While your death is not a tithing event, it is an opportunity for you to reinforce the biblical concept of a tithe to your family. For example, if a couple with four children had an estate of $600,000, a tithe of the estate would provide $60,000 for charity and $540,000 their children or approximately $135,000 for each child.

The concept of a "Child Named Charity" actually came to Barnabas Foundation through a couple who had lost a child and wanted that child's share to go to their favorite Christian charities. It has become a popular way for many people to distribute their estate.

For example, if a couple has four children and wants to have a "Child Named Charity", they divide their estate five ways; one-fifth goes to each child and one-fifth goes to their favorite Christian organizations. a "Child Named Charity" makes a strong statement to children about their parents' commitment to Christian causes. At the same time, it provides a substantial portion of the estate to their children.

Under the current tax law the federal government will allow each person to distribute a portion of their estate to their children tax-free. On anything above that amount, substantial tax must be paid. Some individuals make a decision to give as much to their children as they can, without paying tax. Everything above that amount goes to charity.

For example, if a husband and wife had an estate of $5 million and died in 2006, they could give $2.0 million each or a total of $4 million to their children tax-free. Anything above that amount would go to their favorite Christian charities. If you established a zero-tax plan prior to recent tax law changes, you should review that plan. Depending on a person's estate size and applicable tax laws, a zero tax plan bequest could be sizeable. However, with changes in the law, the charitable bequest could be eliminated altogether.

Sometimes individuals have made a decision to leave most or all of their estate to Christian charities. Many times people who make this decision have children who have substantially more assets than their parents. Or their children may have made lifestyle or financial decisions that would make it undesirable to give them any more assets. Other individuals do not have children or other family they wish to remember with a bequest, so they may leave their entire estate to charities of their choice.