Frequently Asked Questions

• How do I leave a gift to Northern Westchester Hospital in my will?

  Naming Northern Westchester Hospital (NWH) as a beneficiary in your will is a special way to show support for NWH. For many donors, a bequest offers the opportunity to make a more substantial gift than would be possible during their lifetime. Others view a bequest as an opportunity to establish a lasting legacy at NWH.

  Bequests may include stocks, bonds, or retirement-plan assets. You can give a specific dollar amount or a percentage of your estate. You even can name NWH as a residual beneficiary. This means that NWH will receive the remainder of your estate after all other bequests and debts are satisfied.

  If you would like to remember NWH through a bequest, it is important that this estate gift be correctly worded. Please review our suggested sample bequest language, which provides sample language to share with your attorney, or contact us at 914-242-8392 or ggreenwald@northwell.edu if you would like to direct your gift to a specific area at NWH.

• Does Northern Westchester Hospital need to know my bequest intentions?

  Including NWH in your will entitles you to membership in our 1916 Society. Recognizing members allows us to express our appreciation to you, and it inspires others to support NWH through their estate plans. You do not need to share the amount of your bequest with us.

• What is a charitable gift annuity?

  Charitable gift annuities are types of life-income plans. Life-income plans are arrangements under which you make a gift of cash (stocks or bonds) in exchange for a stream of fixed payments for life. In other words, you transfer an asset but reserve the right to receive payments from the asset. Life-income gifts may be made in the form of gift annuities or trusts. A charitable gift annuity is a contract between a donor and a charity. In exchange for a gift of a specified amount, NWH agrees to make fixed annual payments for life to one or two beneficiaries.

  There are several benefits from this type of gift arrangement:

  • A stream of fixed payments for life, to more than one beneficiary if you wish
  • An income-tax charitable deduction in the year you make the gift, plus a carryover of up to five years of any unused deduction
  • A gift that will benefit NWH in the future

  To learn more about charitable gift annuities, please check our website here.

• How do charitable trusts work?

  Gifts in trust, like charitable gift annuities, are types of life-income plans. Life-income plans are arrangements under which you make a gift of cash (stocks or bonds) in exchange for a stream of income for life. In other words, you transfer an asset but reserve the right to receive payments from the asset.

  There are several benefits from this type of gift arrangement:

  • A stream of income for life, to more than one beneficiary if you wish
  • An income-tax charitable deduction from NWH in the year you make the gift, plus a carryover of up to five years of any unused deduction
  • A gift that will benefit NWH in the future

  In its simplest terms, a trust is an arrangement under which an individual transfers legal title to property to another (the trustee) who manages the property for the benefit of the individuals and/or organization specified in the trust agreement.

  Trusts that make lifetime payments to the specified beneficiaries and ultimately benefit a charity are known as charitable remainder trusts. At NWH, these trusts may take the form of either a charitable remainder unitrust or a charitable remainder annuity trust.

  The principal difference between these trusts is the nature of the payments made to the beneficiaries: payments from a unitrust vary according to the value of the trust each year. Payments from an annuity trust are fixed when the trust is created and will not vary over the lifetimes of the beneficiaries.

  Pointer: If you fund any of these trusts with long-term appreciated securities, you will receive the benefits listed above plus an additional tax benefit: you will avoid capital-gain tax on the appreciation, thus preserving more of your gift to produce the payments.

  To learn more about gifts in trust, please check our website here.

• May I name Northern Westchester Hospital as the beneficiary of a life insurance policy?

  Yes. An asset that is frequently overlooked is life insurance. If the original need for which a policy was purchased no longer exists, a gift of this asset can be rewarding. To qualify for a tax deduction, you need to name NWH as both the beneficiary and the owner of the policy.

  You may also consider using life insurance when you make a gift of another asset but wish to replace the value of that asset for your family. By using the actual tax savings generated by your gift to purchase a life insurance policy, you can replace the value of the gift in your estate for the benefit of your family.

• May I name Northern Westchester Hospital as the beneficiary of a retirement account?

  Yes. You may use retirement-plan benefits to make a gift to NWH. And because of the estate- and income-tax treatment of retirement-plan benefits, the cost of your gift to your estate and heirs can be relatively small. Retirement-plan benefits include assets held in individual retirement accounts (IRAs) and assets held in accounts under 401(k) plans, profit sharing plans, Keogh plans, and 403(b) plans.

• Can assets other than cash be used to fund a planned gift to Northern Westchester Hospital?

  Yes. Donating long-term appreciated assets such as securities may bring even more benefits to you. By giving these assets to NWH to establish a planned gift such as a charitable gift annuity or charitable remainder trust, you can reduce capital-gain tax liability and still receive a charitable deduction and other tax and income benefits.

• Does Northern Westchester Hospital accept gifts of real estate?

  Yes. A personal residence, farm, vacation home, and commercial and rental property are often the subject of gifts. Like gifts of long-term appreciated securities, gifts of real estate can be attractive because of the double tax benefit: an immediate charitable deduction and the avoidance of capital-gain tax.

  However, family considerations may not permit the making of an outright gift of your personal residence or farm. In that case, you may want to consider a gift to NWH of a retained life estate in such property. Even though you will retain the right to possess and enjoy the property for as long as you (and your spouse) live, you’ll obtain a current income-tax deduction for the present value of your remainder.

• Will Northern Westchester Hospital work with my financial advisor as I plan a gift to NWH?

  Yes. NWH encourages you to talk with your advisors about your plans. We are willing to work with you and your advisors to determine the best course of action to achieve your wishes.