Remembering a charity through your estate planning is a great way to leave a lasting legacy. In honour of Make-a-Will Week, we chatted with Victoria-based lawyer Fiona Hunter who answered three frequently asked questions to help you navigate the process.
What types of charitable gifts can I make in my will?
You can give a cash legacy of a specific amount or allocate a portion of your estate to a charity. Make sure to include a provision in your will that allows your executor to satisfy the gift with appreciated securities.
You can also name a charity as the beneficiary of all or part of your life insurance policies and registered funds like RRSPs, TFSAs and pension plans that permit designated beneficiaries — even if you don’t have a will.
What are the benefits of making a charitable gift?
The most important benefit is knowing that your gift will impact a cause you believe in.
There are also tax benefits, such as:
- The estate can use the full amount of the gift to offset any income arising in the tax return for the year of death, and potentially elect to carry back and forward any unused portions of the tax receipt.
- Any capital gains on securities donated to the charity to satisfy the gift are not taxable.
How do I balance providing for loved ones and leaving a gift to charity?
Remember that your will is the last statement you make to friends and family, so be sure to take the time to discuss your estate plans with your loved ones. This will help avoid disappointment or any other potential issues.
To learn more about leaving a gift through your estate to the BC Cancer Foundation, please reach out. We’re happy to work with you and your financial and legal advisors: 1.888.906.2873 or legacy@bccancer.bc.ca.
Disclaimer: The above information is general in nature and is not intended as legal or tax advice. In any legal documents, be sure to use the name “BC Cancer Foundation” and registration number “11881 8434 RR0001.”
