1. There are two ways to approach
making an estate plan:
1. It’s a chore, something like filing your tax
forms. Not pleasant, but necessary. Or
2. It’s a creative adventure, an opportunity
to“paint” the way you will be remembered
in years to come.
Did you choose No. 2? Good!
Right now, there are many more oppor
tunities for financial creativity than we
have seen in recent years. In addition to the
reliable will, there are many ways to transfer
assets to others depending on what you want
to accomplish:
Providing for loved ones
Continuing your support of your
favorite philanthropies
Reducing taxes for you or your heirs
Simplifying the transfer of assets
Communicating your values
Let us know if USA for UNHCR is in
your estate plans, and we’ll be happy to
make you a member of the Nansen Society
and send the pin to you. (There are also
other benefits. Just ask Pedro J. Rivera, Esq.,
at 202.644.7167.)
Here is an overview of typical estate
planning tools:
Wills—This is the cornerstone of most
estate plans. It is a document that establishes
who is to receive assets and how much they
are to receive. When you have a will, you,
not the judge, make the decisions about the
distribution of your assets.
When you pass on without a will or other
means of transfer, the court takes over and
makes decisions for you. If there is no will,
no part of your estate will go to your church,
your schools or the charitable causes you
want to support.
However, there are easy ways to
distribute assets according to your wishes,
which do not involve wills and probate
courts. Some can be set up easily just by
signing forms.
Beneficiary Designations—Simply name
a person or your favorite charitable cause as
a beneficiary of an insurance policy or your
retirement account. You need not involve
an attorney. Just file the needed paperwork,
and the asset transfers when the beneficiary
provides proof of your death. There is no
waiting for a probate court to act.
Transfers on Death—This is similar to
a beneficiary designation. While state laws
vary, many states allow you to transfer real
property, personal property (such as cars
and boats), securities and bank accounts
simply by completing the paperwork. The
transfer is affected upon presentation of
legally recognized certification of death.
Create the Way You Want to Be Remembered
Reflect the Real You With a Thoughtful and Caring Estate Plan
By Pedro J. Rivera, Esq.
I
continued on page II
Some of the Most
Caring People in
the World Wear This
Inside the Tent
2. Both beneficiary designations and
transfers on death can be used to support
charitable causes. However, it is advisable
to check with the officers of the charity about
their policies for receiving property, espe
cially real property. (If you are considering
giving property to USA for UNHCR, please
contact me at 202.644.7167.)
Trusts—There are many types of trusts,
including those that are set up to benefit
one or more charities. Trusts must be set
up by an attorney. Some deliver income to
a charity during your life and benefit your
survivors when you have passed away.
Others produce income for you during your
life and transfer to the charity upon your
death. There are endless variations, and you
will want to think through your objectives.
Your attorney will help you establish the
trust that meets those objectives.
Charitable Gift Annuities—These are
simple contracts with the charity itself. You
make an irrevocable gift, and the charity
agrees to make annual payments to you at
an established rate throughout your entire
life, no matter how long you live. The rate
is based on your age at the time of the gift
and will not change. If you elect to cover two
lives, the rate will be somewhat lower. Some
people build funding for a charitable gift
annuity into their wills as a way to provide
for surviving family members. Charitable
gift annuities offer significant tax advan
tages. There is the benefit of an immediate
tax deduction, and part of the annuity
payments will not be subject to taxes.
Each of these tools—and there are others
—may be used to create your estate plan.
It is a good idea to get acquainted with all
of them. You should consult your legal and
financial advisors, but I can also help you
and your attorney with information on gifts
to USA for UNHCR.
Please feel free to contact me,
Pedro J. Rivera, Esq., at 202.644.7167 or
you can email me privera@usaforunhcr.org.
II
Reflect the Real You
continued from page I
World Refugee Day—June 20, 2015