What comes to mind when you hear the term "estate planning?"
If you're like many people, you know it has something to do with having a will. You’d also be correct if you said it involves making certain other types of arrangements affecting what happens once your life has ended.
A good estate plan goes further and addresses many aspects of your current situation, as well as how to thrive in the years to come. Consider this definition:
Caring for yourself and your assets while you are living, and providing for the transfer of assets to other persons and entities – both during your life and afterwards.
Why do estate planning?
Very few people wake up in the morning and wish they could spend the day working with their attorney to create an ‘estate plan.’ However creating (or updating) a plan is among the most important things you can do. When you do, you can:
By planning, you also make things easier for your family. If something happens to you, it will be a very difficult time for your family members and other loved ones. How wonderful it would be if they knew exactly what you wanted to have happen and have the means at hand to follow your wishes. Consider the planning you do now to be your final future gift to your loved ones.
While estate planning can entail some difficult choices and means confronting uncomfortable issues, it does provide a sense of relief and peace of mind when it is done. You’ll know that you have done your best to plan and provide for yourself and for loved ones, as well as the causes you’ve cared about during your lifetime. There is great satisfaction in knowing what your legacy on earth will be.
The Key Elements of an Estate Plan
Related to your final wishes
Typically, if a living trust is recommended your estate planning lawyer will also suggest a will as a backup document, to transfer any assets that weren’t included in your trust at the time of your death.
Provide for physical or mental incapacity
Managing and distributing your wealth
Envision the estate planning process as constructing a pyramid from the ground up. First and foremost, you should do what you can to ensure your own well-being. Keep in mind that this is not a selfish act; only by meeting your own needs now and in the future are you able to build the next level of the pyramid.
Once you plan for your own needs, you’re then in a position to provide for family members and other loved ones. Then, if you have the desire and the means, it becomes appropriate to think about a legacy you can leave for the wider world.
We hope that you will consider arranging a gift to St. Lawrence when you set up (or update) your estate plan. We realize that we will never replace family members and other loved ones in your plans, and we wouldn’t want to. Part of your planning process is to consider how much to leave to individual heirs; what remains can be used to fulfill your charitable dreams and desires.
How much to leave to children and grandchildren is a judgment call. Some parents transfer as much of their estates as possible to heirs. Others fear that transferring too much wealth may discourage productivity and undermine self-esteem. A memorable line from the movie The Descendants encapsulates this debate nicely: “…you [want to] give your children enough money to do something but not enough to do nothing.” Still others realize that the community and world they leave to their children and grandchildren is also part of their legacy.
If you would like to support St. Lawrence through your will or living trust, click here for sample bequest wording you can share with your attorney. Or consider a gift by beneficiary designation also known as a "bequest substitute". It has many of the same advantages as a bequest while being among the most tax-wise ways to give.
The St. Lawrence Fund is the Cornerstone of Laurentian Giving. It is a way every Laurentian can participate and make their gift count during this campaign.