Planned Giving

A gift in your will generally involves a bequest. The benefits of leaving a gift in your will are: 

• Easy to do: Simply have your lawyer add a codicil to your existing will (i.e. you don’t have to re-write the whole will)
• Can be a fixed dollar amount or a percentage of your estate
• A tax receipt for the full market value of the donation would be issued after you pass away
• Can be cash, securities or real property (although gift of publicly listed securities (i.e. stocks, bonds, mutual funds, segregated funds) can be especially advantageous because tax that would normally be owing on the gain in value of the securities (i.e. capital gain) is deemed to be zero for a charitable gift)
• Flexible, so if your life circumstances change, the bequest can be adjusted accordingly

A gift of life insurance is simple and will have a major impact. The benefits are:

• Would be a substantial gift to CCI at little cost, while leaving your other assets intact.
• You could name CCI as the beneficiary of a new or existing life insurance policy, in which case a tax receipt would be issued for the full amount of the policy after you pass away.
• Alternatively, you could donate an existing policy (i.e. transfer the ownership) to CCI now and take advantage of any tax benefits immediately.

Donors often look for innovative ways to support CCI. By making CCI the beneficiary of your RRSPs or RRIFs, you can protect a portion of the capital of your estate by avoiding costly estate taxes. The benefits are:

• Easy to do: Simply talk to your financial advisor.
• A tax receipt for the full amount the account would be issued after you pass away AND probate costs on your full estate would be reduced.
• You can also direct RRIF income to CCI during your lifetime

• Set up an irrevocable charitable account – like an Endowment Fund but without the high administration costs – through a financial institution’s Charitable Giving Program
• Name the account for yourself or for a loved one if you wish
• Receive a charitable tax receipt for your initial donation immediately, and additional receipts for any further contributions you make to the account.
• Use the income from the account to make annual grants to CCI (or other charities of your choice) for the duration of your lifetime and beyond.
• Once again, donating publicly listed securities to the account (i.e. stocks, bonds, mutual funds, segregated funds) instead of cash can be especially advantageous from a tax perspective.

These types of planned giving gifts are more common in the U.S. but they are an option in Canada. The benefits are:

• Transfer your donation into an irrevocable trust now, and receive a charitable tax receipt that can be used now.
• Continue to receive the investment income generated by your donation for as long as you wish, after which (upon your death, or after a set period of time), the remaining capital goes to CCI
• Alternatively, if you want to provide an income for a loved one after you’re gone, create a tax benefit for your estate AND help CCI, you could set up a Charitable Remainder Trust in your will
• Note: Unlike direct bequests and Donor-Advised Charitable Funds, donation of securities does NOT provide a tax advantage through avoidance of capital gains tax)