Charitable Giving in Your Will: Tax Benefits Explained
Charitable giving in your will delivers full estate tax deductions while supporting meaningful causes. When done strategically, this approach can significantly reduce your taxable estate and optimize your legacy. In this guide, you'll learn exactly how charitable bequests work, how the IRS treats these gifts, and what structures offer the most efficient tax advantages. Each section is based on real questions from individuals navigating estate planning with purpose and precision. What Is Charitable Giving in a Will and How Does It Work? Charitable giving in a will—also known as a charitable bequest—lets you name a qualified nonprofit as a beneficiary of your estate. You can assign a specific dollar amount, a percentage of your estate, or designated assets such as securities or real property. When your estate is settled, the executor distributes the charitable portion to the organization as instructed. The IRS allows your estate to claim a 100% deduction for the value of that gift ag...