THE DONOR ADVISED FUND
Last week I introduced a tool for leaving a financial legacy called a donor advised fund. I also shared three scenarios where a solution for leaving a financial legacy was needed. In all three of these scenarios, a donor advised fund may be used to more efficiently accomplish short and long term giving goals while creating a legacy of giving. Below, I are two examples that could work for the three scenarios I went over last week.
The last few weeks we have discussed “why” we give, which I hope has challenged you both spiritually and emotionally. In Acts 20:35 Jesus is quoted as saying “it is more blessed to give than to receive”. God did not put us here just to take and consume. Giving leads to a victorious, abundant life of joy and peace because it is hard to be selfish when you’re giving.
Acts 20:35
In everything I did, I showed you that by this kind of hard work we must help the weak, remembering the words the Lord Jesus himself said: ‘It is more blessed to give than to receive.’
My last two blogs have been on Heritage Planning and last week we looked at some thought provoking questions to consider. This week we will cover the first 6 of the 12 Elements of Preserving Family Wealth.
Last week I introduced the process called Heritage Planning and its importance. If you missed it, I would invite you to go back and read how estate planning has a 90% failure rate by the third generation if Heritage Planning is not included in estate planning. By including Heritage Planning, you don’t have to choose between passing down just finances (estate planning) or passing down just wisdom, family values, experiences and lessons learned from hardships (Heritage Planning). You can pass it all down to future generations.
Wisdom, Family Values, Money…if you could only leave two of these things to your children, which ones would they be? We’ve all heard of Estate Planning, but how about “Heritage Planning?” Today, and for the next few weeks, I’d like to talk to you about Heritage Planning.
PROVERBS 20:21(NASB) AN INHERITANCE GAINED HURRIEDLY AT THE BEGINNING WILL NOT BE BLESSED IN THE END.
An estate is comprised of everything you own—cars, homes, other real estate, checking and savings accounts, investments, retirement accounts, mineral rights, life insurance, personal possessions, collectables, etc. Estate Planning includes protecting these assets while living, as well as pre-planning for the distribution of them upon your death to your loved ones. A well thought out Estate Plan creates a defense for asset protection. Can you provide for your beneficiaries and charitable giving goals, minimize estate taxes and other expenses and lower the stress and chaos for those left behind upon your death? It has been estimated that 85% of the American population does not have any kind of estate plan, not even a simple will. Are you one of them?
Last week I covered the 12 different areas of financial planning I personally see on a daily basis that need addressing. This week I will finish up with Biblical financial planning by covering the 5 steps to set and achieve your financial goals.
If you ask ten different people what financial planning is, you may very well get ten different answers. That’s because financial planning is very complex and covers many diverse areas. From my 29 years of experience here are 12 different areas of financial planning I personally see on a daily basis that need addressing. I would invite you to look up the scriptures I’ve included to see how God’s word covers so many of these issues. Jesus spoke on stewardship more than any other topic. All financial decisions are spiritual decisions and should be prayed about and aligned with scriptural principles before implemented.