How do I create an Estate plan with a Kingdom impact?

Ralph Estep Jr.
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Have you ever wondered if your legacy will truly make a difference after you're gone? Maybe you're wrestling on how to balance providing for your family while supporting God's kingdom.

Well, today we're tackling a question that keeps many Christians awake at night. How do I create an estate plan with a kingdom impact? That's what I'm going to answer on today's show.

Podcast Announcer
00:00:25

Welcome to the Ask Ralph Podcast, where listening to an experienced financial professional with over 30 years of experience can help you make sense of confusing questions, current headlines and industry trends about taxes, small business, financial decision making, investment strategies, and even the art of proper budgeting. Ask Ralph makes the complex simple by sharing his real world knowledge from a Christian perspective with all things financial.

Now here's your Host, Ralph Estep Jr.

Ralph Estep Jr.
00:00:55

[00:00:30] Ralph Estep, Jr.: Thank you for joining me today on the Ask Ralph show where we master your finances. From that Christian perspective. And today we're talking all about legacy planning. And this is sometimes tough for people to talk about. But here's the deal. Planning now is a smart step and it will help you down the road. Now, if you missed yesterday's show, I talked about those home upgrades that can make selling your house difficult, especially if you're thinking about renovating your home. I'm going to share some insights that could save you thousands in causing mistakes.

[00:01:03] Ralph Estep, Jr.: I'm going to tell you about a client of mine who ended up not coming out too well with that. So if you missed it, I'm gonna encourage you to go check it out. And also, while you're thinking about it, you could just subscribe to the show. You go to askralph.com and we'll tell you exactly how to do that.

[00:01:24] Ralph Estep, Jr.: Now today, we've got a powerful question from a listener named Pedro. And his heart reflects what many of us deeply desire. He wants to create those blessings that will ripple long after he's gone home to be with the Lord. So listen to this heartfelt message.

[00:01:42] Ralph Estep, Jr.: "Ralph, for years I've experienced the joy of partnering with God through faithful giving and supporting ministries. But lately, I've been wrestling with something bigger. The kind of legacy I'll leave behind. Every time I pray about it,

[00:01:58] Ralph Estep, Jr.: I feel God stirring my heart to think beyond my lifetime. I dream of my estate being more than just money passed down. I want it to be a testimony of God's faithfulness that keeps touching lives and advancing His Kingdom for generations to come. But I'm also feeling overwhelmed about how to do this wisely while ensuring my family's cared for. Can you help me understand how to create an estate plan that weaves together both of these God given desires?" What a great question, Pedro. And I feel your heart on that. And remember if you've got a question like Pedro, you can head over to justaskralph.com and your question could be featured on a future episode.

[00:02:43] Ralph Estep, Jr.: It's a great time to send in your questions as we're building our calendar for next year. And don't forget, every Tuesday night I go live at 7:00 PM Eastern time. You can join the live show and it's not complicated. A lot of people ask me about it. Just go to askralphpodcast.com/live and we'll dig in deeper into these topics and you can actually get your questions answered right there on the show and a little spoiler.

[00:03:08] Ralph Estep, Jr.: Every week I give away a hundred dollars Amazon gift card.

[00:03:16] Ralph Estep, Jr.: You know what Pedro your question reminds me of King David's example in the Bible.

[00:03:23] Ralph Estep, Jr.: And it comes to us from the book of Matthew chapter 6, verses 19 and 20. And this is what the book says. It says, "Do not store up for yourselves treasures on earth, where moths and vermin destroy, and where thieves break in and steal. But store up for yourselves treasures in heaven, where moths and vermin do not destroy, and where thieves do not break in and steal." And we've got to consider this strong warning. Because Pedro, if you're like me, your flesh lead you to store. You want to build up that abundance.

[00:03:59] Ralph Estep, Jr.: But we've got to learn to balance this with our faith.

[00:04:02] Ralph Estep, Jr.: And that's what I hear you saying, Pedro. You're trying to figure out how to balance that, and that's going to be our challenge for today, but I've got some good answers for you, Pedro.

