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Planned Giving vs. Regular Charitable Donations

Planned Giving vs. Regular Charitable Donations
Planned Giving vs. Regular Charitable Donations

Over the past decade or so Canada has been one of the top ten most charitable countries. Making charitable donations has become a regular aspect of life for many high-net-worth individuals and families. But what is planned giving and how is it different from making regular charitable donations?

What is Planned Giving?

Rather than looking at planned giving as a product, planned giving is a “process” of donating planned gifts.

Planned giving, sometimes called “legacy giving” or “legacy gift planning,” can allow philanthropic-minded individuals to provide significant gifts to charitable organizations, which otherwise might be difficult with their current income.

Simply put, planned giving is the process of making a significant charitable gift over time during the individual’s lifetime or at death, as part of the individual’s overall financial and/or estate plan.

A planned gift can include gifts of equity, life insurance, real estate, personal property, donor’s retirement plan, and/or cash, among others.

How can Planned Giving Benefit Charitable Organizations and You?

Planned gifts are typically the largest donations a charitable organization receives, along with major endowments.

By planning ahead it is possible to benefit from certain tax strategies associated with planned giving by enlisting professionals for guidance. They can help you benefit you through tax deductions that are meant to incentivize you to support charitable organizations, such as reducing estate taxes.

Other benefits to you can include the ability to add stipulations to your donations for a say in how your gift is used, as well as the satisfaction of leaving a legacy and being honored for your support.  

Bloom Investment Counsel, Inc. Can Be a Part of Your Plan for Giving

Planned giving can involve an array of professionals to turn your vision into action. Bloom Investment Counsel, Inc. can be a part of your plan for giving.

Established in 1985, Bloom Investment Counsel, Inc. is a well-established Toronto-based independent, privately-owned boutique investment management firm providing personalized investment management services for high-net-worth individuals and families, family offices, foundations, corporations, institutions and trusts.

We can help you create a personal investment portfolio to provide stable cashflow that can be used for your philanthropic ambitions without the need to withdraw from capital. Visit our website for more information on our personalized investment management services.

This content is provided for general informational purposes only and does not constitute financial, investment, tax, legal or accounting advice nor does it constitute an offer or solicitation to buy or sell any securities referred to. Individual circumstances and current events are critical to sound investment planning; anyone wishing to act on this content should consult with his or her financial partner or advisor.

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