MISSION MATTERS
AUGUST 2024
Masonic Charities Update
3. BE PREPARED Complete an estate planning questionnaire and checklist and gain a basic understanding of common estate planning tools, such as financial powers of attorney, health care directives, wills, and trusts. A thorough form questionnaire and information about these tools is available to you at www.MasonicCharitiesLegacy.org.
Estate Planning Sometimes even the best intentions can lead to unexpected stress and conflict. Too often, we see the unfortunate consequences of ineffective estate planning: disputes among family members, unnecessary estate settlement expenses and sometimes, punitive transfer and income taxes. All of this can be avoided through careful, efficient estate planning. Here are some helpful tips to keep in mind as you get started: 1. COMMIT TO THE PLANNING PROCESS While it is easy to procrastinate when it comes to matters touching upon your mortality, developing an effective estate plan is an essential component of your overall financial health. Plus, it provides valuable peace of mind for you and your loved ones. For more estate planning guidance and a useful checklist to help you get organized, please visit our website at www.MasonicCharitiesLegacy.org.
2. WORK WITH TRUSTED ADVISORS The first step is to identify and consult with trusted advisors about your goals and intentions. Attorneys, accountants and financial advisors often play important roles in the process. If you are considering a gift to our Masonic Charities, our team is also ready to assist.
Understand your assets and how they are titled. Identify assets that may pass to beneficiaries “outside of your will,” such as jointly owned or “payable on death” property, life insurance and retirement plan accounts, and assets that may require special attention in the planning process, such as “tangible” property with sentimental and/or economic value and real estate. Consider the circumstances of your intended beneficiaries. Among other things, age, disabilities, personal relationships and financial position may be important factors. 4. BENEFICIARY DESIGNATIONS Review and update the beneficiary designation forms for your retirement plans, life insurance and annuities. In addition to naming primary beneficiaries, consider naming contingent beneficiaries. Remember that these designations control who will receive these assets, even if your will or trust names other beneficiaries of your estate. We recommend that you keep current copies of your beneficiary designation forms with your estate planning documents. If you would like to make charitable gifts as part of your estate plan, using tax deferred retirement accounts has advantages. While your heirs will pay income tax on amounts received from these accounts, charitable beneficiaries are exempt from income tax, making the entire amount available to support their missions. It is generally more tax efficient to use tax deferred retirement plans to make charitable gifts and your other assets to make gifts to individuals. Continued Inside