[00:04:16] Ralph Estep, Jr.: Well now, let me take a few minutes and share with you a story that shook me to my core and it truly revolutionized everything I understood about kingdom impact estate planning. So picture this. 10 years ago, my friend, Tom. He came in to sit down. We were just friends at that time, collapsed in the chair across from me at my desk, his shoulders heaving

[00:04:39] Ralph Estep, Jr.: with sobs.

[00:04:41] Ralph Estep, Jr.: And he had gone through a tough time. His father, a pillar of faith, he had spent decades supporting ministries, funded church plants and helping struggling families had just passed away.

[00:04:54] Ralph Estep, Jr.: And the thing is Tom's dad had amassed a significant wealth,
saving on a mount of wealth through a lifetime of diligent work. He was a hard working guy.

[00:05:03] Ralph Estep, Jr.: But the problem was there was no roadmap for continuing his
legacy of Kingdom giving. I remember Tom said, as he said, "Ralph, all those years of faithful stewardship," And you could hear in his voice, his voice was breaking. He said "Ralph, it just stopped.

[00:05:21] Ralph Estep, Jr.: My dad supported 23 missionaries."

[00:05:26] Ralph Estep, Jr.: He asked me a question, what happens now? And you know what? That moment haunts me to this day.

[00:05:33] Ralph Estep, Jr.: But it ignited a passion that transformed how I view estate planning for everybody that I met with after that day.

[00:05:42] Ralph Estep, Jr.: Because the simple truth is this just isn't about distributing wealth. Its just not about distributing wealth. That's part of it. But it's about ensuring your spiritual legacy burns bright for generations to come.

[00:05:58] Ralph Estep, Jr.: And I'm going to tell you what Tom ended up doing in a few moments, but first let me share two other powerful stories that illustrate how kingdom focused estate planning can be accomplished.

[00:06:10] Ralph Estep, Jr.: I'll call this first one Sarah's story. Also called the medical mission legacy. So picture this. Sarah is a retired pediatrician. And she structured her estate plan to establish a perpetual fund supporting medical missionaries in Southeast Asia. See, cause Sarah had spent many summers there while she was still in her practice and she saw the desperate need. So she wanted to create this perpetual fund to help that.

[00:06:37] Ralph Estep, Jr.: And today her fund provides medical supplies to three clinics in this area. She sponsors training for healthcare workers, and funds critical surgeries for children.

[00:06:51] Ralph Estep, Jr.: And I remember her saying to me one time, she said, Ralph, I may not be able to serve there physically anymore. But my legacy continues to heal in Jesus' name. So that's just one story. Let me tell you about the Martinez family. The Martinez family transformed their family business succession plan into a kingdom multiplication strategy. That's a lot of words, but that's what he called it. And think about this. They established a foundation that receives 50% of their company's profits. That's what they wanted to do.

[00:07:25] Ralph Estep, Jr.: And they fund Christian education and underserved communities.

[00:07:30] Ralph Estep, Jr.: Fast forward a few years and now their three children now sit on the foundation's board.

[00:07:36] Ralph Estep, Jr.: And those children are learning stewardship while witnessing the impact of generous giving. Let me just share something with you. Last year alone, they provided scholarships. Now ready for this one. Just last year, they provided scholarships to 150 students and funded technology upgrades in five inner city Christian schools.

[00:08:01] Ralph Estep, Jr.: So, what did I learn from these stories? From these experiences? I discovered these two transformative truths.

[00:08:11] Ralph Estep, Jr.: Number one, I saw radical stewardship in action.

[00:08:17] Ralph Estep, Jr.: I had one couple, they donated their vacation home to become a retreat center for burned out pastors. I'm just going to give you some ideas of things that I've seen people do. So that's the first one. If you want to be radical in your stewardship, look at your property. Like I said, I had that one couple that donated their vacation home to become a retreat center for burned out pastors.

[00:08:39] Ralph Estep, Jr.: Look at your investments.

[00:08:40] Ralph Estep, Jr.: I had a businessman restructured his portfolio to create a steady stream of income for Bible translation projects. That was a thing that he had passion for. And he wanted to provide that steady stream of income so that there would continue to be Bible translations going on throughout the world. Another client looked at their life insurance.

