CATIE: Planned Giving

Planned Giving

What is planned giving?

Planned giving is an investment in the future of the charity of your choice. You arrange now for a gift that, generally, the charity will receive at a later time.

One advantage to planned giving is that it can turn small contributions made today into much larger gifts in the future. Planned gifts also involve assets, not income, so they need not cost you anything now. In fact, they can save you money.

With planned giving, you can design your gift in such a way that you will obtain the best possible tax and financial benefits. Planned gifts include deferred gifts, such as bequests and life insurance policies, and current gifts, which are designed to maximize tax credits and minimize taxes on capital gains.

Some individuals shy away from discussing planned gifts: they feel uncomfortable contemplating arrangements associated with death. But such gifts are ones that you plan when you're alive. They also give you control over your personal and financial affairs both during your lifetime and after. And they allow you to leave a legacy.

What are my options?

Bequests
The most common form of planned giving is a bequest. Both bequests and life insurance policies are exempt from estate tax, meaning they can lead to an overall tax reduction for your estate. You can include a bequest to CATIE in your will simply by adding a line such as "I bequeath to the Canadian AIDS Treatment Information Exchange the sum of (designated amount)." Bequests are easily arranged through legal or financial advisors.

You can also call CATIE to learn specific details about how to include the charity in your estate planning. If you want to restrict the use of the bequest or establish an endowment, we can discuss the different possibilities as well. Please remember that you should seek professional advice to make sure that your planned gift fits your financial circumstances.

Life Insurance Policies
You may name CATIE as the owner of a new or existing insurance policy. Doing so entitles you to a tax receipt for both the cash value of the policy and any premiums paid during your lifetime or when your estate is settled. As an alternative, CATIE can be the beneficiary but not the owner of the policy. Generally in this case, however, no tax receipt will be issued, since this type of gift is considered revocable. The exception to this rule applies if you arrange for the proceeds to be paid to the estate and then make a bequest to CATIE for an equivalent amount. For more information, talk to your insurance agent or CATIE.

To find out more or to discuss the available options, please call the Director, Operations and Resources at 416.203.7122 extention 223 or toll-free at 1.800.263.1638 extention 223. All matters discussed will be held in strict confidence, and your inquiries will indicate no obligation on your part.