What Is Planned Giving?
Simply put, planned giving is a charitable gift that you arrange today for completion in the future. It can be a bequest by will or a gift of a life insurance policy.
How can planned giving make a difference? For donors, planned gifts allow you to leave a lasting legacy while maximizing you tax benefits.
Bequests in Your Will
A Bequest in your Will is one of the simplest and most popular ways of leaving a charitable donation. A bequest designating the Biggar and District Health Services Foundation Inc. as the beneficiary of a pre-determined portion of your estate ensures that your charitable wishes will be carried out according to your plan. Bequests can be designated to a particular health service but most commonly applied to an area in greatest need at the time your bequest is made.
Life Insurance Policies
Life insurance is the most widely held investment in Canada and because of special tax treatment to life insurance policies; it is an excellent gift planning choice.
Gift of an Existing Insurance Policy
Donors receive several benefits by gifting an existing, paid up policy. A charitable tax receipt will be issued for the cash surrender value of the policy, the gift will not affect the donor’s estate plan, and the ultimate value of the gift will have tremendous impact on the future funding of the Biggar and District Health Services Foundation Inc.
Gift of a new Policy
Gifting a new policy turns modest, short-term investment into a large, meaningful future gift and receive many benefits. The most important thing to remember when gifting a new policy is that Biggar and District Health Services Foundation Inc. must be named the owner or beneficiary of the policy. If you make regular payments on the policy, you will receive a charitable tax receipt on the annual premiums. During the time it takes you to pay off the policy, the resulting tax credit will help defray approximately 50% of the premium cost. The gift will not affect the donor’s estate plan and the value of the gift will create a lasting legacy.
How Do I Plan a Gift
For assistance with planned giving please contact the Biggar and District Health Services Foundation Inc. by email.
The information provided is general in nature and not intended to represent legal advice. We understand that each individual’s financial circumstances are unique and you are advised to consult with a qualified professional advisor.