[00:09:01] Ralph Estep, Jr.: I had a teacher. She made her policy fund seminary scholarships for international students.

[00:09:09] Ralph Estep, Jr.: And her particular case, she didn't have children to leave it to, she didn't have grandchildren to leave it too. And she said to me, one time she said, Ralph, I want to leave a legacy. I want to leave a lasting impact. So she named her policy in the name of the scholarship for seminary students for international seminary students.

[00:09:29] Ralph Estep, Jr.: Or maybe look at your business assets. I had another family designate company shares to support Christian entrepreneurship in developing nations. So there are so many ways to make that radical impact, that radical stewardship.

[00:09:46] Ralph Estep, Jr.: Now you might be saying, Ralph. Okay, that sounds good. How do I make these happen?

[00:09:49] Ralph Estep, Jr.: Well, there are legal frameworks that multiply this impact. I'm not going to get into a long discussion about those. I just want to plant some seeds today. There's something called a charitable remainder trust. Again, these are things you want to take up with your attorney. Those charitable remainder trusts provide income during retirement while ensuring ministry support afterwards. So that's a way to balance those two things.

[00:10:13] Ralph Estep, Jr.: There's something called donor advised funds, where you can engage multiple generations in strategic giving decisions. Maybe you're really wealthy and you create a private foundation. That will be a lasting platform for family philanthropy. Maybe you're Christian based philanthropy. It's a hard word to pronounce, but that's what I'm talking about


[00:10:36] Ralph Estep, Jr.: There's also what's called charitable lead trust.

[00:10:40] Ralph Estep, Jr.: These charitable lead trust can support missionaries while now preserving family inheritances.

[00:10:46] Ralph Estep, Jr.: So there's a bunch of options. You can look at your assets and talk about, we said, property investments, life insurance, there's business assets. You can look at these legal frameworks, those charitable remainder trust, donor advised funds, private foundations, charitable lead trust, all of these things leading to that kingdom impact. That lasting legacy that you talked about, Pedro. Well, let me get back to Tom's story and I'm gonna tell you about the extraordinary turn it took.

[00:11:17] Ralph Estep, Jr.: Because that day, when Tom was, he felt defeated.

[00:11:20] Ralph Estep, Jr.: That's what he said to me. He said, Ralph, I feel defeated.

[00:11:25] Ralph Estep, Jr.: But he was determined to honor his father's memory and he created what he called the Legacy of Light plan.

[00:11:31] Ralph Estep, Jr.: And I think this is really cool.

[00:11:34] Ralph Estep, Jr.: First thing he did. He established a foundation matching his father's annual giving to those 23 missionaries. He thought it was important to continue to support those 23 missionary so he established a foundation that would do that moving forward. But that wasn't enough for Tom. He also created scholarship funds at three seminaries because he knew as well as other people knew that you needed to bring more young people into this and teach them and train them up to be those shepherds of the future.

[00:12:07] Ralph Estep, Jr.: Tom also set up a micro-finance program supporting Christian entrepreneurs in developing nations because he wanted to make that part of his father's legacy as well. He wanted his father's resources to go to those people who were Christians in developing nations to build those entrepreneurs so they could have those Christian based, those Christian fundamental businesses.

[00:12:34] Ralph Estep, Jr.: He also structured a giving program allowing his children to direct charitable donations annually.

[00:12:42] Ralph Estep, Jr.: See, so Tom made that impact. He did that what he called Legacy of light. Fast forward five years and Tom shared something remarkable with me. This is what he said to me.

[00:12:55] Ralph Estep, Jr.: He told me, he said my teenage daughter has just returned from visiting one of their supported missionaries and this particular one was in Ethiopia.

[00:13:03] Ralph Estep, Jr.: And he told me the story so with tears in her eyes, she said this, she said, "dad, I finally understand why grandpa lives so generously.

[00:13:13] Ralph Estep, Jr.: I saw Jesus in the eyes of those children." Tom also said his son has started giving a what's called a giving circle at college. And he's multiplying the family's impact through his peers.

