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Endowment Fund Resource Book
Today’s Seed is Tomorrow’s Tree
One can imagine Jesus walking through a forest and saying to His disciples as
they follow along, “God’s kingdom is like a pine nut that a farmer plants.
It is quite small as seeds go, but in the course of years it grows into a huge
pine tree, and eagles build nests in it.” (Matthew 13:31-32 MSG)
It was that kind of vision that led to the formation of the Endowment Fund of
Prince of Peace Lutheran Church. Jesus had a vision that led Him to the cross
where He suffered and died to free us from our sins. But His vision led Him
further--through death itself and back out of the tomb to eternal life so that
we, too, can live with Him forever. Vision is a very special gift God’s Spirit
gives to His Church. He gave vision to people like Martin Luther, St. Francis of
Assisi, John Wesley, and Johan Sebastian Bach. Vision has always helped the
Church move forward and share the saving Gospel of Jesus Christ with more and
more people bringing peace, and joy, and salvation into their lives. The
Endowment Fund stands ready to help fund your vision of the Church of Jesus
Christ in the future, beyond your life on this earth. In the above parable the
small pine nut becomes a towering pine tree that provides nests for eagles. Your
gift, small or large, can be a part of that vision.
One of the ways you can leave a gift for the Endowment Fund and the expansion
of that vision is through a bequest in your will as a part of estate planning.
The Endowment Fund has been created to receive charitable gifts, bequests, and
deferred gifts to expand the ministry of Prince of Peace beyond the
normal operating expenses of the congregation.
Creating a will is an important part of planning responsibly for the future.
Yet a recent survey indicates that $10-13 trillion dollars in inheritances will
be transferred to the baby boomer generation within the next 10-20 years. But,
70+% of the elderly today have NO will or trust.
Creating a will is also one of the most loving things you can do for your
family. During an already difficult time for your loved ones, a will shelters
them from stressful decisions and provides answers when they need them most. A
will also insures that the distribution of your assets will be made according to
your decisions and not decisions made by the state. A Christian preamble
to your will can provide a very clear testimony to your loved ones of the power
and commitment of your faith in Christ.
The information that follows has been provided
by the Endowment Fund managers to give you specific information to help you with
your estate planning. We hope you find these tools to be helpful.
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Christian Preamble
A Lasting Witness of Faith, Comfort and Encouragement For
Loved Ones
Proclaim your love of the Lord and encourage family and friends to grow in
their faith. You can add a Christian Preamble to your will or trust that: shares
a final opportunity to witness to loved ones; comforts family and friends in
their time of loss; urges loved ones to strengthen their own faith; demonstrates
charitable giving.
A Sample Christian Preamble
In the name of the Triune God, Father, Son and Holy Spirit. Amen
First,
I want my loved ones to know that I place full confidence and
trust in my Lord and Savior Jesus Christ, who promised: “I am the resurrection
and the life. He who believes in me will live, even though he dies; and whoever
lives and believes in me will never die” (John 11:25-26).
Second,
knowing that the wages of sin is death, I believe that Jesus
Christ, the only Son of God, suffered and died for the forgiveness of all my
sins — forgiveness which I neither deserve nor merit, but receive as a free
gift of God, who is rich in grace and mercy.
Third,
I leave to all my loved ones the words of our Savior, found in
John 3:16: “For God so loved the world, that He gave His only begotten Son,
that whoever believes in Him shall not perish but have eternal life.” I leave
those who survive me the comfort of knowing that I have died in this faith and
now have joined my Lord in eternal glory.
Fourth,
I praise God for giving me a loving, caring, Christian helpmate
in my (wife/husband), (list name). She/He has been a blessing to me, and a
wonderful mother/father to our children. Knowing that we both share our faith in
Jesus as our Savior, we will praise the Lord forever in Heaven.
Fifth,
I pray that the Lord would guard and protect my children, (list
their names). You are very special to me, and I thank the Lord for you. Through
your baptism you have been received into God’s family and I urge you to remain
faithful to Christ until you are called home to be with the Lord. I love you and
I look forward to eternity with you in Heaven.
Sixth,
I pray that the Lord would shower His blessings upon my
grandchildren, (list their names). May the Holy Spirit guide you along the
narrow path of salvation through faith in Jesus Christ. I urge you to respect
your parents and honor them as your parents have honored me.
Seventh,
I recognize that all my earthly possessions are a gift from God.
Therefore, I have made provisions in my will (or trust) to continue my Christian
stewardship after I have gone to Heaven to be with the Lord. I trust that what I
offer as a gift to (name your charities) will be blessed many times over by
the Lord in building His kingdom.
Eighth,
my heirs will receive, through me, gifts from God. May you always
remember that everything you have is a trust from God. Be good and wise stewards
of His blessings, managing wisely and returning to Him a generous portion of the
work in His kingdom
The body of the will or trust follows…
This
information is not intended as legal or tax
advice. For such advice, please consult an attorney and tax professional.
Copyright © The Lutheran Church-Missouri Synod Foundation,
All rights reserved.
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Will Planning Guide
Excerpts from “Your Will Planning Guide” provided to
members of Thrivent Financial for Lutherans. Available as fraternal benefit
either in hard copy or here.
