Three ways to leave a legacy through charitable giving
Philanthropy is spotlighted during ‘Leave a Legacy Month,’ in Canada. To that end, The Financial Post has a few useful suggestions to make giving a part of one’s financial routine. For the short term, cash is one way to make an impact. There are easy and efficient ways to do this regularly, for instance, by taking advantage of payroll deductions and automatic withdrawals, offered by employers and credit card services. If your goal is for longer-term estate planning after you’re gone, then you can create a personal foundation, with a mandate to disperse monies to various charities over a specified period of time. You can also bequeath assets, such as estate funds and tax shares to those organizations you wish to benefit. Donations also come with both federal and provincial tax credits. With the proper planning and professional advice, there are lots of opportunities to make a difference in our own way.
Key Takeaways:
- There are many ways to make a meaningful gift to a cause close to our hearts, either in the near term or after we are gone to those organizations that matter to us.
- With estate planning, one can bequeath specific amounts to go to charitable enterprises, or one can transfer stock shares.
- A donor advised fund allows one to make what is tantamount to a foundation with a mandate to disperse specified fund amounts to various charities over a given period of time.
“Cash donations are the most common way to make an impact on the communities you care about and it has never been easier. Many employers offer automatic payroll deductions and charitable organizations can set up pre-authorized debit options through your bank account or credit card.”