Gift in your Will

Ms. Cohen is a 72-year-old retiree who has always been passionate about art. For over 40 years, she has been a regular visitor to the Museum, and she would like to make a significant bequest to the MMFA without compromising her financial security during her lifetime.

She has decided to include a donation to the MMFA Foundation in her will, so that her connection to the Museum can be carried on after her death, all while maximizing the tax benefits for her estate.

Selected Option: Gift in her will (specific bequest of $100,000 to the MMFA Foundation)

In her will, Ms. Cohen has made a specific bequest of $100,000 to be paid out to the MMFA Foundation upon her death.

• Donation to the MMFA:
  Upon Ms. Cohen’s death, the MMFA will receive $100,000 to support its main priorities.

• Tax benefit for the estate:
  This $100,000 donation will entitle the estate to a tax credit of approximately $50,000,* which could significantly reduce the taxes payable after her death, once she passes away.

Summary:
Thanks to her legacy gift of $100,000, Ms. Cohen will leave a considerable cultural legacy to the MMFA while allowing her estate to benefit from a significant tax credit. She is making this donation without negatively impacting her financial security during her lifetime and still retains the freedom to adjust her will, should her circumstances change.
By easing the tax burden on her final tax return, Ms. Cohen passes on to her family and her community an intimate testament of generosity, reflecting her values, while preserving the portion of her legacy intended for her loved ones.

* The example is based on a 50% tax rate, to simplify the calculation.