Methods of Planned Giving
Please consider one of the following methods for “Planned Giving” to the parish:
- Cash Gifts
- Securities (stocks, mutual funds, bonds)
- Bequests and Estate Planning
- Tribute Giving or Gifts
- Gifts of Life Insurance
- An outright gift of cash and/or property to a charity entitles you to a charitable tax receipt. For an Ontario resident, the current combined Federal/Ontario tax credit is 20.05% for total annual donations up to $200 made by the individual. For donations in excess of $200, each additional $1 donation is entitled to a combined tax credit of 40.16%.
- When you contribute to the Offertory collection basket, you will only be entitled to a donation receipt if the Parish can identify the person making the donation – that is why it is most beneficial for you to use weekly envelopes.
- Also, if you give more than usual in any one year, you can carry over charitable credits for five years. A good financial advisor, tax planner or accountant can help you maximize every dollar you give away – they cost less than you think and will save more than you expect.
Securities (stocks, mutual funds, bonds)
Donating qualified securities (includes share listed on a stock exchange or mutual funds) is currently the most tax efficient way to donate to a registered charity in Canada. When you donate shares to a charity, there is effectively no capital gains tax on any gain received from the sale of these securities.
If you wish to donate listed securities, first obtain a “Letter of Direction” form from the Parish office, to be completed by you and provided to your broker.
There is no cost to use this gifting method. The Parish does not charge fees or commissions of any kind. We strongly encourage you to seek professional advice from a private financial professional before deciding upon any charitable gift using transfer of personal assets
Bequests and Estate Planning
A bequest in your Will to our Parish is an acknowledgment of your returning to God a portion of the gifts bestowed on you during your lifetime. Charitable bequests can have a favourable impact on your overall estate plan and positively affect gifts you make to your loved ones.
Bequests are not just for the “wealthy”. Bequests are the one charitable gift that allows your Estate to use charity tax credits against 100% of your income in the year of death. Any excess bequest amount not used in the year of death, can be claimed against taxes from the previous year as well. You can support your Parish with little effect on your loved ones’ inheritance.
A proper estate lawyer is the key to making an effective estate plan that fulfills your wishes, takes care of those you love and ensures your affairs are concluded in a fair and agreeable manner.
The Archdiocese of Toronto maintains a list of advisors in our Parish area who are available to assist in your estate planning and the preparation of a Will.
Remember that all estate planning should include appropriate consultation with a professional adviser.
Tribute Giving or Gifts
In Memorial Giving – A simple yet powerful way you can show others that your Catholic faith is important to you. One way is to request that, in lieu of flowers, donations made in your memory be directed towards your parish or favourite Archdiocesan charity. You can also make a gift in honour of a loved one’s memory. Please contact the Parish Office for more information.
Living Gifts – You can celebrate special moments in life such as a wedding, a birthday, a retirement or the reception of a Sacrament by making a gift to your parish or favourite Archdiocesan charity in the person’s honour. If you are getting married and would like to make a gift (in lieu of wedding favours), this is an extremely generous and unselfish act.
Gifts of Life Insurance
Life insurance can be a useful and low-cost way of making a charitable gift. It often makes a larger gift affordable.
To make a contribution, ownership of the policy is transferred to the charity and the charity is names as beneficiary. From a taxation perspective, the donation is valued at the policy’s cash surrender value in addition to accumulated dividends and interest. Any outstanding policy loan will reduce this value.
Also, once an insurance policy is gifted to a charity, the premium payments on that policy made by you will be considered by Canada Revenue Agency to be a charitable donation and will entitle you to a tax credit.
Again a professional advisor should be consulted before undertaking any gifting.