Sacraments are outward signs of inward grace, instituted by Christ for our sanctification.
The principal reason for a sacramental system is found in man. It is the nature of man, writes St. Thomas (III:61:1), to be led by things corporeal and sense-perceptible to things spiritual and intelligible; now Divine Providence provides for everything in accordance with its nature; therefore it is fitting that Divine Wisdom should provide means of salvation for men in the form of certain corporeal and sensible signs which are called sacraments.
The following text is from The Catholic Encyclopedia and includes links to their site for more information:
Baptism
The Roman Catechism (Ad parochos, De bapt., 2, 2, 5) defines Baptism thus: Baptism is the sacrament of regeneration by water in the word (per aquam in verbo). St. Thomas Aquinas (III:66:1) gives this definition: "Baptism is the external ablution of the body, performed with the prescribed form of words."
Later theologians generally distinguish formally between the physical and the metaphysical defining of this sacrament. By the former they understand the formula expressing the action of ablution and the utterance of the invocation of the Trinity; by the latter, the definition: "Sacrament of regeneration" or that institution of Christ by which we are reborn to spiritual life.
The term "regeneration" distinguishes baptism from every other sacrament, for although penance revivifies men spiritually, yet this is rather a resuscitation, a bringing back from the dead, than a rebirth. Penance does not make us Christians; on the contrary, it presupposes that we have already been born of water and the Holy Ghost to the life of grace, while baptism on the other hand was instituted to confer upon men the very beginnings of the spiritual life, to transfer them from the state of enemies of God to the state of adoption, as sons of God. The definition of the Roman Catechism combines the physical and metaphysical definitions of baptism. "The sacrament of regeneration" is the metaphysical essence of the sacrament, while the physical essence is expressed by the second part of the definition, i.e. the washing with water (matter), accompanied by the invocation of the Holy Trinity (form).
Baptism is, therefore, the sacrament by which we are born again of water and the Holy Ghost, that is, by which we receive in a new and spiritual life, the dignity of adoption as sons of God and heirs of God’s kingdom.
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Confirmation
In the Western Church the sacrament is usually administered by the bishop. At the beginning of the ceremony there is a general imposition of hands, the bishop meantime praying that the Holy Ghost may come down upon those who have already been regenerated: "Send forth upon them thy sevenfold Spirit the Holy Paraclete." He then anoints the forehead of each with chrism saying: "I sign thee with the sign of the cross and confirm thee with the chrism of salvation, in the name of the Father and of the Son and of the Holy Ghost." Finally, he gives each a slight blow on the cheek saying: "Peace be with thee." A prayer is added that the Holy Spirit may dwell in the hearts of those who have been confirmed, and the rite closes with the bishop’s blessing.
The Eastern Church omits the imposition of hands and the prayer at the beginning, and accompanies the anointing with the words: "The sign [or seal] of the gift of the Holy Ghost." These several actions symbolize the nature and purpose of the sacrament: The anointing signifies the strength given for the spiritual conflict; the balsam contained in the chrism, the fragrance of virtue and the good odor of Christ; the sign of the cross on the forehead, the courage to confess Christ before all men; the imposition of hands and the blow on the cheek, enrollment in the service of Christ which brings true peace to the soul. (Cf. St. Thomas, III:72:4).
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The Eucharist
Since Christ is present under the appearances of bread and wine in a sacramental way, the Blessed Eucharist is unquestionably a sacrament of the Church. Indeed, in the Eucharist the definition of a Christian sacrament as "an outward sign of an inward grace instituted by Christ" is verified.
The investigation into the precise nature of the Blessed Sacrament of the Altar, whose existence Protestants do not deny, is beset with a number of difficulties. Its essence certainly does not consist in the Consecration or the Communion, the former being merely the sacrificial action, the latter the reception of the sacrament, and not the sacrament itself. The question may eventually be reduced to this whether or not the sacramentality is to be sought for in the Eucharistic species or in the Body and Blood of Christ hidden beneath them. The majority of theologians rightly respond to the query by saying that neither the species themselves nor the Body and Blood of Christ by themselves, but the union of both factors constitute the moral whole of the Sacrament of the Altar.
The species undoubtedly belong to the essence of the sacrament, since it is by means of them, and not by means of the invisible Body of Christ, that the Eucharist possesses the outward sign of the sacrament. Equally certain is it that the Body and the Blood of Christ belong to the concept of the essence, because it is not the mere unsubstantial appearances which are given for the food of our souls but Christ concealed beneath the appearances.
The twofold number of the Eucharistic elements of bread and wine does not interfere with the unity of the sacrament; for the idea of refection embraces both eating and drinking, nor do our meals in consequence double their number. In the doctrine of the Holy Sacrifice of the Mass, there is a question of even higher relation in that the separated species of bread and wine also represent the mystical separation of Christ’s Body and Blood or the unbloody Sacrifice of the Eucharistic Lamb. The Sacrament of the Altar may be regarded under the same aspects as the other sacraments, provided only it be ever kept in view that the Eucharist is a permanent sacrament. Every sacrament may be considered either in itself or with reference to the persons whom it concerns.
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The Sacrament of Order
From Scripture we learn that the Apostles appointed others by an external rite (imposition of hands), conferring inward grace. The fact that grace is ascribed immediately to the external rite shows that Christ must have thus ordained. The fact that cheirontonein, cheirotonia, which meant electing by show of hands, had acquired the technical meaning of ordination by imposition of hands before the middle of the third century, shows that appointment to the various orders was made by that external rite.
