When it comes to estate planning in Maryland, many people are at a loss as to where to start. They may not know what documents they need or what steps to take to ensure their loved ones are cared for after they die. If this relates to you, you can always turn to the Bible for help. Here are three biblical principles that you can follow when planning your estate.
Mathew 5:42. You are responsible for your own estate
The Bible recommends that the owner of a house must keep watch of his house and protect it. Many things will diminish your assets, leaving little for your loved ones. The common one is taxes. For example, if your property is worth over $12.06 million, the governments can take up to 40% of it in estate taxes. Additionally, if you don’t have a trust or will, someone who may not be good at managing your businesses can take over and run them at a loss.
1 Timothy 5:8. Plan for your family’s future
The Bible says that a person that doesn’t provide for their family, especially their own household, is worse than an unbeliever. Therefore, you should have a plan in place that’ll take care of your family members after you die. When estate planning, you can create an irrevocable trust for your children if they still don’t know how to manage money, you can name a guardian in your will for your young ones, and a bypass trust for your spouse.
Acts 20:35. Consider giving to charity
Jesus himself said, “It’s more blessed to give than to receive.” You should give to charity because it’s good to help people when you can. And the best part about it is you can deduct up to 60% of your adjusted gross income in taxes. This means that you will pay much lower taxes when transferring your assets to your loved ones; hence, they will have more of their inheritance.
The Bible is often the best place to turn to when you feel stuck with anything. You can have the best estate plan if you read more and consult if you are having any trouble.