Wills & Bequests: A part of Charitable Estate Planning

Estate planning is the process of managing accumulated assets for the present and the future. It is a way to protect, preserve and distribute your investments and other assets throughout your lifetime and upon your death. It can help you prepare for possible future needs, such as health problems, accidents and unforeseen financial challenges. Estate planning may even reduce the tax consequences on your current assets and future estate taxes.

Also available for viewing on-line is the presentation, How your Will can Impact Mission. Click on the image to the right or download by clicking on here.

A Lasting Legacy

How does faith play a role in estate planning? Actually, it is an ideal opportunity to make a statement of your faith and support your church or favorite mission for years to come. Charitable estate planning leaves a legacy of faith that lives on long after you're gone.

Charitable bequests, for example, can be written into your will. The bequest can be a stated amount, a percentage of your estate or a residual amount after other expenses have been deducted, to any charitable beneficiary you identify. Sample language for charitable bequests is provided here.

You may also want to consider establishing a charitable remainder trust or charitable gift annuity during your lifetime or in your will. Both of these gift plans will pay you, or a designated beneficiary, a lifetime income. The remainder of the gift may establish an endowment fund for the benefit of your chosen charitable beneficiary. These options may be appealing if you would like to provide for a loved one at your death, or if you need the income now and would benefit from a charitable tax deduction.

Take Comfort in Planning

The distribution of your assets is just one part of estate planning. The decisions you make regarding guardianship of dependents and establishing power of attorney for your finances are also important aspects in your planning. You may want to create a living will directive and designate a health care surrogate who, if necessary, would be responsible for making health care decisions on your behalf.

These are just a few of the decisions to be considered. Often, family members are invited to join in the discussion and planning to ensure that everyone is informed of your wishes. Your legal advisor will be instrumental in helping you finalize your plans.

For help with planning, you can order the Guide to a Christian Will, Personal Record Book and Estate Planning Worksheet. Request a copy here.