Why including a charitable bequest in your will is a great start to creating your legacy
TORONTO, September 27, 2022 /CNW/ – Think about it: only 4% of current wills contain bequests. Charities, as well as legal, accounting and financial firms that engage in estate planning with their clients, can play an important role in teaching the benefits of bequests. And although November, known as the month of the will, is fast approaching, there are still plenty of opportunities for you or your clients to start planning their inheritance.
For charities, estate planning can be one of the best strategies to encourage philanthropy. Many people who are major charitable donors have already written wills and established financial plans. This type of planning allows them to support their favorite causes during their lifetime. The next step is to show these donors the tax benefits of a charitable bequest.
Strategic philanthropy typically takes place between family members, financial advisors, and tax and legal planners. Just as important as a retirement plan, a philanthropic plan can be written in tandem with developing an estate and financial plan to include charitable giving now and in the future.
At FUNDING Matters® Inc., we understand the importance of an effective major gift and legacy program to the success of your organization. We’ve built an online tool called Giftabulator® – a virtual major and planned giving app that works hand-in-hand with you to make strategic charitable giving as easy as typing a few keystrokes. The Giftabulator® donor engagement process instantly illustrates the tax advantages of charitable giving from valued assets and estates, helping you make compelling illustrations and gift proposals.
Many charities across Canada saw the benefit of Giftabulator® acting as an extension of their own staff. You can also learn how creating smart, tax-efficient philanthropic solutions through estate planning will benefit your nonprofits and create a legacy of satisfied clients for generations to come.
Remember that charities play two main roles: they provide programs and services to fill a big gap that governments can’t or won’t fill in communities; and they raise funds for these programs and services. Support for those in need, investments in science and cultural education have made a huge difference for many during the pandemic. Overall, charities are doing very well in delivering these programs and services with limited resources, day to day and year to year.
Bill Petruckpresident of FINANCING account® Inc.a consulting firm that advises charities on fundraising and endowment campaigns, and the developer of Giftabulator®, understands that planned giving can be intimidating. “Complex terms, complex calculations, and the risk of penalties if executed incorrectly keep many fundraisers and financial advisors from discussing planned giving strategies with their donors or clients, which in turn leads to lost opportunities. costly for all parties.”
Petruck knows that many donors “could have given more in 2022 to save on taxes.” He developed Giftabulator® to facilitate the understanding of the concepts of major gift and planned gift. “When charities and advisors can teach the core capabilities of strategic philanthropy, they deliver value to their clients and that translates into value for everyone.”
Petruck is concerned that 96% of current wills do not include bequests. He stresses that charities need to educate donors about endowment based on donors’ estates and current assets. “Rather than relying on a broadly and often randomly targeted appeal for funds at the end of the year, donors and charities would benefit financially from focused discussions about the importance of giving – and a tool that shows donors how they can afford a tax-efficient donation from more valued taxable assets.”
Giftabulator® is that tool, pre-programmed with charitable giving scenarios based on region, household income tax brackets, and tax payable on valued assets such as stocks, mutual funds, registered investments, secondary assets and shares of private companies. Giftabulator® generates results in a fraction of a second to illustrate the benefits of charitable giving.
Planned giving can revitalize a fundraising program. With the right tool and with informed and supported staff, charities can maintain their giving programs and improve the financial situation of their donors.
Giftabulator® provides a tool for fundraisers and advisors in the charitable sector, helping them explore and understand major gifts, planned gifts and endowments with a user-friendly client interface.
Giftabulator® is a social enterprise founded by FUNDING Matters® Inc., dedicated to innovation in major and planned giving, philanthropy and estate planning. FUNDING Matters® is based on Canada with offices at United States and a team of engineers, lawyers, accountants, investment advisors, fundraising experts, and communicators who find joy in supporting nonprofits that do incredible work.
To date, FUNDING Matters® Inc. has generated over $620 million into new gifts for hundreds of nonprofit organizations. The innovation and evolution of Giftabultor® by the founder of FUNDING Matters® Bill Petruck on how technology and donor motivation are changing philanthropy was featured in BNN Bloomberg, The Globe and Mailand hundreds of other media.
SOURCE Funding Matters Inc.
For further information: William Petruck, President and CEO, FUNDING Matters Inc., www.fundingmatters.com, www.giftabulator.com, 416-249-0788 Office, 416-579-0870 Cell