A GUIDE TO WILLS AND ESTATE PLANNING

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1 A GUIDE TO WILLS AND ESTATE PLANNING UNITED CHURCH FUNDS

2 WILLS EVERYONE NEEDS A WILL WHY HAVE A WILL? A Will is a critical component of your estate planning. You need a Will, regardless of the size of your estate. A Will provides instructions to your survivors about how to distribute your estate after your death and appoints the person or entity responsible for administering your estate and distributing your estate to your beneficiaries. Your estate is everything you own in your name; your car, real estate, cash, stocks, jewelry and other personal property all constitute your estate. A Will usually does not control retirement funds or insurance policies because those are controlled by the terms of the retirement fund contract or the insurance policy contract. A Will can help minimize estate taxes and avoid a lengthy probate process. Without a Will, the laws of your state will dictate the distribution of your property. WHO SHOULD HAVE A WILL? Everyone needs a Will, regardless of their age or financial status. As life s circumstances change, it is important that you review and update your Will on a regular basis. For example, a couple with young children can decide who will serve as their children s guardian in their absence. An adult may choose to leave an inheritance to grandchildren not yet born. A single person can avoid burdening parents with deciding how to distribute his or her assets. An individual can make tax-wise decisions to benefit their surviving spouse, and also provide a gift to your church and other charities.

3 HOW DO I WRITE MY WILL? Your Will should be your final testimony of Christian commitment: 1. Make a list of your dependent(s) or people for whom you are responsible 2. Make a list of your property and financial holdings, i.e. real estate, securities, cash, life insurance, IRAs, other assets and valuable possessions 3. Review the beneficiary designations of your IRAs, retirement plans, life insurance policies and other contracts containing beneficiary designations 4. Think of a person or charity you would like to remember 5. Have your Will written by a legal professional who is familiar with the laws of your state WHAT CAN I ACCOMPLISH WITH MY WILL? 1. Name an Executor or Personal Representative 2. Determine how your assets will be distributed 3. Choose a guardian for your minor child or children 4. Leave a gift to your UCC church, conference or organization 5. Proper tax elections and drafting of the Will may reduce estate taxes

4 HOW CAN I INCLUDE MY CHURCH? YOU CAN MAKE A GIFT IN SEVERAL WAYS SPECIFIC AMOUNT State an exact dollar amount (make sure you review your Will regularly at least every five years). GIFT BY PERCENTAGE Give a percentage of a particular asset or a percentage of your estate. RESIDUAL BEQUEST Give the remainder of your estate after the beneficiaries receiving specific amounts or percentages of assets have received their inheritance. To name your church or other UCC organization(s) in your Will or trust, we suggest the following language: I give and devise to [name a church or other UCC organization(s)], located in (City), (State), all (or state a percentage) of the rest, residue, and remainder of my estate, both real and personal, to be used for its general charitable purposes (or for the support of a specific charitable fund or charitable program).

5 WHEN IS THE SEASON TO WRITE A WILL? Write a Will as soon as you have something to leave to others. Whatever you leave will become someone s inheritance. In due season, family, friends, your church or charity could be blessed by the inheritance you have thoughtfully planned. The Bible speaks plainly and often about inheritance; what we receive and leave behind for others. What we leave for others should reflect our lifelong stewardship and generosity. One way to ensure this commitment is through a Will and estate plan. An inheritance can be a burden or a blessing. We must take into consideration the season of life we are in and the life states of those directly affected by our living and departure. WHAT OTHER DOCUMENTS SHOULD YOU PREPARE WHEN YOU WRITE A WILL? When you write a Will, make sure you also write the following three documents: Durable Power of Attorney to give someone the authority to act in your financial best interest if you are unable to act. Health Care Proxy/Health Care Power of Attorney to give someone the authority to make medical decisions for you if you are unable to make those decisions yourself. Burial and funeral provisions so that your wishes are known and carried out without family or friends being burdened with those difficult decisions at a very difficult time.

6 FOR MORE INFORMATION ABOUT PLANNED GIFTS, PLEASE CONTACT: MILLY HERNANDEZ Phone: OR RIVERSIDE DRIVE, SUITE 1020 NEW YORK, NY As an associated ministry of the United Church of Christ, United Church Funds offers Charitable Gift Annuities and other life income giving vehicles for the benefit of UCC churches and ministries. THE INFORMATION IN THIS BROCHURE IS NOT INTENDED AS LEGAL OR FINANCIAL ADVICE. COPYRIGHT 2017 PGMARKETING.COM AND UNITED CHURCH FUNDS UNITED CHURCH FUNDS