Fall 2024 | Legacy of Hope

Often when you think you’re at the end of something, you’re at the beginning of something else. – Fred Rogers

Fr. Michael greets a village member in Guinea Bissau.

Retirement doesn’t start the day you stop working. It begins long before, when you save a part of each paycheck, so that hopefully, when it’s time to quit your jobs, you have saved enough to allow yourself to live comfortably—and possibly even share some of what you’ve saved with those who are less fortunate.

Whether you’re already retired or just starting to think about it, there are certain steps you should take now:

Revise your estate plans

Wills and estate plans should be reviewed periodically for changes in your family circumstances and personal wishes. The onset of retirement is an ideal time to review your estate plans. As you revise your will or living trust, might you consider the good works and personal satisfaction you can achieve with a gift to the Franciscan Missions?

Check for sources of additional income

You may own life insurance that is no longer needed for family security, or you may have U.S. savings bonds that have matured and are no longer earning interest. You might be able to reduce real estate taxes by downsizing to a smaller home. It’s worthwhile to spend some time determining how the assets you own can work harder for you.

Examine your investment portfolio

Many retirees drop into lower income tax brackets, making it the right time to sell investments that have grown in value. You may pay lower capital gains tax rates when you sell appreciated stock. Keep in mind that you can avoid capital gains entirely by contributing stock held more than one year to the Franciscan Missions.

Ask yourself how you wish to be remembered

Friends who include a gift to the Franciscan Missions know their generosity will help provide for future generations. You can do this through a gift in your will or living trust, by naming the Franciscan Missions the beneficiary of a life insurance policy or by making us the beneficiary of an IRA or bank account. We’d be happy to provide more information on incorporating a gift for the Franciscan Missions into your planning.

Many people learn from their own mistakes, but in the case of estate plans, it’s better to learn from the mistakes of others, while you still have time to act. What are some of the most common pitfalls to avoid in planning your estate?

5. The most obvious mistake is failing to have an estate plan.

Without a plan, everything you own will pass according to impersonal state laws. You can’t leave bequests to close friends or organizations – like the Franciscan Missions – that have been important in your life.

4. Your thoughtful estate plan needs to be kept up to date.

Births, deaths, and marriages can affect how you want assets distributed. Review your estate plan every year to see that it still reflects your wishes. If changes are made, please consider including a gift to the Franciscan Missions if you haven’t already done so.

3. A will is not the only document you need.

A complete plan may also include a living will to make known your wishes regarding health care, a power of attorney to name someone to make health care or financial decisions on your behalf, a living trust to avoid probate and possibly a letter of instruction to provide guidance to those administering your estate. Make sure these documents are readily available when needed.

2. Assets such as life insurance, brokerage accounts, IRAs and financial accounts generally pass by beneficiary designation rather than by will.

It’s important that these be coordinated with your overall plans. Because IRA withdrawals are subject to income tax, it might be smart to name the Franciscan Missions to receive part or all of your IRA and avoid the tax. Other, more tax-advantaged assets can be left to loved ones.

1. Your lifetime gifts to support the poor served by the Franciscan Missions show your concern for those who are struggling to handle the basic necessities of life.

Including a thoughtful gift in your Will or Trust helps continue our work and lets loved ones know the important role that the Franciscan Missions played in your life. Please feel free to contact us about creative ways to include a gift in your estate plan.