[00:13:27] Ralph Estep, Jr.: Now you might be saying, Ralph, that sounds wonderful. What are some ways that I can do it? What are some ways that I can create that ripple effect of kingdom planning? Here's a couple more I've witnessed. A widow's estate provided seed funding for 12 church plants across Europe. That's what she did.

[00:13:44] Ralph Estep, Jr.: She said I'm going to take my estate and I'm going to provide for funding churches to plant across Europe.

[00:13:53] Ralph Estep, Jr.: I've seen a teacher's modest savings fund Christian education for foster children.

[00:14:00] Ralph Estep, Jr.: I've got a particular kind I'm thinking of right now, a business owner and his succession plan ensures his company continues tithing 20% of profits for ministry. It's important to him. And his succession plan puts that into black and white into writing.

[00:14:18] Ralph Estep, Jr.: I've got a client that is a couple and their charitable trust.

[00:14:21] Ralph Estep, Jr.: They created a charitable trust, they went to their attorney and created this and it supports Bible translation in unreached language groups. See, so there are so many ways to make that kingdom impact.

[00:14:35] Ralph Estep, Jr.: And the truth is this. When we align our estate planning with God's eternal purposes, we're not just signing documents. You know I've done shows talking about how important estate planning is. And it is crucial. If you haven't done it, go do it right away.

[00:14:52] Ralph Estep, Jr.: But it's not just that situation where you're signing documents. Its so much bigger than that if you use it correctly. You're crafting a legacy that will echo through eternity.

[00:15:06] Ralph Estep, Jr.: Think about that for a second. Those ripple effects of what you decide when you're sitting in your attorney's office could have ripple effects for eternity. There will be people that will be impacted by those decisions for generations to come and listen, you don't need to have millions of dollars in assets to make that happen. I've got clients of very modest means who have said to me, look, Ralph. My kids are okay.

[00:15:35] Ralph Estep, Jr.: They don't need a big inheritance from me. What are some things I can do. So let me tell you about some additional opportunities.

[00:15:44] Ralph Estep, Jr.: Well, the big struggles we have is what we call ministry sustainability. So maybe you want to create some endowment funds that ensure stable support for missionaries. Missionaries are struggling.

[00:15:57] Ralph Estep, Jr.: Maybe you do property gifts providing for permanent ministry facilities.

[00:16:03] Ralph Estep, Jr.: A lot of people leave a bequest that they're time of passing that, Hey, here's some money for my local church that you can build that building you've always talked about doing.

[00:16:12] Ralph Estep, Jr.: Or expand the building you're already in.

[00:16:16] Ralph Estep, Jr.: I've had a lot of clients set up perpetual scholarships to fund Christian education. I think that one is huge.

[00:16:24] Ralph Estep, Jr.: I'm not a big fan of the public education system, especially in the United States. It teaches kids all kinds of garbage. I really endorsed that Christian education.

[00:16:38] Ralph Estep, Jr.: Or maybe you just relieve regular income streams for local church projects. Churches need that. And you got to consider that as part of your estate plan. Don't just go into the attorney's office with the idea well, let me make a list of who I'm going to leave. Oh, let me leave this one this and this one that, but think about the kingdom impact of those decisions.

[00:17:01] Ralph Estep, Jr.: Here's some other opportunities.

[00:17:02] Ralph Estep, Jr.: What I call family discipleship.

[00:17:05] Ralph Estep, Jr.: This is a great time to start to teach your children, your young adults, your young adult, people who have left the nest, have some family meetings regularly to discuss these giving decisions.

[00:17:19] Ralph Estep, Jr.: Explain to them why you made the decision you made. You know mom and I decided that you folks are well taken care of you.

[00:17:25] Ralph Estep, Jr.: You have good jobs, you're providing for yourself and we'll give you, we're going to leave this for you, but we also want you to understand why we're making these decisions.

[00:17:36] Ralph Estep, Jr.: Maybe you put boots on the ground and plan mission trips. Go see those missionaries that you've supported.

[00:17:46] Ralph Estep, Jr.: Because you got to teach your children to evaluate ministry effectiveness.

