Kansas and Missouri Estate Planning

A Few Pertinent Points to Ponder on "Labor Day" (Originally published September 5, 2016)

Does your work matter?

This question is taken up by Tom Nelson in his book titled "Work Matters" and I would highly commend it to your library.

I will get out of the way of Dr. Nelson and let him speak to you himself through a section in chapter five titled "More, but Not Less Than a Carpenter":

"I don't know why I didn't see it for so long, but one day as I was reading through the Gospel of Mark, I stumbled across a verse that stopped me dead in my tracks. In Mark 6 we are told that Jesus, who was spending his time as an itinerant rabbi, came back to his hometown of Nazareth. The hometown crowd listened to Jesus teach in the synagogue, and they were stunned by their hometown boy who was displaying such extraordinary wisdom and power. In their eyes Jesus, was first and foremost a carpenter from Nazareth. Mark records the hometown crowd exclaiming with a tone of incredulity, "'Is not this the carpenter, the son of Mary and brother of James and Joses and Judas and Simon? And are not his sisters here with us?' And they took offense at him" (Mark 6:3).

    As I slowly pondered these words, I began to reflect on the significance of Jesus spending so much of his time on earth working with his hands in a carpentry shop. Here was the Son of God sent to earth on a redemptive mission of seeking and saving the lost, of proclaiming the gospel, yet he spent the vast majority of his years on earth making things in an obscure carpentry shop. We know from Luke's Gospel that even at the age of twelve, Jesus was demonstrating his amazing rabbinical brilliance to the brightest and best in Jerusalem (Luke 2:47). How did Jesus's brilliance fit in with a carpentry career? At first glance this doesn't seem to be a very strategic use of the Son of God's extraordinary gifts or his important messianic mission. Why was it the Father's will for Jesus to spend so much time in the carpentry shop instead of gracing the Palestinian countryside, proclaiming the gospel and healing the multitudes?

    The New Testament records Jesus spending only about three years in itinerant ministry, what we might refer to as full-time vocational ministry. But for the many years before that, Jesus worked as a carpenter. Speaking of Jesus as a carpenter, Dallas Willard brings a fresh perspective:

If he were to come today as he did then, he could carry out his mission through most any decent and useful occupation. He could be a clerk or accountant in a hardware store, a computer repairman, a banker, an editor, doctor, waiter, teacher, farmhand, lab technician, or construction worker. He could run a housecleaning service or repair automobiles. In other words, if he were to come today he could very well do what you do. He could very well live in your apartment or house, hold down your job, have your education and life prospects, and live within your family surroundings and time. None of this would be the least hindrance to the eternal kind of life that was his by nature and becomes available to us through him.

    Several years ago I remember reading a fine book that was winsomely titled More than a Carpenter. In this book, the author points out a great deal of convincing evidence that supports the deity of Jesus. This is essential to understanding the person and work of Jesus. Yet in no way should we conclude that because Jesus was more than a carpenter, his vocational calling was somehow less than important. Clearly the Son of God was much more, but not less, than a carpenter. This incarnational pattern of Jesus's earthly life speaks volumes about the importance of our day-to-day work."

So, as you enjoy your Labor Day, whether working or relaxing, ponder these pertinent points and the very fact that your work matters to you, your family, those you serve and, most importantly, to your God.

* For more about Dr. Tom Nelson visit the Christ Community and Made to Flourish websites.  

Key Questions to Cover Before a Loved One Dies

It is the ultimate elephant in the room. Death.

To paraphrase Dr. Tom Nelson (Senior Pastor at Christ Community Church in Leawood, Kansas), death stalks us with every step as we walk across the tightrope of time stretched over the great chasm of eternity.

While there is still time, however, there are some key questions you should ask your loved ones before that day arrives.

And, it will arrive for each of us.

So, have you been appointed as the executor of a loved one's estate? If yes, then these questions become all the more important.

A recent AARP article, titled “5 Questions I Wish I Had Asked Before They Died,” is written by Amy Goyer, a professional caregiver with some 30 years of experience and contains some of her lessons learned at the recent passing of both her mother and sister.

While Goyer has her own estate and financial plan prepared, she is planning to be more intentional and open regarding some of the finer details.

Here is a quick look at a few things Goyer recommends discovering/uncovering sooner rather than later:

Where is important paperwork located? Goyer thought she had the most recent versions of her sister’s legal documents. Unfortunately, she did not. Consequently, she had to embark on an unpleasant (and time consuming) "treasure hunt" through mountains of paper.

While your loved ones may know where their key financial and legal documents are located, that is of little assistance if they do not pass that information along to you. 

What are the details of what you want for your memorial service? Burial, cremation? From resolving these basics to the finer points, any decisions about the service that can be made in advance are most helpful.

Do not wait.

Disagreements among surviving family members are common, especially when all are experiencing shock and grief following the loss of a loved one.

Common details to cover include music, the service location, speakers, flowers, and food. 

Who should get your personal items? Goyer urges you to catalog your collectibles, jewelry, and other special items of tangible personal property. Many states authorize the use of a handwritten, signed and dated list to handle distribution of these items to specific loved ones, typically in conjunction with your will or trust. 

