In Arizona and across the country, there are many people who are in dire need, particularly in light of the current economic turmoil. Fortunately, there are many non-profit charitable organizations that are working hard to help those that are less fortunate. You may already be making regular donations to these types of organizations. But it seems that the need almost always outstrips the ability to fund worthy programs.

Many people make charitable planned giving part of their estate plan. Recently, an Arizona woman who lost her father to hear disease, decided along with the rest of her family, to donate her late father's Chevrolet Blazer to his local fire department. The father had been the local Fire and Rescue Department Commissioner for 19 years at the time of his death.

The fire department had recently created a tax exempt, 501(c)(3), charitable organization so that donations would be tax deductible. In this case the family made the decision to donate the vehicle after the father had passed away. But if you know beforehand that you would like part of your future estate to a charitable organization there are a number of options to set up such a transfer.

Depending on your unique situation, there may be a trust that can accomplish your charitable giving goals. Other times it may make sense to make a direct bequest in a will. In order to ensure that the organization gets the most possible benefit from your gift and that it is categorized correctly for tax purposes it is important to consult with an estate planning professional who is experienced in structuring these types of gifts.

Source: Peninsula Daily News "Gift with special meaning made as East Jefferson Fire-Rescue gets tax-exempt status," Nov. 20, 2011