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VIII. Estate Planning Services, Covenant Trust Company

A. Services Available | B. Estate Planning Services | C. Bequests | D. Life Income Agreement

INDEX
 

C. Bequests

• Use Seven Steps to Encourage Deferred Gifts to your Church or Ministry as an educational tool for your board and Stewardship Committee
• Put a brief reminder in your Sunday church bulletin or regular ministry newsletter. Put it there in every issue!
• Sponsor an estate planning seminar regularly, perhaps annually or every other year
• Announce bequests that are received, or have an annual bequest recognition event
• Have materials available about the Office of Estate Planning Services for those who may be interested
• Talk about estate planning as part of your stewardship emphasis-and don't be afraid to mention the tithe in connection with estate planning as well as current giving
• Be faithful to the donor's wishes when using bequest monies. This gives others confidence in the ministry's own stewardship. (Look for specific information on Covenant Endowment Trust.)

• Be sure to include the dollar amount or percentage of the bequest. A specific dollar amount can be used. But if the estate is not sufficient to cover that amount, the charity will not receive the bequest. A percentage amount is a portion of whatever remains, and may either increase or decrease depending on the size of the estate at death. Using a percentage is the preferred method, since the actual amount of the estate is unknown.
• Include the correct legal name of the church, ministry or institution, and its location. For example: The Evangelical Covenant Church, an Illinois not-for-profit corporation, located at 5101 North Francisco Avenue, Chicago, IL 60625. Even if the ministry is not incorporated, the correct name is important. Enough information must be provided so the ministry can be readily identified and located, even by someone who may not be familiar with the Covenant.
• Indicate any designation or specific instructions for use of the bequest.
• Always include a default provision. That is, where should the bequest go in the event the designated ministry or institution no longer exists?

(All material is presented for educational purposes only, and represents our current understanding based on information received from our tax and legal advisors. It is meant to provide information about the various personal, tax and economic benefits which may result from different estate planning and planned giving ideas. Because situations differ, it is important for you to have an estate plan specifically designed to fulfill your objectives. Nothing in this material is intended as legal, tax or investment advice. Laws and procedures are constantly changing, are subject to differing interpretations and may vary from state to state. If you require legal, tax or investment advice, you should consult a competent attorney, tax or investment advisor. Persons wishing to make bequests to Covenant ministries are encouraged to seek the help of their legal advisor.)