Estimates are, taxes could eat up as much as 70-75% of retirement assets under certain circumstances. Careful planning concerning your retirement funds can help you keep them out of government hands and working for God’s Kingdom.
Using funds from a retirement account to make bequests is often a good strategy. If there is a balance in your retirement account at your death, not only is there a potential income tax burden, but there may be estate taxes as well.
Will and Bequest Example
David and Ann originally established a fund that would help the ministry purchase needed equipment, supplies, and provide for maintenance.
Initially, they had made an outright gift of some appreciated stock. It was later, after their experiences with the staff, that they changed their will to include a bequest that will magnify the fund tenfold.
Ann: “We felt good about helping through establishing a small fund. But we had no idea what the fund would bring to us.”
David: Over the years, we have met with some of the people involved who are on the front lines – doing the work. We’ve even been able to help a little ourselves. I can’t describe how good it feels to sit with these people, to hear them describe their circumstances – where they came from and where they are now. To hear about their ambitions and how we’ve helped – to learn about their successes that we helped fund. What a joy to realize that we have become a part of their future and that these people have literally become a part of our family.”
Ann: “I feel like we really have accomplished something good!”
Aside from the emotional rewards, this was a wise financial move for two reasons:
Ann and David found their experience enriched their hearts and lives. Often our financial partners are surprised by just how wonderful the giving experience really is. If you're ready to get started or if you need more information, please click one of the links below :
The example shown here is an educational illustration and does not represent legal or tax advice. The value and cost numbers have purposely been selected as round numbers to allow for personal interpretation. The value used is not a minimum, maximum or suggested amount. Please consult your legal and tax advisors about your specific situation.