Preparing for the Inevitable

Faith & Finance

PLANNING FOR THE FUTURE AND ESTATE PLANNING

Proverbs 13:16 highlights the importance of acting with knowledge in all aspects of life, including the preparation for inevitable events like death. This preparation involves legal, financial, and personal readiness to ensure your wishes are honored and your loved ones are cared for.

IMPORTANCE OF UPDATED WILLS AND DIRECTIVES

• Having updated wills is critical to ensure your wishes are followed after your death, with legal powers of attorney and health care directives being equally important.
• An estate attorney is necessary to prepare these documents, representing an essential investment in your family's future well-being.

PREPARING FOR YOUR MEMORIAL SERVICE OR FUNERAL

Organizing instructions for your memorial service or funeral is a considerate way to help your family and friends start the grieving process, ensuring your wishes are respected.

CREATING ESSENTIAL LISTS

• Compile a list of all your financial accounts, including bank accounts, investments, credit cards, mortgages, retirement accounts, outstanding loans, and pensions, and keep this list updated.
• Make a list of contacts who need to be informed about your death, including family, friends, financial institutions, government agencies, and any other organizations you're associated with.

UPDATING BENEFICIARY DESIGNATIONS

Regularly update the beneficiary designations on all your accounts to ensure they align with your current wishes.

ENSURING ACCESS TO IMPORTANT DOCUMENTS

Ensure someone you trust knows where to find all your important documents, ideally making this information accessible to your spouse if you're married.

JOINT OWNERSHIP AND TRANSFER ON DEATH ARRANGEMENTS

Work with an estate attorney to arrange for major assets to be owned jointly or transferred upon death to avoid probate and secure assets for the survivor's use.

ADVICE FOR MARRIED COUPLES

• Both spouses should understand the family finances to avoid leaving the surviving spouse in the dark in the event of the other's death.
• Each spouse should have a credit card in their own name to ensure access to credit after one spouse's death.
• Plan for the surviving spouse's income, considering potential lifestyle changes due to reduced income, and understand the implications for Social Security benefits upon a spouse's death.

THE IMPORTANCE OF COMMUNICATION

Open communication about financial matters with your spouse and, if appropriate, with your children or other family members is crucial to ensure everyone knows what to expect.

SPIRITUAL PERSPECTIVE

You and I can’t know when the Lord will call us home, but we do know where home is. Philippians 3:20 reminds us that “our citizenship is in heaven, and from it we await a Savior, the Lord Jesus Christ.” Our job is to be ready.

ON TODAY’S PROGRAM, ROB ANSWERS LISTENER QUESTIONS:

• I'm 76, on Supplemental Security Income, and interested in finding affordable life insurance options to cover funeral expenses and potentially support my daughter.
• I've been managing our family budget with spreadsheets since the 1980s, but I'm concerned my wife won't be able to manage it if I pass away. Can you recommend a simpler system?
• I have three retirement accounts totaling $100,000 and am considering rolling them into a Roth IRA for better investment options, despite potential tax implications.
• My tax preparer is requesting a photocopy of my Social Security card. Is it safe to provide it to him?
• After hearing advice on your show, I took responsibility for a debt I owed, despite being advised I could walk away due to its impact on my public aid. I want to share how your guidance inspired me to fulfill my obligations.

RESOURCES MENTIONED:

• NerdWallet:NerdWallet
• US News and World Report: Best Burial Insurance of 2024
• FaithFi app
• Sound Mind Investing or FaithFi.com for articles on Roth vs. traditional IRA.

Remember, you can call in to ask your questions most days at [phone]. Faith & Finance is also available on the Moody Radio Network as well as American Family Radio. Visit our website at FaithFi.comwhere you can join the FaithFi Community, and give as we expand our outreach.

Remember, you can call in to ask your questions most days at [phone]. Faith & Finance is also available on the Moody Radio Network and American Family Radio. Visit our website at FaithFi.com where you can join the FaithFi Community and give as we expand our outreach.