Who is in that picture? Does this sound familiar? You are looking through boxes of old family photographs and, while the people look familiar, you just cannot place a name to a face (let alone the location and timeframe).

To avoid this, label each photo when discussing it with your loved ones. This will help preserve a bit of family history in each photo. 

Finally, the Goyer encourages you to overcome the natural reluctance to talk about these subjects, let alone death, with your loved ones. Accordingly, she recommends starting the conversation early and often. This will break the emotional inertia, reduce the awkwardness and open the lines of communication to other important matters.

Remember, death is inevitable for each of us. The better prepared we are—in addition to the basic legal documents—the easier it will be when the time comes.

Contact an experienced estate planning attorney to help you navigate this process. 

Reference: AARP (March 19, 2015) “5 Questions I Wish I Had Asked Before They Died”

Estate Planning and the "Fundamental Five"

Would you be surprised to know that 50 percent of Americans with children and 41 percent of baby boomers age 55 to 64 do not even have a simple will? Perhaps you are one of those folks flying naked (in an estate planning sense, that is)? To paraphrase Dr. Tom Nelson, we are all walking on the tightrope of time stretched out over the great chasm of eternity with death stalking us at every step. 

A rather thoughtful assessment of the precarious state of our temporal experience 

So, if death is a 100% certainty on the actuarial tables of every life insurance company, then perhaps preparing your own will makes sense, yes?

While you are at it, every will has at least four "friends" you should also bring with you on your own "tightrope" walking experience.

In fact, a recent CNBC article, titled "Stay in control with 5 estate-planning documents," discusses the importance of having the will and his (or is it her?) friends in tow.

While I recommend reading the original article, here is what you need to know:

A will. It does not get any more basic in estate planning than drafting a will. A will states who will inherit your estate assets and care for your minor children upon your death. As you may recall from previous posts, without a will, the "intestate succession" laws of the state where you live decides who gets your assets and when.

The court will typically disburse the inheritance based on their degree of family relationship to the decedent (i.e., you). Commonly, this degree moves from your spouse, then to children, then to your parents, and next to your brothers and sisters. Ulitimately, if you do not have anyone in this line-up within certain degrees of "consanguinity," then other distant relatives you may never have known will make their claims. If there is still no one to claim the money as a relative, then the state will just keep it! By the way, the legal term for your estate passing to the state treasury is "escheat." Sounds appropriate.

Why give gifts to people you hardly know or forfeit your estate to the state when you can avoid it simply by creating a will to tell everyone in writing who gets what when you are gone?

Beneficiary designations. This seems like a pretty insignificant little form, but it can be huge when it comes time to disbursing your life insurance policy or any retirement account. Chances are you probably completed and sent in a beneficiary designation form when you took out the policy or opened the account. That form identifies who gets this money when you die. This form—not your will—says who gets the money. Note: this cannot be stressed enough. YOUR WILL DOES NOT CONTROL ANYTHING PASSING BY BENEFICIARY DESIGNATION.

The original article suggests that you check your list of beneficiaries when there were any life changes, like getting married or divorced, having a child, or having more children.

Financial power of attorney. A financial power of attorney (financial POA) is another very critical legal document. It gives a trusted individual the authority to resolve your financial issued on your behalf, if you become incapacitated or unable to make those decisions for yourself. A financial POA provides you with more control over your financial affairs and a better chance that your wishes will be followed.

If you do not have a financial POA, the court selects someone to take care of these decisions—this can be a very lengthy and expensive process. The court usually appoints a close family member, but that person might not be the one you would have chosen. You know, the one who constantly "borrows" from other family members and may have filed for bankruptcy a few times.

The original article also stresses that a financial POA is critical if you have a non-spouse partner: if you designate your financial POA, you have control over the scope of powers to grant your "agent," which can encompass accessing your financial accounts and managing all your financial affairs.

Medical power of attorney. A Medical power of attorney allows you to select who will make medical decisions on your behalf, if you are unable to do so for yourself. Your chosen designee will be able to access to your medical records, speak with your medical caregivers, and deal with other important issues. Your designee will also make sure that your "advanced medical directive" is carried out.

Advanced medical directive. Deciding if you want tube feeding or to be put on a ventilator can be a really hard decision for loved ones to make, if you have not put your wishes in writing. An advanced medical directive should clearly define what you want and what you do not want. This takes the decisions out of the hands of your family and improves the odds that your final instructions are followed.

Once you get these documents set up, the original article suggests that you review and update them from time to time, especially if you have had any changes in your life.

These are just the basics. You should talk to an experienced estate planning attorney and get sound advice for all of your estate planning issues.

Remember: “An ounce of prevention is worth a pound of cure.” When making your financial, tax and estate plans, do not go it alone. Be sure to engage competent professional counsel.

For more information about estate planning in Overland Park, KS (and throughout the rest of Kansas and Missouri) and to download free tools to help you organize your estate, visit my estate planning website.

Reference: CNBC (October 6, 2014) "Stay in control with 5 estate-planning documents"