Retirement Plan Assets

Pay It Forward by Passing It On

One of the best ways to support NU is with retirement plan assets. These help to support the college careers of future NU students, while providing tax relief for your loved ones at the same time.

When money gets deposited into tax-sheltered annuities or into IRAs or other retirement accounts, it’s pre-tax, meaning no taxes have been taken out. When you distribute funds from your retirement account to a beneficiary, you will then have to pay the federal income tax.

However, should you decide to leave your retirement plan to NU, we will receive the full amount, sans any taxes removed. This is because we are a nonprofit organization. There are several ways for you to take advantage of this tax break:

  1. Name us a beneficiary of your plan. This requires you to update your beneficiary designation form through your plan administrator. Here you can designate National University as the primary beneficiary for a percentage or specific amount. You can also make us the contingent beneficiary so that we will receive the balance of your plan only if your primary beneficiary doesn’t survive you.
  2. With the IRA charitable rollover, if you are 70½ years old or older, you can take advantage of a simple way to help those we serve and receive tax benefits in return. You can give up to $100,000 from your IRA directly to a qualified charity such as National University without having to pay income taxes on the money.
  3. Fund a testamentary charitable remainder trust. When you fund a charitable remainder trust with your heavily taxed retirement plan assets, the trust will receive the proceeds of your plan. The trust typically pays income to one or more named beneficiaries for life or for a set term of up to 20 years, after which the remaining assets in the trust would go to support National University. This gift provides excellent tax and income benefits for you while supporting your family and our work.
  4. A donor advised fund. When retirement plan assets pass to your heirs, distributions are taxed as ordinary income. This income tax burden can be substantial, greatly reducing the value of the intended gift. Instead, you can designate your donor advised fund as the beneficiary of all or a portion of your retirement plan assets. Your fund receives the full amount of the gift and bypasses any federal taxes.

Next Steps

There are many options for giving to National University, and we can help you decide which method works best for your particular needs:

  1. Contact the Development Office at (858) 642-8807 or development@nu.edu to talk about supporting NU.
  2. Seek the advice of your financial or legal advisor.
  3. If you include NU in your plans, please use our legal name and federal tax ID.

Legal Name: National University
Address: 11255 N. Torrey Pines Road, La Jolla, California 92037
Federal Tax ID Number: 23-7172306