Office of Institutional Advancement

Gift of Retirement Plan Assets

Your retirement fund can be taxed up to 79.6% if passed on to heirs, yet it’s tax-free to Jefferson.

Retirement Plan Assets

How it works

  1. Retirement plan assets will be distributed upon your death through a beneficiary designation form, not through your will.
  2. You name Jefferson as a beneficiary of your IRA, 401(k), 403(b) or other qualified retirement plan, perhaps secondary to your spouse. After your lifetime, your plan passes tax-free to your spouse and provides income for his or her lifetime. Your spouse names Jefferson as the primary beneficiary on the retirement plan.
  3. After your spouse’s death, 100% of the residue for your plan passes to Jefferson tax-free and will be used as you directed. If it was left to a person(s), up to 79.6% could be taken as personal income and estate taxes.

Benefits

  • You can continue to take withdrawals during your lifetime. 
  • For those age 70 ½ or older, the IRA Charitable Rollover legislation allows you to give $100,000 directly from your traditional or Roth IRA to Jefferson or other qualified charities without being subject to federal income tax. 
  • Should your spouse be your plan’s primary beneficiary, he or she will take withdrawals during his or her lifetime. 
  • Your heirs can avoid both personal income and estate tax levied on the residue left in your retirement account by leaving it to Jefferson. 
  • Give the most-often heavily taxed asset in your estate to Jefferson and leave more favorably taxed property to your heirs. 
  • You have the satisfaction of knowing your gift will eventually benefit Jefferson and leave a lasting impact. 
  • You may direct your gift to a purpose most meaningful to you.

Questions? Contact the Planned Giving team:

Lisa W. Repko, JD
Senior Director, Planned Giving
P: 215-955-0437, Lisa.Repko@jefferson.edu

Kathy Sarlson
Associate Director, Planned Giving
P: 215-955-9259, Katherine.Sarlson@jefferson.edu