[00:17:51] Ralph Estep, Jr.: Maybe it gets so bold as to create family giving statements and mission documents about how you as a family are going to lead this discipleship and make that kingdom impact.

[00:18:07] Ralph Estep, Jr.: There's also ways to do it through what I call kingdom innovation.

[00:18:11] Ralph Estep, Jr.: Supporting Christian business initiatives, funding Christian media and technology products. Investing in faith-based social enterprises. And even pioneering new models of ministry support. Your ideas could be the very things that increase change the dynamic or sustain these folks who were doing God's work.

[00:18:36] Ralph Estep, Jr.: And your estate plan can become a powerful testimony of faith.

[00:18:39] Ralph Estep, Jr.: It can be a beacon of hope and it can be a catalyst for
kingdom advancement that impacts generations yet unborn. Think about that for a second. Like I said, those ripple effects could go on in perpetuity.

[00:18:56] Ralph Estep, Jr.: And it's not just about preserving wealth. It's about propagating that witness. It's not about leaving an inheritance. It's about leaving an imprint for eternity.

[00:19:09] Ralph Estep, Jr.: And I can still remember my friend Tom's powerful words after implementing what he called his kingdom estate plan. This is what he said. He said, "I used to worry about leaving my children enough.

[00:19:22] Ralph Estep, Jr.: Now I worry about leaving them with the right vision."

[00:19:26] Ralph Estep, Jr.: And he shared with me, say "through this process, I've watched them become more excited about giving than receiving.

[00:19:33] Ralph Estep, Jr.: And that's worth more than any financial inheritance I could leave them."

[00:19:39] Ralph Estep, Jr.: So, let me ask you a very bold and direct question.

[00:19:46] Ralph Estep, Jr.: What legacy will you leave?

[00:19:50] Ralph Estep, Jr.: How will your story inspire others to leverage their resources for that eternal impact?

[00:20:00] Ralph Estep, Jr.: How can your estate plan become a testament to God's faithfulness and a tool for advancing His kingdom?

[00:20:09] Ralph Estep, Jr.: And let me just tell you the time to start is now.

[00:20:13] Ralph Estep, Jr.: Because every day we delay is a missed opportunity for kingdom impact. So let's transform estate planning from a dreaded task, and nobody wants to, listen. Nobody wants to deal with this. Nobody wants to think about that day when they meet their maker.

[00:20:32] Ralph Estep, Jr.: But you can move beyond that. You can take it from being that dreaded task into a joyful expression of faithful stewardship.

[00:20:42] Ralph Estep, Jr.: And as I said, those decisions will echo and ripple for eternity. I'm going to share some ways you can get started with a kingdom estate plan in just a few minutes as if I haven't given you enough. But I've got some more ideas. But first, let me ask you this.

[00:21:02] Ralph Estep, Jr.: Are you struggling to balance your money and faith?

[00:21:04] Ralph Estep, Jr.: Maybe you're saying Ralph, I hear what you're saying about estate planning do, but I'm having a hard time putting food on the table.

[00:21:12] Ralph Estep, Jr.: And listen, I get it.

[00:21:15] Ralph Estep, Jr.: Because sometimes it feels like you're the only one trying to make Godly financial decisions in a world that pulls you in very different directions. And that's one of the reasons I decided to do this live show on Tuesday nights. I go live every Tuesday night at 7:00 PM Eastern time

[00:21:32] Ralph Estep, Jr.: because I want you to know two things. Number one, you are not alone in this journey. And number two, there's a community of people there to support you.

[00:21:46] Ralph Estep, Jr.: And since doing the live show, you know what makes my heart sing? It truly does. It's when I see members of the community having those aha moments. And I see those now more routinely. We launched a live show back in October and it's just growing.

[00:22:02] Ralph Estep, Jr.: And I love it when I see someone who finally breaks free from debt. Or understands how to invest while honoring God or finds peace in those financial decisions. Because those are the moments that matter when somebody makes a comment about how they've made this decision or they made a change. Now they're seeing benefits from it.

[00:22:25] Ralph Estep, Jr.: And every week, both in the live show and the messages I'm hearing from people,

[00:22:29] Ralph Estep, Jr.: I hear stories that could be your story.

