Gift Planning

Gift Planning means finding a way to make an important gift to a cause you believe in – reflecting your values and priorities — while still receiving the best tax benefits possible and achieving personal financial goals.

A planned or legacy gift to the Anglican Diocese of Ontario Foundation can be made outright to the Church for its immediate use in providing grants for vitally important projects, or deferred – arranged now for completion later. Some planned gifts are designed both to support the work of God through the Church and community to provide a life income for the donor. Each type of planned gift offers benefits to the donor, and supports the mission of the Church – often working closely with community partners, making a difference in people’s lives.

An outright gift of cash is the simplest and can be the best way to give. The Foundation can use your gift immediately to help provide grants or as endowment. You receive a receipt for the full amount you have given, which means immediate tax savings.

For example, if your combined federal and provincial tax credit equals 45 per cent. A $ 5,000 gift to the Anglican Diocese of Ontario Foundation actually costs you only $ 2,750 since it results in a tax savings of $ 2,250! (The amount you can claim in charitable donations in any one year is limited to 75 per cent of your net income for that year. Any amount over that can be carried forward for up to five years.)

When you make an outright gift of listed securities (such as shares, bonds, bills, warrants, debentures, futures, and mutual fund units), you receive a special tax benefit: you will not be taxed on the capital gain. Instead, you will receive a donation receipt for the full value of the contributed securities.

The most common type of deferred planned gift is a charitable bequest – a gift which is included in your will. This can be as simple as a sentence or two in your will, or a codicil appended to it. You may give a specific sum of money:
(“I give to the Anglican Diocese of Ontario Foundation the sum of $_______ to be used for its general purposes.”)

Or you can give certain assets as stocks or parts of what remains in your estate after other bequests have been taken care of. You may, in conjunction with the Foundation, designate how you wish your bequest to be used and you may state if you wish it used immediately for grants or held as endowment.

Your estate will be entitled to a receipt for the full value of your bequest. This may significantly reduce the tax payable with your final income tax return. A tax credit will be available for donations up to 100% of your final-year net income.

A gift of life insurance can provide a significant future gift to the Foundation at a modest present cost to you. This can be done with an existing policy or a new one.

You may give the death benefit of an existing policy just by naming the Foundation or another entity as beneficiary. But to receive a current tax benefit, you must also transfer the ownership of the policy to the Foundation. This entitles you to a donation receipt for its cash value. When you make the Foundation the owner and beneficiary of a new policy, you receive a donation receipt for each of your premiums. When you die, the Foundation receives the proceeds of the policy.

When it comes to transferring your wealth to the next generation, RRSPs and RRIFs are among your most heavily taxed assets. It is, however, a simple process to name a charity, such as the Foundation, as a beneficiary of your registered account, entitling your estate to substantial tax savings.

Some planned gifts pay you back by providing you income for life. A charitable gift annuity provides both a gift to the Foundation and guaranteed payments for life for you and/or your spouse. The annuity rates depend on your age(s), but they will usually be substantially higher than G.I.C. interest. Part of your annuity payments (sometimes all of it) are tax-free.

Every donor receives a donation receipt for part of their contribution, called the gift portion. The balance is used by one of the established top-rated Canadian insurance companies to provide the life income. Our development consultant would work with you and a local insurance broker to obtain the best quotations for your own situation and current market conditions.

The information in this section of the website does not constitute legal or financial advice and show not be relied upon as a substitute for professional advice. The Foundation encourages you to seek professional legal, estate planning and financial advice before deciding on a course of action.

For further information, please contact Archdeacon John M. Robertson, Foundation development consultant.