As I sit in my office, I think about the problems we here at LAFRA have in accurately distributing important information to you, our members. One of many issues that come up quite often is the matter of beneficiaries.
Whom among us has had no changes in our lives since first joining the Relief Association? A marriage or a divorce, a new baby or the death of a loved one – all of these events could trigger a change in beneficiaries. You should always be aware of whom your beneficiaries are and the order in which they are to be considered in your estate.
LAFRA has a $4,500.00 death benefit for members who are in good standing. And many of you are covered by the LAFRA Life and Accident Program – this adds another $12,000.00 to your benefit payment.
When the time comes for distribution of these funds, we have to rely on what you have listed on the beneficiary form and we must follow the order in which they are listed. Many times the beneficiary forms are not updated and these assets pass to people you did not intend to benefit because of changes due to major life events such as the death of family member, divorce, estrangement or relocation. Your estate could spend a lot of extra time in probate, costing your heirs significant time and money.
Another issue is the establishment of a trust outside of your estate. In a trust, the assets are kept out of probate and are not affected by the cost or time of a probate proceeding. By establishing a trust outside of your estate, your assets pass directly to the beneficiaries you have named. Because there are several types of trusts, you should contact an estate planning professional to determine which type of trust is right for you.
The Relief Association offers a one-time reimbursement of up to $600 for our members or surviving spouses to help you get your trust and estate plan completed. To qualify, send a copy of the receipt or statement showing you paid for these services along with your member name, address and phone number to Member Services Specialist, Maria Rodriguez, via email: mrodriguez@lafra.org
The Relief now also offers a supplemental estate planning benefit to members in good standing. Members can submit a request for a one-year financial advancement of up to $1,200 for the exclusive use of trust preparation. Check out lafra.org for the complete details.
An estate plan is really important for everyone. It will give you peace of mind knowing your affairs are in order and the comfort of knowing you’ve provided for your family. The Relief Association offers a “Getting Started Kit” which will walk you through the steps of protecting your loved ones and your assets. To request your kit, call Development & Marketing Director, Marlene Casillas, at (323) 259-5217 or email mcasillas@lafra.org
Creating a will is another important part of your estate planning. A will provides the opportunity to appoint guardians for minor children or dependents as well as an executor for the estate. The executor will serve function of gathering and disbursing the assets of the estate and handling all of the related tax issues. It’s important to choose an executor based on his or her ability to perform all these tasks.
The generous members who remember the Widows, Orphans & Disabled Firemen’s Fund in their estate plans are a special group. They’re visionary and uncommonly dedicated. We call them the Eternal Flame Society. Some of these members make planned gift arrangements to the WODFF through:
• A bequest through a will
• A gift through a living trust or other non-charitable trust
• A gift of Life Insurance
• A beneficiary designation in retirement plans, Life & Accident Benefit or Death Benefit.
• A remainder interest in a personal residence or property
Planned gift techniques such as these may enable you to make a significant contribution to help those in need, while also allowing you to achieve your own financial and estate planning goals. Contact me if you would like more information.
Andy Kuljis, Secretary
Los Angeles Firemen’s Relief Association
(323) 259-52**
andy@lafra.org