By thoughtfully naming beneficiaries on your retirement accounts, you can create a tax-efficient legacy gift that supports your loved ones and your community. And the best part? It’s simple, flexible, and doesn’t require rewriting your will.

Why Retirement Assets Are Ideal for Charitable Giving

Most retirement accounts—like traditional IRAs, 401(k)s, and 403(b)s—are tax-deferred, meaning income tax is paid by the account owner or their heirs when the funds are withdrawn.

When these accounts are left to individuals:

• Heirs must pay ordinary income tax on the withdrawals
• Under the SECURE Act, non-spouse beneficiaries are now required to withdraw all funds within 10 years, potentially increasing their tax burden

But when retirement assets are left to a qualified charity, like a fund at Truman Heartland Community Foundation:

• No income tax is owed on the transferred amount
• The full value of the account can be used to support charitable work
• You may also reduce the size of your taxable estate

How It Works: A Simple, Impactful Step

Designating a fund at Truman Heartland as a beneficiary of your retirement account is straightforward:

1. Request a beneficiary designation form from your IRA, 401(k), or plan provider (or log into your online account)
2. Name your THCF fund as the beneficiary (either full or partial)
3. Let THCF know your intentions so your gift can be used in the way you envision—whether for a favorite nonprofit, field of interest, or scholarship

You don’t need to change your will or trust, and you can update your beneficiary designations at any time.

Benefits of Naming a Fund as a Beneficiary

✔️ Tax Efficiency

Charitable organizations do not pay income tax, so 100% of your gift goes to support the causes you care about—instead of being reduced by taxes if left to heirs.

✔️ Flexible Legacy Planning

You can support a variety of causes through one fund, create a named endowment, or even establish a scholarship in your family’s honor.

✔️ Easy to Set Up or Change

Beneficiary designations are among the simplest ways to plan a legacy gift—and can be updated without a lawyer.

Real-Life Legacy in Action

Many donors at Truman Heartland have already chosen this path. Some have:

• Created funds to support multiple nonprofits long into the future
• Honored loved ones through memorial scholarships
• Supported local causes tied to education, the arts, or social services

These thoughtful gifts, often made with a single form, have gone on to create meaningful, lasting impact across Eastern Jackson County and beyond.

A Legacy That Reflects Your Values

Designating a fund at THCF as the beneficiary of your retirement account is a low-effort, high-impact way to support your community and extend your legacy for years to come.

If you're considering legacy giving, your IRA or retirement plan can be one of the smartest tools in your toolkit—for both tax reasons and community impact.

Want to explore how your retirement assets could support the causes you love? Our team is happy to walk you through your options, with no obligation.

📍 Contact Cole Eason to Learn more at eason@thcf.org  or talk to your financial advisor about making THCF part of your legacy.