With this decade about to come to a close, here are some thoughts on how you can take steps towards creating a legacy giving strategy
For many, the end of the year not only brings the time for gift-giving but also charitable giving. As people rush to get their charitable donations in before the year’s end, charitable giving peaks with as much as 31% of annual gift-giving occurring in December.
This increase is partly fuelled by the generosity of the holiday season, but there are also tax benefits to getting your donations in before December 31st. For many, the holidays are an extremely busy time of year. This close-of-year deadline can put pressure on people to give when they don’t have a lot of time to think about the impact they’d like to create.
Don’t rush your end-of-year giving: create a giving strategy
Research shows that giving is a joyful experience, but if it feels rushed you may be left a little underwhelmed. It’s important to take time to research the organizations you are supporting and the impact your donation can create, so you can experience the true joy of giving and feel confident in your contributions.
That is one of the many benefits of giving with a donor-advised fund like Charitable Impact. You can easily add funds into your Impact Account before the end-of-year deadline and immediately get your 2019 tax receipt, without having to send the money to charities straight away. Your donation will sit safely in your account until you are ready to give it away, allowing you the time and space to think about the impact you’d like to create.
Creating a legacy with a giving strategy
Giving shouldn’t just be for the holidays. When you think about your December donations, why not take some time to think about a bigger change you’d like to see in the world? What is the long-term impact you’d like to create?
Legacy giving is an important consideration for anyone who wants to contribute to a brighter future. Perhaps you have hesitated to explore this option because you feel it is mostly for those with larger estates to pass on. In reality, we can all give something and all planned gifts have value.
As an example to highlight the scope of planned giving’s potential impact, the US National Park Foundation has an extensive planned giving program. The organization is expected to eventually receive much more as bequests from its donors who have previously given less than $10,000, compared with bequests expected from donors who have given $1 million or more in the past.
Planned gifts have benefits for both donors and charities. Donors can designate a charity to receive a planned gift without having to make an immediate commitment and can change their mind at any time. For charities, planned giving allows them to create a fund for future projects, while also engaging and connecting more closely with donors.
There are many ways you can leave a legacy through charitable giving:
Incorporate giving into your estate planning
Including giving into your estate planning ensures that the charities most important to you receive your contributions after your passing. By naming a charity, such as a donor-advised fund, in your will, you can gain the peace of mind that you will be creating a long-term impact on the causes you care about.
Give assets such as securities, life insurance & real estate
Often when we think of giving, we think of it simply as cash donations. But, did you know there are many benefits of passing forward other assets such as securities, life insurance, or even real estate? The Charitable Impact team is here to support you and answer any questions regarding giving non-cash assets.
Make giving a part of your everyday life with a donor-advised fund
There is something you can do right now to have a sustained impact. With an Impact Account, you can easily manage all of your giving all from one place. One way to amplify your giving throughout the year is to set up a recurring donation. According to Network for Good’s donation data, the average recurring donor will give 42% more in one year than those who give one-time gifts. You can add recurring funds to your Impact Account, and decide at a later date which causes you’d like to support with your charitable dollars.
Why not use end-of-year giving as an opportunity to kickstart a long-term giving plan, as a means of creating a greater impact over time? With this decade coming to a close, it’s hard not to think about the potential of the next. How can you contribute to shaping what the twenty-twenties will look like, and even the years and decades that follow? These are big questions that you don’t need to answer before the clock strikes 12 on December 31st. Take a few moments to open an Impact Account, then allow yourself the time to plan a giving strategy that aligns with your goals and vision.
The Charitable Impact team can work with you to build and manage a personalized giving plan. Act on your generosity in more ways than one by donating non-cash assets, such as publicly-traded securities, real estate, life insurance, and more. At Charitable Impact, we’re here to help you achieve your giving, your way, with our support. Call (1-877-531-0580), email ([email protected]), or chat with a member of our team (charitableimpact.com).
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