Legacies 3rd Qtr 2023

Legacies A publication of the United Methodist Foundation of Louisiana

Inside This Issue

3rd Quarter 2023

PLANNED GIFTS:

Gifts You Can Count On, Forever

Gifts You Can Count on Page 2 “It was one of the biggest impacts of my young life! I had counselors that helped me through healing and believing in love and hope for my future. I was very happy there ...Thank you so much … you will forever have a very special part of my heart.”

– G.S., A former resident of the Louisiana Methodist Children’s Home

Health Insurance Options After a Spouse Retires Page 3

Foundation Hosts Generosity Event for Churches Page 4

“Where Faith and Money Come Together”

G.S. is one of thousands of children who have been given a second chance in life due to the care and support received from Louisiana United Methodist Children and Family Services (LUMCFS). Spreading across the state in three campuses in Ruston, Sulphur, and now Loranger, La., LUMCFS is a faith-based organization whose mission is to guide children and families home to experience God’s love by following the teachings of Christ.

No longer the “orphanage” of the early 1900s, LUMCFS has evolved in its 121 years, changing to meet the needs of the children and families they serve. Today, services include intensive residential care, counseling, recreational and equine therapy and pastoral care. They also offer many community-based services such as the Outdoor Wilderness Learning Center.

From the time the staff first meets a child, their goal is to get them back home into a caring and loving environment.

“We are not just meeting the bare minimum needs of the children and families that we serve,” says Sarah Head, director of development at LUMCFS, “we’re providing excellent and comprehensive care.”

Head also says the level of care LUMCFS provides would not be possible without charitable support. One of LUMCFS’s annual streams of revenue comes from planned gifts established at the United Methodist Foundation of Louisiana. Since the first planned gift in 1980, LUMCFS has received more than $1.3 million from planned gifts at the Foundation. In 2022, LUMCFS received more than $85,000.

“The main difference between a cash gift and a planned gift is that the planned gift is income we can count on,” added Head. “We know it’s been set up, and we know that it’s coming. So, in our budget, we can count on that revenue when we’re thinking about what services we can provide for children.”

Continued, next page

Gifts You Can Count On, Forever

Legacies

cont’d from Page 1

“Where Faith and Money Come Together”

2023 Board of Trustees Bobby Fahey Chairman L. Nettles Brown Rev. Clifton Conrad Rev. Jo Ann Cooper Joe Crouch, Jr. Omer Davis Rev. Doug deGraffenried Drew Kennedy Bob Kimbro Sandra Kuykendall Eunice Val Lavigne Richard Lewis Troy Searles Rev. Drew Sutton Dianne Wilkinson Chris Spencer President

A planned gift, also known as a legacy gift, is a contribution arranged during life but allocated at a future date, usually when the donor passes away. There are many types of planned gifts, such as: Bequests: A gift made through a will or trust. It can be a specific amount of money or a percentage of the donor’s estate.

Endowments: A permanent fund that generates income for ministry forever.

Beneficiary Designation: Donors can add their favorite ministry as a beneficiary on insurance policies or retirement plans.

Charitable Gift Annuities: A contract between a donor and the Foundation where the donor receives fixed payments for life in exchange for a donation. When the donor passes, payments are made to the ministry in perpetuity.

Charitable Remainder Trusts: A trust that provides income to the donor for a period of time, after which the income from the gift provides income to the ministry, forever.

sometimes to the donor first, but ultimately to the ministry, while continuing to grow the fund.

In 2022, LUMCFS opened the doors to its newest facility, built on 126 acres in Loranger, La. LUMCFS’s impressive fundraising campaign that began in 2018, raised $9.1 million. The Foundation is proud to have contributed $100,000 to the campaign.

The next phase will expand the Loranger Home to become a hub for all LUMCFS’s services. New buildings will house the Methodist Foster Care program, which will be used for recruiting, training and fellowship events for foster care families, and the Life Skills Training Center, which provides space to give the children the skills and mentorship they need to transition into independent living. The future is bright for LUMCFS!

Planned gifts allow donors to control what happens to their assets after they’re gone, and in most cases, it provides the opportunity to give a larger gift than the donor ever thought possible.

The Foundation also manages 24 endowments for LUMCFS, valued at over $25 million. The endowments funded by the many generous donors in the past help future generations of children and families in need receive the care they need and deserve.

The initial gift is prudently invested to maximize returns while protecting the principal. This ensures a steady and increasing stream of ongoing support,

There is a lot of uncertainty in this world, but a planned gift provides income that the children and families can count on, forever.

