What is planned giving? When you donate to charity, your gift may be outright and immediate, or it may be a future gift arranged now but not received by United Way of the Lower Mainland until a future date. A community donation through planned giving may allow you to give back to your community with a gift larger than you ever imagined.
United Way can assist you and your advisor to achieve your planned giving objectives in the most effective way based on your personal priorities.
For more information, please contact Warren Olson by email at email@example.com or phone 604.268.1309
Gifts of Cash
An immediate cash gift is the simplest and most common gift. The tax credits from the donation receipt are used to offset tax otherwise payable at higher tax rates. An immediate cash gift maximizes the present value of the tax savings.
Gifts of Securities
The federal budget of May 2006 eliminated capital gains on gifts of publicly traded securities to public charities. Publicly traded securities are all securities listed on Canadian and major international exchanges. This includes stocks, trust units, exchange-traded funds, warrants, etc., as well as mutual fund units and bonds. The donation must be an "in kind" transfer of the security itself, not the cash proceeds of the sale of the security. The transfer is best made electronically from the donor's investment account to the charity's custody or brokerage account. Download our Gifts of Publicly Listed Securities - Share Transfer Form.
Gifts of Property
These could be an outright gift of a capital property (for example real estate) or a gift of a residual interest. Both types of gift have unique tax advantages. As an example you may decide to transfer your residence to United Way now, but continue to use it during your lifetime. You would receive a donation receipt for the value in today's dollars of the property to be received by United Way at the end of your lifetime.
Donor Advised Funds
You enter into an agreement with United Way concerning your fund. Your substantial irrevocable gift, usually cash or securities, provides the funding and you receive a donation receipt. Income from the fund is distributed on annual basis, while the principal can be distributed after ten years. A donor advised fund allows continued donor involvement in the distribution of their gift.
A will bequest to United Way of the Lower Mainland can create a lasting legacy to perpetuate your tradition of annual gifts to support your community. Gifts of a specific cash amount or asset or a percentage of the remaining estate are popular bequest choices. Your estate receives a donation receipt for the value of your gift, providing a tax credit to reduce tax otherwise payable on your final tax return. Please click here to receive sample will clauses to be used for discussion purposes with your lawyer in preparation of your will. Sample will clauses.
Gifts of Life Insurance
Life insurance is a way to make a significant future gift at an affordable current cost with out reducing your estate available to family and friends. Making United Way the owner and beneficiary of an existing or new policy entitles you to a current donation receipt on the cash surrender value (if any), and further receipts on payment of subsequent premiums.
An alternative is to simply name United Way of the Lower Mainland as beneficiary. Instead of current donation receipts your estate receives a donation receipt when the policy proceeds are received.
Gifts of Retirement Plans
Transform tax liabilities into a charitable gift by simply naming United Way of the Lower Mainland as the beneficiary of your RRSP or RRIF plan. At the end of your lifetime the proceeds are received by United Way and a donation receipt is issued to your estate. The RRSP or RRIF tax liability due on your final tax return is entirely offset by the tax credit from the donation receipt. Similar treatment is afforded to a Registered Pension Plan - RPP.
Charitable Remainder Trusts
Assets are transferred into an irrevocable trust and you appoint a trustee to manage the assets. Under the terms of the trust you continue to enjoy the income for your lifetime or a specific duration. On termination of the trust United Way would receive the remaining assets.
In addition, you receive an immediate tax credit as a result of a donation receipt issued on set-up of the trust. The donation receipt represents the present value of United Way's interest in the trust to be received at a future time.
Charitable Gift Annuities
A Charitable gift annuity is an arrangement where you make a contribution to United Way and in exchange receive a guaranteed lifetime annuity income. United Way retains the balance of the contribution not required to purchase the annuity. If you start this annuity between age 75 - 90, you can expect fully tax free income, and partially tax-free for ages 65 - 74. Perhaps the annuitant could be an aged parent who needs financial support.
In addition, where your annuity income is fully tax free, you will receive a donation receipt, in the amount of your contribution minus your expected lifetime annuity income.
Gifts to the Endowment Fund
Your gifts to the Endowment Fund will continue to generate revenue forever. United Way of the Lower Mainland's Endowment Fund, invests your gift, protecting the principal while producing an annual income. This income partially offsets United Way's annual campaign costs - ensuring 88 cents of every donor's charitable dollar goes directly to vital services in the community. Many donors make donations to the Endowment Fund as part of their annual campaign gift, or direct a Will bequest to the Fund. United Way can assist you in establishing your own named endowment fund.