What is Estate Planning?
"Estate planning” refers to the overall process of preparing for the management and distribution of a person’s assets and affairs after their death. This planning process typically includes creating “estate plans” that are specific legal documents made as a part of that process, such as a Will, trusts, power of attorney, and healthcare directives. The main goals of estate planning are to ensure that an individual’s wishes are followed regarding their assets, to minimize taxes and fees, and to provide for loved ones in a way that reflects the person’s values and intentions. Effective estate planning can also help avoid disputes and ensure a smoother transition of assets to beneficiaries.
Begin the Conversation Today
Many Canadians donate to a charity that is meaningful to them. They are also leaving a gift to charity in their Will. You can too. Often, you can make a bigger contribution than what you thought possible.
When planning your estate, you can leave a lasting impact on the causes that matter most to you. Including a gift in your Will to charity is a way to celebrate your life and your personal values. A gift of this type helps the causes you care about.
SPEAK TO YOUR LOVED ONES
Discussing your estate plans with your partner or loved ones first can be a meaningful way to share your values and to make sure that your wishes are honoured. You also don’t have to choose between your loved ones or a charity — you can support both. For example, even leaving 1% of your estate to a charity can have an enormous impact, while leaving 99% of your estate to your loved ones.
Consider these questions to guide the conversation:
• How do you want to be remembered?
• How do you want your family’s story
and values to live on?
• What impact do you hope your gift
will make?
Why Include Hill House in Your Estate Plans?
HONOUR YOUR VALUES
Leaving a gift to Hill House Hospice in your Will is a meaningful way to demonstrate your commitment to compassionate end-of-life care. Whether a family member or friend had stayed at Hill House, you know your gift will help us provide comfort and dignity to individuals during their final journey. At Hill House Hospice, we believe that end-of-life care is just as important as the beginning of life. By including us in your estate planning, you ensure that your values of love, respect, and dignity continue to guide our work long into the future.
MAKE A LASTING IMPACT
Your estate gift can fund essential services at Hill House Hospice, allowing us to maintain our high standard of care without interruption. Your contribution will support personalized care, family support, and our mission to enhance the quality of life for our residents until end of life. Importantly, our services are provided at no cost to families, thus alleviating the financial worry and allowing family members to focus on their favourite memories and being sons, daughters, spouses, nieces…
Speak to Your Financial Planner and Explore Your Giving Options
There may be significant tax savings associated with different options. To understand how you can maximize your benefits, it’s advisable to consult with a financial advisor, lawyer and/or an accountant. Please note that the information provided in this document is for general guidance only and not intended as professional or legal advice.
1. A Gift in Your Will
Leaving a gift to Hill House Hospice in your Will is simple and you still maintain control over your assets during your lifetime. A “bequest” is a provision in your Will that specifies the transfer of assets or property to a beneficiary upon your death. Your bequest to Hill House Hospice can be general (a specific dollar amount of cash), specific (a particular asset like securities, real estate, property, personal belongings, a percentage or shares of your estate), or residuary (the remainder of the estate after other bequests and debts have been settled). A charitable tax receipt will be issued by Hill House Hospice to your estate, and this can decrease or eliminate your estate taxes benefitting your heirs and beneficiaries. Speak to your lawyer about creating or updating your Will.
Full legal name: Hill House Hospice Inc.
Address: 36 Wright Street,
Richmond Hill, Ontario L4C 4A1
Charitable Registration Number: 869834648 RR0001
Sample wording:
“I give to Hill House Hospice, located at 36 Wright Street, Richmond Hill, Ontario L4C 4A1, the sum of [amount in dollars] OR [percentage/number] shares of my estate OR the residue of my estate, for the purposes of supporting its highest priority needs.”
2. A Gift of Life Insurance
Consider designating Hill House Hospice as a beneficiary of your life insurance policy. This can result in a substantial donation and the charitable tax receipt can offset your taxes. You can also transfer ownership of an existing policy to Hill House Hospice or purchase a new policy specifically for charitable purposes.
3. A Gift of Securities
Donating appreciated stocks, bonds, or mutual funds directly to Hill House Hospice can offer you several advantages, including a tax efficient way to make a significant impact. You will receive the benefit of a charitable tax receipt from Hill House Hospice for the fair market value of the donated securities at closing on the day the gift is received, and you will not be subject to the capital gains tax on those appreciated assets.
Hill House Hospice will sell the shares through its investment firm, RBC Dominion Securities. If, however, you sold the securities first and then donated the proceeds, you will pay tax on the capital gain.
A gift of securities allows you to rebalance your investment portfolio, offset your taxes on other sources of income and support a cause you care about. As part of a broader estate planning strategy, you’ll help create a lasting legacy.
4. A Gift of Registered Retirement Savings Plan (RRSPS) and Registered Retirement Income Fund (RRIFS)
An RRSP is a government-registered savings plan that allows individuals to save for retirement on a tax-deferred basis. Contributions to an RRSP are tax-deductible, meaning they can reduce taxable income, and any investment growth within the plan is not taxed until the funds are withdrawn, typically during retirement when the individual may be in a lower tax bracket.
A RRIF is a financial vehicle that allows individuals to convert their RRSP savings into a source of income during retirement.
The income withdrawn from a RRSP or RRIF is heavily taxable. By naming Hill House Hospice as the beneficiary on your RRSP or RRIF, the value of the RRSP or RRIF is transferred to the charity tax-free upon your death. This means that Hill House Hospice receives the full amount without any tax deductions. Your estate will receive a charitable tax receipt for the amount transferred to Hill House Hospice, which can be used to offset any income tax owed by your estate. This can help reduce the overall tax burden on your estate.
To do this, you can simply contact your retirement plan administrator to complete a form and request to have a beneficiary change on all or part of your RRSP or RRIF.
5. A Gift of Property
Donating gifts of property to Hill House Hospice means transferring ownership of real estate, personal property, or other assets. This can include land, buildings, vehicles, artwork, or valuable collectibles. Legal documentation is required to transfer ownership to Hill House Hospice.
Donating property can provide significant tax advantages. Donors may receive a charitable tax deduction based on a professional qualified appraisal or the fair market value of the property at the time of the donation, which can help reduce your taxable income. Hill House Hospice must approve these types of gifts prior to acceptance.
Contact Us
Thank you for your thoughtful consideration and interest in supporting Hill House Hospice. If you’d like to include Hill House Hospice in your estate planning, we’re here to help you. Please reach out to discuss your options and how we can work together to create a meaningful legacy for you. If you’ve already included Hill House Hospice in your estate plans, please let us know so we can thank you!
Joanne Giannakopoulos, CFRE
Director of Development
905-737-9308 Ext. 232