GUEST COLUMN: Investigating options

Quite often people say they would like to donate more to their favourite charity but feel financially unable to do so

Quite often people say they would like to donate more to their favourite charity but feel financially unable to do so.

The use of insurance for charitable giving is just one of the many effective and easy strategies that can help you support the charitable organizations meaningful to you.

Life insurance may help increase the size of your gift to the charity you’ve chosen, and provide you with tax benefits.

There are three ways you can gift a life insurance policy to a charity:

You can purchase the insurance yourself and name the charity as beneficiary.

You can own the policy yourself and name your estate as beneficiary.

You may also choose to make the charity the owner of the insurance policy outright with you paying the premiums on the charity’s behalf. You may even gift an existing policy.

Each of these options provides the charity of your choice with the policy proceeds.

How might this benefit you?

If you purchase the insurance policy and name the charity as beneficiary or have your estate gift the insurance proceeds to the charity, the charity will issue a charitable receipt when it receives the funds.

If the charity owns the policy and you make the premium payments on the charity’s behalf, the charity will issue a charitable receipt each year for the amount you pay.

In both situations, check with your tax advisor to see how this may impact the amount of tax you pay.

Make sure you have a detailed discussion with your financial advisor about the different options that are available to you to make an informed decision.

Together you can implement insurance solutions as part of your overall financial strategy.

Bruce Shepherd is a financial advisor with Edward Jones. This article is provided for information purposes only. Please consult with a professional advisor before implementing a strategy.

 

 

Just Posted

Make a donation, get a free coffee at Vernon café

Bean to Cup is accepting donated items as part of Project Christmas Elf

WATCH: North Okanagan Knights score teddies for children in OT loss to Osoyoos

Russel Borrett’s early goal triggered the Teddy Bear Toss at Nor-Val Arena Friday night

Vernon Baseball to field high-level teams in spring 2020

Registration for the U18 Triple-A and U13 Double-A teams opens Monday

Vernon candle lighting to show compassion for lost children

The Compassionate Friends Worldwide Candle Lighting takes place Sunday, Dec. 8

Vernon Vipers go on scoring spree versus Merritt Centennials

Matt Kowalski had a hat trick and five points as the Vipers cruised to an 8-3 victory

VIDEO: Boys help rescue Cariboo bear cub

The cub, weighing just 24lbs, has been taken to wildlife sanctuary in Northwest B.C. for the winter

Campbell River mom’s iPhone containing priceless photos stolen from Victoria hospital parkade

The phone contained photos, heartbeat recordings of her late son

Miller nets winner as Canucks edge Sabres 6-5 in OT

Roussel, Leivo tally two apiece for Vancouver

‘Norovirus-like’ outbreak interrupts Bantam hockey showcase in Greater Victoria

Several athletes were sent home, quarantined on the ferry

South Okanagan volunteer dental clinic donates rotten teeth to good cause

H.E.C.K. recently gifted 47 rotten teeth to a search and rescue group in the area

$578: that’s how much your first distracted driving ticket will cost with recent premium hikes

Over 50 per cent of Canadians admitted to using phone while driving last year, according to study

Healing with honesty: Justice served 40 years later

Revelstoke senior gets house arrest for sexually assaulting stepdaughter

WorkSafe BC to investigate explosion at Princeton facility

Explosion at Envirogreen waste reclamation plant occurred Nov. 27

‘Things haven’t changed enough:’ Ecole Polytechnique anniversary prompts reflection

Fourteen women were fatally shot by a gunman at the Montreal school on Dec. 6, 1989

Most Read