[00:22:33] Ralph Estep, Jr.: Like this one, "Ralph, I was drowning in debt until I found your show. You gave me a lifeline of how to get out of debt, to break free of that bondage of debt." Or like this one, "I never thought I could invest and stay true to my faith. Ralph, you helped me find a Christian based financial advisor who looked at this from not just that secular position, but that Christian position."

[00:23:02] Ralph Estep, Jr.: And I look at the relationships that have been helped.

[00:23:05] Ralph Estep, Jr.: I had somebody say to me, "Your advice helped save my marriage from financial stress.

[00:23:13] Ralph Estep, Jr.: So here's what makes our Tuesday night special. Real talk about money and faith. There is no sugarcoating. If you think I'm direct here, I'm 10 times more direct there in the live show. And your questions get answered. Write that yes live, I'll help you in your specific situation.

[00:23:31] Ralph Estep, Jr.: There's a supportive family of believers who get what you're going through. And last, as I mentioned before, I do give away a hundred dollars Amazon gift card every single week, because I want this to grow. This is my mission field.

[00:23:45] Ralph Estep, Jr.: And you want to know the best part? Because here is the truth. The real magic happens in our community. When you join us, you'll see others face in the exact same challenges you're facing and you'll see their comments in the chat, and you'll see that you're not alone in this, but here's the difference. You'll see people who are winning. And guess what? Their victories become an inspiration.
[00:24:10] Ralph Estep, Jr.: They become your inspiration.

[00:24:14] Ralph Estep, Jr.: So here's what I want you to do right now. You might be saying Ralph, how does this impact me? Here's what I want you to do. Take out your phone, or make a note and add, askralphpodcast.com/live to your calendar for every Tuesday night at 7:00 PM. Eastern time. Make this commitment to yourself and your financial future. Don't let another week go by feeling stuck or alone.

[00:24:37] Ralph Estep, Jr.: Join me and our incredible community this Tuesday night. Together, we'll build a stronger financial future while keeping faith at the center. Now I'm going to be looking for you on the chat and Hey, you might just walk away with that Amazon gift card. So see you Tuesday at 7:00 PM Eastern time. That's at

[00:24:53] Ralph Estep, Jr.: askralphpodcast.com/live. Well now let me break down some practical steps you can take based on what I've learned from helping countless believers like Tom. First thing you want to do. Seek Godly counsel. Partner with an estate planning attorney who understands both the legal requirements and these Christian principles. Because this isn't just about technical expertise.

[00:25:18] Ralph Estep, Jr.: You want to have an attorney that understands the technical side of this to get those words out. But it's about finding someone who shares your vision for kingdom impact. And there are Christian attorneys out there who will help you in this plan. And once you set that plan, do that regular review and pray about it. Make it a habit to prayerfully review your estate plan, especially after major life events. Because remember, this is a living document and it should reflect your growing relationship with God and His leading in your life. I don't know how many times I've seen clients go back and change that estate plan. Maybe they had a reach at the beginning for what they wanted to put in charity.

[00:26:03] Ralph Estep, Jr.: And then as the kids got older, they needed less from mom and dad. They expanded that. That contribution portion or that kingdom portion. So have that regular review on prayer.

[00:26:18] Ralph Estep, Jr.: And then be strategic about your beneficiary designations. Be intentional about designating beneficiaries on all your accounts. You should be doing that anyway. But be intentional about it. Think through that this seemingly simple step can be a powerful tool for making sure that your resources flow directly to the kingdom work that you want it to do without unnecessary delays. So that's those three things. Seek Godly counsel, regularly review it and pray about it, and strategically pick those beneficiaries.

[00:26:51] Ralph Estep, Jr.: Now tomorrow, we're going to be discussing the 7 best things for retirees to spend their savings on. That's another crucial topic for anyone planning their financial future. Remember this. My passion is to help you achieve financial success.

[00:27:04] Ralph Estep, Jr.: I want to see you live out your dreams. And I want to see you grow in your faith. And I know together, we can master your finances from that Christian perspective. So as I always end the show, stay financially savvy, and God bless you.

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