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Gift Agreement - IRA

  • 1.  Gift Agreement - IRA

    Posted 09-15-2020 01:19 PM
    Hi all,

    Does anyone have experience drafting a gift agreement or similar binding document with a donor who intends to leave a percentage of their IRA to the organization? I would love to see sample language or a sample draft.

    Thank you,

    Cecily Macy
    Vice President of Development
    Pennsylvania Academy of the Fine Arts

  • 2.  RE: Gift Agreement - IRA

    Posted 09-15-2020 01:57 PM

    We did this for a donor in 2018.  They designated 12% of a mutually-held IRA.  We had to have both the Beneficiary Designation page from the IRA and a spousal consent from the spouse (wife), indicating that she was in agreement. The gift agreement was fairly straight forward with a minimum endowment funding level of $100,000.

    Our gift agreement read in part:
    1. Donors' Commitment. The Donors hereby inform the Foundation that they have included in their estate plan a gift designated to establish, or if already established contribute to, the XXXXXXXX fund, to be administered as provided in Section 8 below.

    2 Payment. It is the Donors' intention that the Fund will be funded upon the death of the surviving spouse. However, the Donors reserve the right to establish and begin funding the Fund during their lifetimes and to increase the Fund through other gifts, either during their lifetimes or upon the death of the surviving

    8. Fund Administration. The assets of the Fund may be merged or pooled for investment and investment management purposes with the general endowment or other assets of the Foundation and managed and invested in accordance with Foundation policy and procedure but shall be entered on the books and records of the Foundation as the "Kurt and Linda Harrison Family Fund." The Fund shall be administered in accordance with the policies and procedures of the Foundation in effect from time to time, and guidelines established by the Foundation shall determine the investment and distribution procedures for the Fund and any reasonable fees associated with securing, investing and administering such funds. 

    Hope this helps,


    Cindy LaVarra
    Sr. Director of Development Operations
    The College Foundation of UVA