Status Check

Have any of the following things happened to you over the last three years?

• Change of employment status
• Relocation to a different state
• Birth or death in the family
• Marriage or divorce in the family
• Significant change in your net worth
• Tax law changes that affect your assets
• A revision of your will

If you checked any of the above items and didn't check the last one, consider this: Probate records show that more than half of all Americans die without a will. There is no indication that doctors deviate from most Americans in this area, so you may be among th people who haven't drafted a will. But even if you have, is it current?

Keep Up With the Changes
Don't let your estate planning objectives be frustrated because you haven't updated your will. Are you interested in leaving a charitable bequest? Attorneys tell us repeatedly that clients need to be asked if they wish to make charitable gifts through their wills. They tell us about people who publicly profess their loyalty to and affection for a charitable organization, like your favorite charitable organizations, yet leave nothing to us in their wills. Why? Oftentimes, it is because no one asked them to.

We would like to ask you to think about it now. People support nonprofit organizations because they feel we best represent the values they demand for society, and they want to preserve those values. Making a gift to charitable nonprofits by will is one of the easiest ways to do that.

Many Opportunities
How you give is up to you. A charitable bequest can take one of many forms. You can give a fixed sum of money or specify certain property. You can give a percentage of your estate or the residue of your estate. Or your gift can be contingent, passing to a charitable organization, like charitable nonprofits, only if the primary beneficiary doesn't survive you.

Create a Testamentary Trust
Another option is to establish a charitable remainder trust (CRT) through your will. This vehicle is ideal for doctors who want to provide income for a beneficiary and also make a charitable gift.

This is exactly what CRTs do -- pay lifetime income to a person you choose, with the remaining principal to be given to charitable nonprofits afterward. When you establish the trust in your will, it can result in estate tax savings. Or you can even create a CRT now instead of through your will and receive current income tax savings from a charitable deduction. Many doctors have found that the CRT is a good way to satisfy the financial needs of a surviving family member, while making sure that ultimately the trust assets will go to the organization of their choice.

Think About It
If it's time to update your will, do it now. It's worth the effort in the long run to see that none of your loved ones suffer because you didn't have time to make sure they were provided for properly.

If charitable bequests are part of your plan, your favorite charitable organizations would be glad to consult with you and your advisors (at no obligation) to find the best method of accomplishing your wishes.

Please contact Mary Ludwig, Development Director at 712-732-5127, for more information.

The information on this site is not intended as legal, tax or investment advice. For such advice, please consult an attorney, tax professional or investment professional.

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