Planned or Legacy Giving
Passing the Torch to the Next Generation
Are you one of millions of Canadians without directives for healthcare and finances. Each year thousands of Canadians die without a these critical estate planning documents. Too often the details involved in creating an estate plan contribute to this situation. With the information and tools provided here estate planning does not have to be a daunting task. These will help you to gather your personal information and simplify your estate planning process and put you in control.
What is Planned or Legacy Giving?
Planned giving, or gift planning, is the process of designing charitable gifts so that the donor realizes philanthropic objectives while maximizing tax and other financial benefits. Generally, a planned gift is any gift made with forethought about the benefits to the Foundation and the financial implications to the donor and the donor’s family.
Planned gifts are often equated with deferred gifts such as bequests, life insurance policies, and similar arrangements where the commitment is made now but the funds are not available to the charity until some future time. While the majority of planned gifts are deferred, gift planning also includes outright gifts, as well as monthly or annual giving. A planned gift can be a major gift to support present Foundation needs, consisting of securities or real estate, structured and timed to limit any tax on capital gain and obtaining full benefit of the tax credit.
Charity is as old as recorded history, reflecting the human impulse to give to others. The government of Canada encourages charitable giving with numerous tax incentives, and some of these are outlined in this paper. For more information, we invite you to contact our office. We also encourage you to consult your own financial and legal advisor for a full discussion of the tax implications of charitable gifts as they apply to your situation.
What is the Impact of Your Gift?
A planned gift to the Foundation can be invested, in perpetuity, in the Foundation’s For the Soldier Legacy Fund, an endowment fund dedicated for veterans’ support (except for gifts in-kind). The annual investment income from this Fund is used by the Trustees for programs funded by the Foundation in pursuit of the Foundation’s charitable purposes. Your one gift supports the veterans and their families year after year in perpetuity.
What are the Benefits to You and Your Family?
Gift Planning means finding a way to make an important gift to a cause you believe in while still getting the best tax benefits possible and achieving personal financial goals. You benefit from planned giving by becoming eligible for tax and estate planning advantages. You also benefit from knowing that your gift ensures the continued presence of the Foundation in helping future generations of veterans and their families.
Planned or Legacy giving often is a result of Estate Planning. Each of us should have a will and a plan that can aid an Executor is the disposition of an Estate. If you would like to create an Estate Plan or to update an existing Estate Plan, you can click on this link to download the Foundation's Estate Planning Guide.
We also provide a Survivor's Guide, a useful source of information for surviving spouses and other family members, executor's and anyone playing a role in settling an estate. (Click on this link to download PDF) (Click on this link to download Word file)
Tax Credits for Charitable Donations
As an individual donor, with income under $200,000, your charitable donations entitle you to a three-tier tax credit. The first $200 of annual donations produces a 15% federal tax credit, plus the applicable provincial credit. Donations about the annual $200 level yield a 29% federal tax credit, worth 43.7% to 53% in 2016 with provincial tax credits factored in. The combined Federal and Provincial Tax Credits for donations over $200 in 2016 are shown in this table:
|Province||Combined Federal/Provincial Credit||After-tax Cost of $1,000 Donated in 2016|
|Prince Edward Island||47.4%||$526|
|Newfoundland & Labrador||45.8%||$542|
How Do I Make a Gift?
Every donor is different. Each of us has individual family obligations and other commitments that will affect how our estates and incomes will be planned and used. We have our own preferences as to how any gifts we wish to make will be put to use. In Canada, laws governing our estates vary from province to province. Thus our situations are largely unique. We recommend that before you make a planned gift to the Foundation that you consult your financial advisor, accountant or lawyer for advice as to what is the best for you. We will honour any decision you make and we will ensure that your gift is used according to your directions and is a fitting legacy to you and your family. This site is designed to assist you to decide which way of giving best meets your situation and goals.
Read more about gift planning by downloading our Guide to Planned Giving or explore these specific options listed below and described in some detail with the tax implications of each. If you would like more information about Planned or Legacy Giving, please contact the Foundation by email at firstname.lastname@example.org or by telephone at (403) 698-5789.
The information provided on this website and in our guides is general in nature, does not constitute legal or financial advice, and should not be relied upon as a substitute for professional advice. We strongly encourage you to seek professional legal, estate planning and/or financial advice before deciding upon your course of action.
Gifts for the Present
Gifts for the Future
- Charitable Bequest
- Life Insurance
- Charitable Gift Annuities
- Charitable Remainder Trusts
- Gifts of Residual Interest
- Gift of Listed Securities
- Giving a Stripped Bond
- Giving Through Your Will
- Gifts of Retirement Fund Accumulation
Download this useful form Charitable_Donation_of_Securities_in_Kind