You can create a living legacy today …. when you take some steps to save on income tax.
The objectives of the Knox United Church Foundation (Calgary) are to receive, hold and manage endowments and other funds in the form of money or other property, and to apply income or other capital from those funds yearly to support the ongoing ministry of Knox United Church, Calgary.
Your Commitment Speaks Volumes
Often when we speak to others of Knox United Church and what it means to us, we speak of a special relationship and the special place where we worship. We speak about the messages and the teachings. We speak about the sanctuary as a place for peaceful worship; we speak of the music and we speak of a desire to have all of this passed on to others despite the ravages of time and change. We are the benefactors from past generations. From time to time we also speak with pride and gratitude for all we have been afforded. Setting up a plan today creates a living legacy and will ensure that these things are enjoyed for time to come. You do not have to be wealthy to ensure the ongoing health of our Church. Everyone can contribute.
The Ultimate Journey
By His gift, you have prospered. By your gift so shall He. May wisdom be yours.
Seven Ways to Create your Living Legacy Today!
- Pledge X dollars each month. Annual contributions over $200 attract about a 40% tax refund in Alberta.
- Set up an insurance policy and name the Knox United Church Foundation as a beneficiary. In the year of your death, the Executor/Executrix of your estate can obtain a tax receipt for the face value of your policy. This will save a large amount of income tax dollars in your final tax return.
- Set up the same insurance policy and formally assign the contract to Knox Foundation. Thereafter, the Foundation gives you an annual tax receipt for the premiums paid for as many years as you continue to pay those premiums. The Foundation receives the insurance proceeds in the year of death, with no tax receipt issued at that time. If an existing insurance policy had a cash value at the time it was assigned to the Foundation, the Foundation could issue a tax receipt to the donor for that value at that time.
- When you are doing your annual review, or when you are first setting up how you and your spouse will receive your monthly/quarterly pension/RRIF/LRIF income, please consider your Legacy Planning. One option is taking a guaranteed period to at least age 90 for the younger of you and your spouse. If both of you do not live to age 90 there will be some residue available to leave as a contingent beneficiary such as Knox Foundation. If done properly, the executors handling the final taxpayer’s return will receive a Tax Saving Charity Receipt (a ‘Charity Remainder Trust’ idea). Taking this action can prevent the estate having to issue a very large cheque to Revenue Canada within six months after your date of death.
- Your gift can be securities listed on one of the stock markets, farm property, and/or a residence or rental property – each will give you a tax receipt. A Charity Tax Saving Receipt will be issued in the year that a “formal assignment” is completed and registered with the proper registry office.
- Implementing each strategy requires special training and knowledge. To ensure you avoid costly financial planning and tax mistakes please talk with a Certified Financial Planner [CFP]. If you don’t know someone, contact a Knox Foundation representative who may be able to help you find the right person.
- Have a Life Annuity or a Charity Remainder Trust issued by the Head Office of the United Church of Canada. Either way — with a Guarantee to age 90 – it will enable you to gift the residue from either plan to the Knox Foundation – and even get a Charity Tax Saving Receipt in the years you set up such a contract.
Some of these steps are complex. Please be sure to consult not only with members of the Knox Foundation Board, but also with your personal Professional Advisers – in a team approach.
Some Foundation Quick Facts
- The members of Knox United Church congregation formed the Knox United Church Foundation, of Calgary (hereafter called Knox Foundation) on May 27, 1987.
- Knox Foundation Board has access to expertise in financial planning and interpretation of Canada’s Income Tax Act as it pertains to charities.
- Your contributions are kept strictly confidential.
- Knox Foundation is an independent body that holds money in trust and invests that capital. Base capital is never used.
- Profit from that invested capital is used to further Knox Foundation’s promotion, as well as the support of Knox United Church. 3.5% of Knox Foundation’s rolling average of asset base is given yearly to the Knox Financial Board, including the Historic Building, Organ, and Memorial Garden, (known as the BOG fund) as well as to General Funds.
Some Suggestions for Additional Information
- Lawyers or Chartered Accountants with Estate Planning as a specialty.
- Find an advisor in Calgary with one of the following degrees – CFP, CAFP member, CH.F.C., or RFP, by going to www.advocis.casite, then open “Programs & Services/Find an Advisor”, or find a member of the CAGP.
- Do an Internet search for “Calgary Estate Planning Council” of the “Canadian Association of Gift Planners” and look for advisors. Maybe you know one of them.
- Catherine Hofley – National Gift Planner for the United Church of Canada.
- May we suggest that you leave the residue of the survivor’s RRIF, Annuity, or other heavily taxed asset(s) to the Knox United Church Foundation, of Calgary through your will.