Types of Legacy Gifts
Give Through Your Will
Making a gift to Regent in your will is one of the most common approaches to legacy giving. It’s also one of the easiest. For most people, it’s as simple as adding a couple sentences to their will. Learn more about making a gift in your will.
Case Studies
Amy and David wanted to make a $10,000 legacy gift to Regent. So, they got in touch with their attorney, who added the following sentence to their will: “I give the sum of $10,000 to Regent College (5800 University Boulevard, Vancouver, BC V6T 2E4) for its general purposes.” This will allow them to:
- Reduce the tax that will be owed on their estate.
- Maintain control of their financial resources throughout their lifetime, giving them the flexibility to change their plans if necessary.
- Determine the exact size of their gift to Regent.
Elaine decided to write a will after her brother had kids. Her first priority was to leave a nest egg for each niece and nephew, plus a few other gifts to family and friends. Once these gifts were made, she wanted the remaining value of her estate to be divided between Regent College and one other charity. She included the following language in her will: “I give 50% of the residue of my estate to Regent College (5800 University Boulevard, Vancouver, BC V6T 2E4) for its general purposes.” This will allow her to:
- Reduce the tax that will be owed on her estate.
- Ensure her loved ones will be taken care of first, regardless of the ultimate value of her estate.
- Make a gift to Regent that reflects its important place in her life.
Instructions for Giving Through Your Will
Give from Life Insurance
Making a gift through a life insurance policy is another very simple approach to legacy giving. It’s easy to set up, and it can be a great way to turn a modest investment into a substantial gift down the road.
Case Study
After decades of service with an international non-profit organization, Martin didn’t anticipate having much accumulated wealth to disperse at the end of his life. But he wanted to make a significant gift to Regent, the place that prepared him for his life’s work. So, he purchased a life insurance policy and made Regent College the sole owner and beneficiary. This will allow him to:
- Reduce his current income tax by receiving charitable gift receipts for the premiums he pays on the life insurance policy.
- Make modest payments over time that contribute to a much larger gift (the full value of the insurance policy) in the future.
- Have the satisfaction of making a legacy gift disproportionate to the size of his existing estate.
Give from a Retirement Account
Some people find that gifts made through an RRSP or RRIF can have important benefits for the heirs of their estate. These can also be among the easiest types of gifts to set up.
Case Study
Michael wanted to make a legacy gift that would also help his kids by reducing the taxes and fees that will be applied to his estate. He knew that RRSPs and RRIFs are taxed quite heavily, so he decided to make Regent College the beneficiary of his RRSP. This will allow him to:
- Reduce the tax owed on his estate with a gift receipt for the final value of his RRSP.
- Avoid probate and executor fees because the RRSP funds will go directly to Regent without passing through his estate.
- Make a sizable legacy gift to Regent with very little effort (simply updating his RRSP documents).
Gifts that Pay Income
Some types of legacy gifts are designed to allow donors to accomplish multiple things at once, such as making a significant charitable gift and securing a source of income for themselves or loved ones. These gifts tend to be more complex, so be sure to discuss your options with a qualified financial advisor who can discuss the rationale, advantages, and tax implications of the different options open to you. The following are just two possible scenarios in which a donor could make a gift that pays income.
Case Studies
Vivian decided to sell her house and use the funds she received to both make a legacy gift and secure a stable income for the rest of her life. She entered into an agreement stating that the proceeds of the sale would be invested and used to provide her with regular, guaranteed income payments. The remaining balance would be donated to Regent at the end of her life. This will allow her to:
- Ensure she receives a steady stream of income for as long as she needs it.
- Receive a charitable gift receipt for the immediate gift, reducing her current income tax.
- Reduce the value of her estate, reducing her anticipated estate taxes.
Interested? Ask your financial advisor about charitable gift annuities.
Ben and Marie wanted to help pay for their grandchildren’s education, but they also wanted to leave a legacy gift to Regent. They placed a number of securities in a trust that would make variable payments to their children throughout their grandchildren’s university years, and then give the remaining principal as a donation to Regent College after a set amount of time. This will allow them to:
- Receive a variety of tax benefits in the present and the future.
- Ensure that they are able to help their family for a particular length of time.
- Make a significant gift to Regent in the future.
Interested? Ask your financial advisor about charitable remainder trusts.
Connect with Us
If the idea of legacy giving has sparked your interest, Regent's Advancement team would love to have a conversation with you. Send us an email or give us a call, and let's talk.
Email: [email protected]
Phone: 1-604-221-3390
