Good stewardship of our resources is a healthy way to ensure that programs we care about today will be available for tomorrow. To demonstrate a depth of commitment to the future of the Homes a planned gift, most often through an estate, will make a significant contribution to the wellness of future generations. There are many ways to make a planned gift.
a) Wills & Bequests:
A charitable bequest made through your will is a simple and impactful way of giving. Bequests are of significant value to the Homes. It is the easiest and most popular way to leave a legacy. A bequest is a future commitment that does not restrict your current financial security as both the principal and income of your estate are available during your lifetime. Leaving a gift in your will is simple. Speak to your lawyer about drafting or revising your will or adding a codicil. Letting us know that you have made a bequest allows us the opportunity to thank you today and ensure that your gift can accomplish what you would like it to.
Other benefits include:
- Satisfaction of providing a future gift while retaining control of your assets during your lifetime.
- A charitable tax receipt to your estate.
- Reduction or elimination of estate taxes through careful planning.
- An opportunity to honour or memorialize yourself or a loved one by establishing a named endowment fund.
If you plan to remember a Home in your will, some sample wording you may wish to use is:
Residual Gift in Your Will
“My estate trustee shall pay____% of the residue of my estate to (Home name, address) for the purpose of supporting the highest priority needs as determined by the Home in consultation with the Auxiliary.”
Specific Gift in Your Will
“My estate trustees shall pay the sum of $____ (or transfer assets with an equal value) to the (Home name, address) for supporting the highest priority needs as determined by the Home in consultation with the Auxiliary.”
b) Gifts of Securities:
Donate appreciated stocks, bonds, mutual funds, flow-through shares or stock option and take advantage of the tax benefits. A gift of securities is a cost-effective opportunity to transform an asset into immediate and significant support for the Homes. By donating publicly traded securities, you eliminate the capital gains tax that becomes payable if you were to sell the appreciated securities on the market and donate the proceeds from the sale to the Homes.
The benefits of donating securities include:
- Option of giving now or as part of your estate and will planning.
- Satisfaction of seeing your gift put to good use.
- A charitable tax receipt.
- No capital gains tax paid.
- Donating part of your stock and retaining the remainder for personal use.
Three simple steps: Donating a gift of appreciated securities is simple
- Determine with your financial advisor which investments will make the most philanthropic and financial impact.
- Contact us and let us know you made your gift.
- Instruct your broker to transfer securities directly to the Auxiliary/County and complete the appropriate transfer form.
c) Gift of Life Insurance Policy:
Gifts of life insurance are a cost-effective opportunity to transform modest premium payments into a significant gift for the Homes. Donors can plan now for future gifts to the Homes by designating the Auxiliary/County as the owner of a new or existing insurance policy, you continue to make premium payments and receive a charitable tax receipt for the premiums paid. If you designate the Auxiliary/County as beneficiary only, the proceeds of the policy go directly to the Auxiliary/County upon death and your estate receives a tax credit for the policy payout. Through charitable life insurance donations, donors can make larger gifts than they might otherwise have thought possible.
Life insurance presents a cost-effective way to give, whereby you can pay a nominal premium during your lifetime and leave a sizable legacy to Long-term Care. Some of the benefits of donating life insurance include: smaller current cash investment leveraged into a larger future gift; a charitable tax receipt tax; savings in your lifetime or for your estate.
- transfer of ownership of a paid-up or unpaid policy;
- retain ownership and name the Home as the beneficiary; or,
- name the Home as the owner and beneficiary.
Make a gift to the Homes by changing the beneficiary information on your RRSP or RRIF. Retirement funds are one of the best ways to grow wealth during a lifetime, but one of the worst ways to transfer wealth to the next generation as they are among your most heavily taxed assets. Registered assets can only be rolled over to a surviving spouse, but are taxed if transferred to children or next of kin unless the child has a disability.
Gifts of RRSPs or RRIFs are a tax-smart and effective way to transform these assets into significant support for the Homes. By naming the Homes as a beneficiary of registered plans, donors receive a tax receipt for the value of the plan, and avoid probate fees by removing these assets from their estate and reduce their taxes.
A gift of RRSPs or RRIFs is a worthwhile alternative to a cash gift. You can donate all or a portion of your remaining retirement funds to the Homes.
Benefits of donating RRSPs or RRIFs include:
- satisfaction of providing a future gift while retaining ownership and use of the fund during your lifetime.
- a charitable tax receipt.
- offsetting estate taxes and reducing probate fees.
- ability to donate and at the same time provide for your family by naming more than one beneficiary.
e) Charitable Gift Annuity:
The gift that gives back. A charitable gift annuity allows the more senior donors to make an immediate donation of a capital sum to the Auxiliary/County, in return for regular payments at a specified rate for life. The amount of income paid to the annuitant (donor) and the portion that is tax-free depends on the age of the annuitant. Joint life annuities, that provide income for the lifetime of both lives involved, are also available.
It is a safe investment which can offer a significantly higher cash flow return than a GIC. Annuity payments are insured by the Canadian Life and Health Compensation Corporation and can be purchased now while deferring payments to a later date. Having a portion of your investments in a charitable gift annuity ensures that you receive a stable lifetime income unaffected by fluctuating economic conditions or having to manage your investment. A charitable gift annuity provides both an immediate and future legacy to the Homes.
Your donation may be applied against 100% of your taxable income in the year of death and, to the extent the gift cannot be fully used, it can be used as a deduction for taxes paid in the immediately preceding tax year.