Ways to Give
You Can Give Now
Cash gifts are one of the simplest ways to give—the donor will receive a tax receipt for the amount donated. The receipt provides a tax credit to reduce the total tax payable in the year you make the donation.
Securities that have appreciated over time are an effective way to maximize charitable giving, while minimizing tax burdens. Not only will you receive a tax credit for the fair market value of securities on the day of donation but you will also pay no tax on the capital gains, provided the gift is a qualifying security (listed on a public exchange), bond or a mutual fund. The charity that ultimately receives the security gets the benefit of the entire fair market value of the security. If you were to sell the security first and then donate the proceeds, the tax result would not be nearly as beneficial.
You Can Give Later
There are several options for deferred gifts that offer tax benefits and preservation of economic security for you and your loved ones.
Bequests are charitable gifts left in your will, and represent an easy and powerful method to: 1) ensure continued support for the causes that you care about; and 2) demonstrate your commitment to an ongoing legacy of philanthropy. As the first substantial charitable gift you ever make, or as part of a long history of giving, charitable bequests plant a flag as to your values and to the kind of world you would like to see for future generations.
Donations of RRSPs and RRIFs can support your charitable interests, while realizing significant tax advantages for your estate. The remaining proceeds of RRSPs and/or RRIFs are taxable in your final tax return. Naming Provident as your RRSP or RRIF beneficiary can offset a substantial portion of the tax owed by your estate.
Life Insurance can be used as a charitable asset, enabling you to make a substantial gift in the future. Transfer the ownership of an existing paid-up life insurance policy to Provident Foundation, or name us as the primary beneficiary. Talk to us or your insurance agent about the possibilities.
Endowments empower donors who want to give larger gifts for specific causes. An endowment is a fund from which only the income is allocated for charitable purposes, leaving the original donation intact. Once established, one may add to an endowment fund at any time; however, only you may change the rules or make decisions about distribution of income. Create a legacy with an endowment gift that allows you (or others) to donate now, with the knowledge that your contribution will continue in perpetuity. As always, feel free to contact us with your questions.