Contact Us: 8337 Jefferson Hwy. Baton Rouge, LA 70809 Phone: (225) 346-1535 Email: information@umf.org Web Addresses: www.umf.org www.umfgiving.org Legacies Editor: Kelly Johannessen kellyj@umf.org

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The Foundation is a longtime supporter of LUMCFS and recently fulfilled a pledge of $100,000 for the Southeast Louisiana facility in Loranger, La.

3rd Quarter 2023

Savvy Living Health Insurance Options After a Spouse Retires Dear Savvy Living, My 63-year-old spouse, who does not work, is on a health insurance plan through my employer. I will retire next month and go on Medicare. What are the options for getting health insurance for my spouse before they turn 65? Is there any Medicare coverage for dependent spouses?

Unfortunately, Medicare does not provide family coverage to younger spouses or dependent children when the older spouse qualifies for Medicare. No one is eligible for Medicare benefits before age 65 unless they are eligible due to a specified disability. With that said, here are some options for obtaining health coverage for your spouse.

Affordable Care Act: You can purchase an individual health insurance policy for your spouse through the Affordable Care Act (ACA) Health Insurance Marketplace. The Marketplace offers comprehensive health coverage and will not deny coverage or charge extra for preexisting health conditions.

The American Rescue Plan and Inflation Reduction Act enhanced premium subsidies for Marketplace plans through 2025.

If your income falls below 400% of the poverty level after you retire – below $73,240 for a couple or $54,360 for a single person in 2023 – your spouse will be eligible for a tax credit that will reduce the cost of the policy. The Marketplace also ensures that households

with incomes above 400% of the poverty level will not have to pay more than 8.5% of their income for a benchmark policy.

To calculate your estimated subsidy, search online for a “health insurance marketplace calculator” and enter your family’s information. To shop for Marketplace plans in your state, visit HealthCare.gov or call 800318-2596.

COBRA: Another option is the Consolidated Omnibus Budget Reconciliation Act (COBRA) which is a federal law that would allow your spouse to remain with your employer’s insurance plan for at least 18 months after you make the transition to Medicare.

If the older spouse becomes eligible for Medicare and leaves their employer within 18 months of eligibility, COBRA coverage can continue for up to a maximum of 36 months. Contact your employer’s plan administrator to find out if COBRA applies to your plan.

COBRA can be expensive because it requires you to pay the full monthly premium yourselves.

But, if you have already met or nearly met your employer’s plan deductible or out-of-pocket maximum for the year and do not want your spouse to start over with a new plan, it may make financial sense to keep your spouse’s current coverage under COBRA. You should compare premiums from the Marketplace and those through a private insurer to see what is most affordable.

Short-Term Health Insurance: If you cannot find an affordable Marketplace plan and COBRA is too expensive, the next option is short-term health insurance.

These plans are more affordable no-frills plans that provide coverage for up to 12 months and may be renewed for up to three years in some states. Be aware that short-term plans are not available in every state and do not comply with the ACA protections. They can deny sick people coverage, refuse to cover preexisting conditions and can exclude coverage essentials like prescription drugs.

“Savvy Living” is written by Jim Miller, a regular contributor to the NBC Today Show and author of The Savvy Living book.

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Addressing the Needs of the Church: Foundation Hosts Giving Strategy Workshop

With so many churches looking for a fresh approach to stewardship these days, the Foundation recently hosted workshops on generosity strategies to address that need.

endowments and the importance of educating congregations on legacy gifts.

The majority of attendees said that they learned how important it is to emphasize discipleship in their giving campaigns and to never discuss finance and discipleship separately.

The Foundation partnered with Horizons Stewardship, a faith-based fundraising consulting firm, and “The program communicated presented two one-day some excellent reminders Joe Park explains the changing landscape in church giving workshops for pastors to our church leaders, and it to church leaders at the generosity workshop in Baton Rouge. and church leaders. The also gave them new ideas for workshops were held in generosity strategy– things Baton Rouge on August 26 and in Shreveport on they can implement now,” Spencer said.

August 31. Presenters were Joe Park, President The Foundation plans to continue working with Horizons and CEO of Horizons; Richard Rogers, Senior on more generosity programming in the future. Stay Vice President of Horizons; and Chris Spencer, tuned to your email box for more information!

Foundation President.

Nearly 80 clergy and lay leaders learned what they needed to embrace the new realities of the churchgiving landscape and put into practice key strategies offered by Horizons.

Spencer presented a segment on Planned Giving Strategy, underscoring the benefits of church

Joe Park

Richard Rogers

Chris Spencer