, so they’re often considered among the best assets to leave to charity. Such designations would pass on directly to the Foundation without getting tied up in the probate process. Donors can designate all or a specific percentage of their 401(k), 403(b), IRA or other retirement plan.

Benefits of Retirement Plans

• You can change your beneficiary designation at any time
• You retain ownership and control of your assets during your lifetime since they won’t be transferred to the Foundation until your passing
• Assets from your retirement plan/IRA which transfer to the Foundation at your passing are exempt from income tax

Next Steps
Obtain a Beneficiary Designation Form and spousal waiver, if needed, from your plan administrator or download from your provider’s website to name the St. Croix Foundation as a beneficiary of your retirement plan or IRA using the following legal name and address:

St. Croix Foundation for Community Development
1023 Market Street 2nd Floor Christiansted, VI 00820
Federal Tax ID #66-0480131

Life Insurance Policies
Designating the St. Croix Foundation as a beneficiary on an insurance policy allows you to build a legacy with the annual cost of a premium payment. It also allows you to have a sizable impact on the Foundation while keeping other assets earmarked for your heirs intact. Donors can allocate an existing, paid-up policy; purchase a new policy; give an existing policy while continuing to make the payments; or name the Foundation as a beneficiary of a policy you retain. If you retain the policy you may designate the Foundation as the sole beneficiary or designate a percentage or specific amount. You can also make the Foundation a contingent beneficiary so that the Foundation will only receive the balance of your policy if your primary beneficiary doesn’t survive you.

Benefits of Life Insurance Policies

• Provides flexibility if you don’t want to commit to designating a gift in your will or trust
• You receive a charitable income tax deduction equal to the cash value of the policy
• You can change your beneficiary designation at any time

Next Steps
Request a change-of-beneficiary form from your policy administrator or download the form from your provider’s website. Make your desired changes and return the completed form to establish your gift.

Bank and Investment Accounts
You can leave a legacy by naming the St. Croix Foundation as a Transfer-on-Death (TOD) or Payable-on-Death (POD) beneficiary on a bank or investment account, or a commercial annuity. Such designations would pass on directly to the Foundation without getting tied up in the probate process. You can transfer all or part of the balance held in the account at the time of your passing.

Benefits of Bank and Investment Accounts

• Provides flexibility if you don’t want to commit to designating a gift in your will or trust
• You retain ownership and control of your assets during your lifetime since they won’t be transferred to the Foundation until your passing
• You can change your beneficiary designation at any time

Next Steps
Check with your financial institution to see if this option is available to you and request the appropriate beneficiary designation form.

If you are age 70.5 or older, you may be eligible for the IRA Charitable Rollover which allows you to transfer up to $100,000 per year to the St. Croix Foundation from your IRA without paying income tax on the amount transferred. Couples who each have an IRA may rollover up to $100,000 per year from each IRA. The rollover must come from your IRA. Rollovers from 401(k), 403(b) and other retirement plans do not qualify. Also, rollover must be made directly from your IRA to the Foundation. Funds that are transferred to you and then gifted to the Foundation do not qualify.

Benefits of IRA Charitable Rollover

• You avoid paying income tax on the amount distributed
• The rollover satisfies your required minimum distribution which begins at age 70.5 (but if your 70th birthday is July 1, 2019, or later, distributions must begin at age 72)
• Rollovers are excellent ways to make annual gifts or satisfy multi-year pledges.

Next Steps
The rollover is made by simply instructing your IRA plan administrator to transfer funds directly from your IRA account to the Foundation.

The St. Croix Foundation is happy to discuss these and other options with you or your team of advisors to determine the optimal vehicles for your financial goals and philanthropic legacy.

Additional Gifts
There are many other planned giving options such as charitable gift annuities, appreciated stock and real estate that can help you leave a lasting legacy while also meeting your long-term financial goals. You can learn more about these gift vehicles by contacting Deanna James, President & CEO at 340-773-9898.