We read of the deacons, how the Apostles "praying, imposed hands upon them" (Acts 6:6). In II Tim., i, 6, St. Paul reminds Timothy that he was made a bishop by the imposition of St. Paul's hands (cf. 1 Timothy 4:4), and Timothy is exhorted to appoint presbyters by the same rite (1 Timothy 5:22; cf. Acts 13:3; 14:22). In Clem., "Hom.", III, lxxii, we read of the appointment of Zachæus as bishop by the imposition of Peter's hands. The word is used in its technical meaning by Clement of Alexandria ("Strom.", VI, xiii, cvi; cf. "Const. Apost.", II, viii, 36). "A priest lays on hands, but does not ordain" (cheirothetei ou cheirotonei) "Didasc. Syr.", IV; III, 10, 11, 20; Cornelius, "Ad Fabianum" in Euseb., "Hist. Eccl.", VI, xliii.
Grace was attached to this external sign and conferred by it. "I admonish thee, that thou stir up the grace of God which is in thee, through (dia) the imposition of my hands" (2 Timothy 1:6). The context clearly shows that there is question here of a grace which enables Timothy to rightly discharge the office imposed upon him, for St. Paul continues, "God hath not given us the spirit of fear: but of power, and of love, and of sobriety." This grace is something permanent, as appears from the words "that thou stir up the grace which is in thee;" we reach the same conclusion from I Tim., iv, 14, where St. Paul says, "Neglect not the grace that is in thee, which was given thee by prophecy, with (meta) imposition of hands of the priesthood." This text shows that when St. Paul ordained Timothy, the presbyters also laid their hands upon him, even as now the presbyters who assist at ordination lay their hands on the candidate. St. Paul here exhorts Timothy to teach and command, to be an example to all. To neglect this would be to neglect the grace which is in him. This grace therefore enables him to teach and command, to discharge his office rightly. The grace then is not a charismatic gift, but a gift of the Holy Spirit for the rightful discharge of official duties.
The Sacrament of Order has ever been recognized in the Church as such. This is attested by the belief in a special priesthood (cf. St. John Chrys., "De sacerdotio"; St. Greg. of Nyss., "Oratio in baptism. Christi"), which requires a special ordination. St. Augustine, speaking about baptism and order, says, "Each is a sacrament, and each is given by a certain consecration, . . . If both are sacraments, which no one doubts, how is the one not lost (by defection from the Church) and the other lost?" (Contra. Epist. Parmen., ii, 28-30). The Council of Trent says, "Whereas, by the testimony of Scripture, by Apostolic tradition, and by the unanimous consent of the Fathers, it is clear that grace is conferred by sacred ordination, which is performed by words and outward signs, no one ought to doubt that Order is truly and properly one of the Seven Sacraments of Holy Church" (Sess. XXIII, c. iii, can. 3).
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Reconciliation of a Penitent
Penance is a sacrament of the New Law instituted by Christ in which forgiveness of sins committed after baptism is granted through the priest's absolution to those who with true sorrow confess their sins and promise to satisfy for the same. It is called a "sacrament," not simply a function or ceremony, because it is an outward sign instituted by Christ to impart grace to the soul. As an outward sign, it comprises the actions of the penitent in presenting himself to the priest and accusing himself of his sins, and the actions of the priest in pronouncing absolution and imposing satisfaction. This whole procedure is usually called, from one of its parts, "confession," and it is said to take place in the "tribunal of penance" because it is a judicial process in which the penitent is at once the accuser, the person accused, and the witness, while the priest pronounces judgment and sentence.
The grace conferred is deliverance from the guilt of sin and, in the case of mortal sin, from its eternal punishment; hence also reconciliation with God, justification. Finally, the confession is made not in the secrecy of the penitent's heart nor to a layman as friend and advocate, nor to a representative of human authority, but to a duly ordained priest with requisite jurisdiction and with the "power of the keys," i.e., the power to forgive sins which Christ granted to His Church.
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Anointing of the Sick
A sacrament of the New Law instituted by Christ to give spiritual aid and comfort and perfect spiritual health, including, if need be, the remission of sins, and also, conditionally, to restore bodily health, to Christians who are seriously ill; it consists essentially in the unction by a priest of the body of the sick person, accompanied by a suitable form of words.
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Marriage
That Christian marriage (i.e. marriage between baptized persons) is really a sacrament of the New Law, in the strict sense of the word, is for all Catholics an indubitable truth. According to the Council of Trent, this dogma has always been taught by the Church, and is thus defined in canon i, Sess. XXIV: "If any one shall say that matrimony is not truly and properly one of the Seven Sacraments of the Evangelical Law, instituted by Christ our Lord, but was invented in the Church by men, and does not confer grace, let him be anathema." The occasion of this solemn declaration was the denial by the so-called Reformers of the sacramental character of marriage. Calvin, in his "Institutions", IV, xix, 34, says: "Lastly, there is matrimony, which all admit was instituted by God, though no one before the time of Gregory regarded it as a sacrament. What man in his sober senses could so regard it? God’s ordinance is good and holy; so also are agriculture, architecture, shoemaking, hair-cutting, legitimate ordinances of God, but they are not sacraments."
And Luther speaks in terms equally vigorous. In his German work, published at Wittenberg in 1530 under the title "Von den Ehesachen," he writes (p. 1): "No one indeed can deny that marriage is an external worldly thing, like clothes and food, house and home, subject to worldly authority, as shown by so many imperial laws governing it." In an earlier work (the original edition of "De captivitate Babylonica") he writes: "Not only is the sacramental character of matrimony without foundation in Scripture; but the very traditions, which claim such sacredness for it, are a mere jest;" and two pages further on: "Marriage may therefore be a figure of Christ and the Church; it is, however, no Divinely instituted sacrament, but the invention of men in the Church, arising from ignorance of the subject." The Fathers of the Council of Trent evidently had the latter passage in mind.
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