Securing Our Future: The Power of Giving Together

In 50 years, $1.35 trillion is expected to pass from one generation to the next in Illinois. In just 10 years, $182.3 billion of it will have transferred.

National research projects a $53 trillion transfer of wealth across the United States. But while the average transfer nationwide will peak after 50 years, wealth transfer in many Illinois counties will crest in 20 to 30 years.

Much of this wealth is currently invested in family homes and farms, retirement accounts and other appreciated assets -- some of which may be heavily taxed if given to heirs.

New research

Center for Rural Entrepreneurship has released a study on private wealth in Illinois. The study was supported by the W.K. Kellogg Foundation, as well as by investments from community foundations in Illinois, Michigan and Ohio. There were 25 community foundation investors in Illinois (listed to the right), and this participation provides them with access to a full range of marketing resources to optimize this study's findings in their counties.

The study helps us understand the size and timing of the transfer of wealth across Illinois and within each of our counties -- our hometown portions of the $53 trillion transfer of wealth expected to ripple across the county in the next 50 years.

A one-time opportunity to create permanent benefits for Illinois

If only 5% of this wealth was earmarked for charitable endowment, the resulting $118.4 billion fund would generate hundreds of millions of dollars every year for local community projects and priorities across the state -- forever.

Illinois community foundations have established endowments focused on improving quality of life in each community, including the one you call home.

Ways to give

If you are retired, a planned gift from your estate may be more attractive to you and your family than a large gift today. You can leave a permanent legacy of giving, be a source of pride to your family and join others like you to build a stronger community.

Three smart, easy ways to make a planned gift to your Community Legacy Fund include:

• Designate your local community foundation as the beneficiary of your IRA, 401 (k) or other retirement account. These assets can lose up to 70% of their value when passed to heirs; changing the beneficiary designation does not involved modifying your estate plan.
• Designate your local community foundation as the beneficiary of a life insurance policy. There is no need to modify your estate plan.
• Ask your attorney to add the community foundation to your estate plan.

Talk to your professional advisor and your local community foundation to learn about all of your giving options and choose the one that's right for you and your community.

For more information, contact your local community foundation; or email Moss Cail, Donors Forum Director of Research, or call him at 312-327-8943.