Giving through
a Retirement
Account

MISSOURI SOUTHERN FOUNDATION
In Support of Missouri Southern State University

You may consider making a future contribution to the College by naming the Missouri Southern Foundation as beneficiary of any assets remaining in an Individual Retirement Account (IRA) or Keogh plan. Assets remaining in a qualified retirement plan after death may be subject to income tax as well as estate tax. Therefore making a gift of your retirement plan assets may provide a tax savings for your heirs. It is a simple matter for the donor to name the Foundation as the beneficiary of the fund. The account manager can provide you the necessary forms to designate the Foundation as a beneficiary.

Donors should always contact the Foundation if they are considering giving a gift through a retirement plan. The donor may wish to restrict how the funds are used by designating certain departments or activities as recipients of the gift. A Foundation representative can work with the donor to ensure the gift is used as the donor wishes. Because you retain possession of the assets and all income during your lifetime there is no income tax deduction, however the assets will pass outside probate avoiding any estate tax.

Here is an example of a gift using a Retirement Account

Mrs. Smith, a retired nurse has participated in a personal IRA plan since 1988. She and her husband had always been conscientious savers and after his death she found herself in a financially secure situation. She wishes to make a gift to MSSU and also leave something for her children. After discussing some options with her tax accountant, Mrs. Smith discovered it would benefit her heirs to make a charitable gift of the assets remaining in her IRA and leave other assets to her children.

This is only one example of how a retirement account can be used to fund a gift to the College. In all cases, donors should consult their attorney, accountant, or estate planner when considering gift giving.