Candice Jay’s client always had a love of wildlife. Jay, a Wealth advisor with CC&L Private Capital, vividly remembers the stories her client would tell about her small animal backyard rescue operation that would take in injured animals such as birds and squirrels.
“She was just doing it on the side,” says Jay, “but it really was her true passion in life.. So, it wasn’t surprising to Jay when her client informed her that she would like to include a wildlife organization as one of the beneficiaries of her estate.
“At that moment, it was a good time to discuss her wishes for the rest of her estate,” she recalls. “I talked her through the steps of donating to this charity in her will, how it made financial sense for her, and how it would make a big difference to the organization.”
The power of giving this way
According to a study commissioned by the Will Power campaign, in the past three years, there has been a significant increase in the number of Canadians donating to charity in their will — from five to eight per cent. That’s 1.2 million more Canadians giving in their will, and an expected $37 billion in future donations.
“Traditionally, wills were thought of as just a legal way to distribute your assets,” says Laurie Fox, director of Will Power, a public awareness campaign inspiring Canadians to make a big impact by donating to charity in their will. “But now people are doing more with their wills. They are using them as a powerful tool to make change in the world and leave a legacy for future generations.”
There are many reasons why Canadians have started giving to charities in their will. Jay confirms she definitely saw an uptick in the number of will donations during and after the COVID-19 pandemic.
“I think for many Canadians, COVID meant being face to face with mortality, and many who have put off estate planning took the opportunity to start,” she explains. “COVID’s effect on unemployment also had people thinking more outwardly about how they could make a difference, like giving back to food insecurity and highest priority healthcare needs.”
With rising inflation and cost of living, people are getting more savvy about the way they donate too. Giving to charity in a will is one way they can make a big contribution without feeling the financial squeeze now.
Separating fact from fiction
As the popularity of will donations increase, long held myths are gradually falling away, like the common misconception that you can’t support both family and charity in your will. For many Canadians, even one per cent of their estate can be a sizeable contribution, with 99 per cent still left to take care of their loved ones. The Will Power legacy calculator helps you visualize what your gift to family and your favourite causes might look like.
“Donating to charity in your will doesn’t mean you can’t take care of your family” says Jay. “There are many ways to structure your assets and will so that you are simply redirecting money that would otherwise go to taxes to charitable dollars.”
Jay recommends regularly reviewing your estate and updating your will every few years. “During that review process, a qualified planner or advisor can help you maximize a gift to your favourite causes, without any large impact to the inheritance you leave your family.”
The Will Power website can connect you with knowledgeable financial planners & advisors in your area. Jay also reminds us that, “donating in a will can be a way to keep your memory alive for your loved ones,” says Jay. “They will be able to see the difference you are making, even after you are gone.”
To learn more about making an impact with your will, browse charities to support, and find resources to get started, visit willpower.ca.
