Did you know you can create a legacy at the Catalina Island Conservancy without changing your will or parting with anything during your lifetime? One of the most tax-wise ways to support the Conservancy is with a gift of retirement assets.
A Simple and Flexible Option
Making a gift of assets from a retirement plan—such as an IRA, 401(k), 403(b), or other qualified plan—is easier than you might think. You do not need to modify your will or living trust. Instead, you simply complete a beneficiary designation form from your plan administrator. The Catalina Island Conservancy may be named as the sole beneficiary or as one of several, allowing you to balance support for family members and the Conservancy.
You maintain full control of your retirement funds during your lifetime, and you can revise your designations if your circumstances change. At your passing, any funds directed to the Catalina Island Conservancy are distributed in a lump sum, free of both income and estate taxes.
Why Retirement Assets Are a Smart Giving Choice
Retirement assets are often the most heavily taxed part of an estate. Your heirs must pay income tax on every dollar they receive from inherited retirement accounts (unless it’s from a Roth IRA). Larger estates may also face estate taxes, compounding the tax burden. By contrast, when retirement assets are directed to the Catalina Island Conservancy, the funds avoid both income and estate taxes, ensuring your gift is maximized to support conservation, education and recreation efforts.
For example, leaving $250,000 in IRA assets to family may reduce their inheritance significantly after taxes. Directing that same $250,000 to the Catalina Island Conservancy means the organization receives the full value, while you can still provide for loved ones through other assets.
Qualified Charitable Distributions (QCDs)
If you are 70½ or older, you can make an outright gift today through a Qualified Charitable Distribution (QCD) from your IRA. A QCD allows you to transfer up to $108,000 annually (2025 limit) directly to the Catalina Island Conservancy. The distribution is not counted as taxable income and, if you are subject to required minimum distributions, your QCD can count toward that requirement.
Although QCDs do not generate an additional charitable deduction, the tax savings are immediate since the withdrawn funds are excluded from taxable income. This makes QCDs an excellent way to support conservation work today while reducing your tax liability.
Next Steps
Because every financial situation is unique, we encourage you to consult your estate planning or financial advisor before making a decision. To learn more about creating a legacy through retirement assets or QCDs, please contact 562-437-8555 or email donate@catalinaconservancy.org.
By making this thoughtful choice, you can preserve the natural beauty of Catalina Island for generations to come.