Benefiting from a will
A will is a legal document that gives instructions about distribution your
estate after you die. When an individual dies and there is no will, that person
is said to have died intestate. When this happens, the person’s probate
property is distributed according to state laws. It is possible he property will
not be distributed as the person had wished. A will enables you to:
- Exercise your right to determine which assets will be distributed to
whom, and also, how and when
- Name your personal representative to serve without bond, thus saving your
estate money.
- Recommend guardian for your children
- Use the marital deduction and applicable credit amount effectively to
save estate taxes
- Make a special bequest to individuals, churches, education institutions,
and charities.
- Create trust for loved ones to protect them by providing professional
asset management.
The greatest obstacle preventing some people from completing a will is not
the cost, but the uncomfortable feelings associated with death – especially
their own. When seen from a Christian perspective, a will is a positive
instrument. It’s a reflection of the way you’d like to see you God – given
gifts used to care for your loved ones and make this a better world.
Selecting Guardians
Guardians are persons appointed by the court to care for minor children and
property. They also may be appointed to care for adults who are no longer able
to handle their own affairs due to an accident, medical condition or other
issues. You can designate your own guardians – rather than having the courts
select them.
- Caring for your children (Guardian)
- Caring for your property (Power of Attorney)
- Caring for you (Health-Care-Agent)
Caring for your Children
You can use your will to recommend guardians and alternative guardians for
your children. Financial ability is another concern. However, your will can
provide for property and funds to go directly to the guardians or through a
trust arrangement to help cover the additional cost of caring for children. Be
sure to contact the persons you’ve recommended and obtain their acceptance
before naming them as guardians in your will. You will want to discuss with them
your hopes and dreams for your children.
Caring for Your Property
Power of Attorney – This is a written document that enables you to
designate someone as the “attorney-in-fact” or “agent” to act on your
behalf while you are still alive. A power of attorney that is NOT terminal when
you become disabled or incompetent is called “durable”.
Direction of your Future Health Care
There are other steps and important provisions you may want to make in
additional to your will. Once such provision is preparing an advance medical
directive. A will only takes care of what happens to your property and other
assets after your death. An advance medical directive is a document that enables
your to influence decisions about your medical care when you would otherwise be
unable to do so.
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Gift Options
To help decided which gift option or gift strategies, is right for you, ask
yourself a few questions:
1. Do I want to give a gift while I’m living or when I die?
2. Do I want the ability to change my mid about the gift (revocable) or
am I comfortable with an irrevocable gift?
3. Do I want/need to retain an interest in the asset? Or am I comfortable
with totally gifting all rights in the asset?
4. Do I need to retain an income from the asset that I’d like to
charitably gift?
Giving a gift during you life either comes from monetary (income) sources or
accumulated investments. Giving a gift after your death comes from other
sources, including:
-
Charitable bequest in a will
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Life insurance beneficiary gift
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Traditional IRA or qualified plan assets, i.e., 401(k)
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Life insurance contract gifts
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Perpetuating pledge.
A life insurance beneficiary gift is a simple change to your life
insurance policy. Your insurance agent can get you the proper form to put this
into effect. Same concept with the beneficiary on your IRA or 401(k). If you are
married, your spouse will have to acknowledge this change.
A life insurance contract gift is where you purchase a new policy (or
gift and existing policy) to the charity and make them the beneficiary. In this
way, the subsequent premiums can be tax deductible and you have leveraged your
gift substantially with a larger death benefit.
A perpetuation pledge is when the ongoing interest from your death
benefit replaces your regular monthly gift. As an example, if you now give $250
per month or $3,000 per year and the POP Endowment pays out 5.5% annually, a
life insurance death benefit of approximately $55,000 would replaces your gift
in perpetuity.
Giving a gift that allows you to keep an interest include charitable gift
annuity, charitable remainder trust, charitable lead trust. These can be
funded with assets such as real estate, business ownership, and investments like
stocks.
The benefits of charitable giving include making a difference to the
organization supported, receiving federal income tax deduction for your
qualified charitable gift, reducing or eliminating capital gain taxes, or
allowing you to spread the capital gains out over a longer time period, and
reducing the size of your estate through gifts made using beneficiary
designation or trust, thus reducing your federal estate taxes.
Charitable giving is a way of sharing your good fortune to help others. The
assets you share can be cash, savings, investments or property. The gift can be
modest or significant. The important thing is to give what you can in the way
that works best for you.
Take time to decide what’s important to you and how you would like to
support it. Review your entire financial picture and charitable giving goals
with your financial planner, your attorney, tax advisor and gift planner.
This information
is not intended as legal or tax advice. For such advice, please consult an
attorney and tax professional.
Reference: Planned Charitable Giving: Sharing
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Estate and Charitable Gift Planning Professional Referrals
Estate Attorneys
Emily and Randall Thompson
5820 Stoneridge Mall Road, Suite 100
Pleasanton, CA 94588
925-935-5566
G. Archer Bakerink
1030 Central Avenue
Tracy, CA 95376
209-835-9592
William Morris
1771 Woodside Road
Redwood City, CA 94061
650-367-1771
Financial Planning Services
Ray Carlisle
Steve Gregerson
Thrivent Financial for Lutherans
39055 Hastings Street, Suite 204
Fremont, CA 94538
510-405-8100
Trust Services
Dan Evensen
Thrivent Financial Bank, Trust and
Investment Services
2000 E Milestone Drive
Appleton, WI 54919-0006
866-226-5225
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