By Jon Dize, CFRE
Director of Operations & Legacy Giving
“‘My son,’ the father said, ‘you are always with me, and everything I have is yours. But we had to celebrate and be glad, because this brother of yours was dead and is alive again; he was lost and is found.’”
Luke 15:31-32 NIV
When folks first hear the term, “estate plan,” they think that they are not wealthy, do not have an “estate,” and therefore, do not need to worry about how their assets will be distributed after they are gone.
Wrong! You probably have more assets than you think when you consider your home’s value, retirement account balances, and the number of collectibles, heirlooms, and keepsakes you may have. You might be surprised! In today’s world, our assets are often far greater than the money we have in our checking or savings account, as most of us have even greater wealth in things like IRAs, life insurance policies, and more.
Like our Bible reading on the prodigal son, his brother (no one ever talks about him and his feelings!) wasn’t too happy with the return of his sibling and was grumbling about his brother getting another ring, pair of sandals, coat, and calf after receiving everything else earlier. Just think about the various household goods and personal effects that you have amassed over the years, as well as the more, modern concepts of guardianship of minor children, personal representative for the estate, and the management of property in case of incompetency, and you can imagine areas where problems can arise for any family.
Like this parable illustrates, wealth can change a lifestyle and a person, and can also create a great deal of conflict. With some forethought and planning, however, you and your family can reduce potential issues.
Regardless of your asset values, or if you have “the fatted calf,” all of God’s people possess gifts, and even the humblest of possessions can make a positive impact for the future. Here at Worship Anew, we celebrate all gifts from our wonderful supporters!
WHY HAVE AN ESTATE PLAN
In addition to providing for ongoing ministries like Worship Anew and your church that have been important to you during your lifetime, below are some other reasons why you should have an estate plan:
1. Ensure your will: It is called a “will” for a reason! You may have very specific goals of who will receive what, but your surviving family may not know what your goals are or understand your priorities. Also, the best intentions detailed in a will can be overruled if your retirement accounts or life insurance policies have beneficiary designations that differ from what’s listed in your will. By planning ahead, you can hopefully avoid those sorts of pitfalls and errors for your family. There’s no better way to assure the future of your faith than through gift planning now rather than when it is too late.
2. Peace of Mind: Having an estate plan provides numerous benefits beyond the ways it will provide for your heirs in the future. It should be comforting to know that once you’re called home to Heaven your assets and gifts will be distributed in exact accordance with your wishes and will not have to be decided by family members. By creating a gift plan for the future, you will create peace of mind today.
3. Minimizing Taxes: As the saying goes, God doesn’t pay taxes, so you might as well plan ahead to make the most of your gifts by using taxable assets for charitable goals. The gift planning landscape can be complex, and unexpected taxes can reduce what you’re able to leave to your heirs. With a well-designed plan, you may be able to reduce the tax bill on your estate and accomplish more with your assets.
4. Keep it Updated: Even if you have a plan, and your will and goals are taken care of, your estate plan may need to be updated. If the last time you updated your will was before you had grandchildren, now is the time! Estate planning isn’t a static, once and done conversation. Over the years, there are critical points at which your estate documents should be revisited. Consider re-evaluating your estate plans if your family has had any of these life-changing events:
a. New children
b. New grandchildren
c. New marriages in the family
d. Retirement
e. Moves to a new state
f. Deaths in the family
g. Assets have increased or decreased in value
h. New charitable giving goals
Feel free to contact me, Jon Dize, at Legacy@WorshipAnew.org or (888) 286-8002 with any questions. We also strongly encourage you to discuss your will and your plans and goals with your family, and consider using the services of a professional tax, accounting, and/or legal adviser that can help you meet your goals.
Watch our video to learn more about Estate Plans by visiting YouTube.com/@WorshipAnewOnline.