The Calgary Public Library Foundation welcomes legacy gifts such as bequests, charitable gift annuities, life insurance and RRSP/RRIFs. We recommend you connect with your financial advisor on the best way to leave a Library legacy.
- Bequest The most common type of planned gift is a charitable bequest made in a will. A bequest can take the form of cash, securities, asset, donation of all or residue of the estate. Charitable receipts up to 100% of the your net income can be claimed as a charitable donation in the year of death (and preceding year, if necessary). A charitable bequest can produce a considerable tax savings.
- Charitable Gift Annuity Allows you to make an irrevocable donation of cash or investments to a charity while providing a guaranteed fixed income for life. The key with a charitable gift annuity is determining the amount of after-tax income you require. An immediate tax receipt is available for the portion of the gift that is donated to the Calgary Public Library Foundation. The payments are fixed for life, and depending on the age, a substantial portion of the income may be tax-free. A charitable gift annuity avoids probate taxes to the estate upon death.
- Life Insurance Life insurance can be an excellent vehicle for charitable giving. Charitable donations can be made through an existing or new life insurance policy. This can be done one of three ways:
- Donating an existing life insurance policy â€“ name the Calgary Public Library Foundation as the owner and irrevocable beneficiary of the policy
- Purchase a new policy designating the Calgary Public Library Foundation as the owner and irrevocable beneficiary
- Donate a policy through your will naming the Calgary Public Library Foundation as beneficiary.
There are also three ways to receive benefits:
- You may be eligible for a tax credit for the donation of an insurance policy, provided the Library Foundation is the owner and irrevocable beneficiary of the policy at the time of the donation
- You will receive a tax receipt for your policy annual premium payments and the Calgary Public Library Foundation will receive the life insurance proceeds for that policy upon death
- Upon death, your estate will receive a tax receipt for the value of the life insurance policy
Many people have significant assets in their RRSPs and RRIFs. Naming your spouse as the designated beneficiary of those plans will defer the tax liability. However, on death of the surviving spouse, the full proceeds of the RRSP/RRIF will be taxed as income in the year of death. In this instance, naming the Calgary Public Library Foundation as the beneficiary will offset the tax and will eliminate the probate fees related to the estate plan. Your estate will receive a donation receipt for the full amount of the gift. You will save probate fees and any assets that pass directly to the beneficiary without probate will remain private and confidential unlike those distributed through a will.