How it works

With this type of donation, you remain the holder of the life insurance policy. The proceeds of the policy are paid to the charity of your choice upon your death.  Under the applicable tax legislation, you can bequeath this donation in your will or designate the charity as the beneficiary of your policy.

Value of the gift

The proceeds of a life insurance policy paid to a charity are deemed to be a charitable donation made immediately prior to your death.  A receipt will be issued in your name for the amount received by the charity as a tax credit for a charitable donation. Under the applicable tax legislation, only you, not your estate, can take advantage of the tax credit given for a charitable donation.

Advantages
 

• Upon your death, the principal insured under your life insurance policy will be paid directly to the charity you have designated, without compromising the property willed to your estate. The tax credit for a charitable donation to which you are entitled could reduce the tax payable after your death.
  
  
• With this type of donation, the principal amount you bequeath in your will to the charity of your choice will generally be higher than the amount it would have been if you had paid the equivalent of the premium every year..
   

Because it reconciles philanthropic objectives with tax benefits, Desjardins Financial Security Planned Giving represents a very interesting option for donors.

Note: This text must only be used for information purposes. In no case is to be construed as providing tax or legal advice

Getting Advice

To find out more about Desjardins Financial Security Planned Giving, complete the form Please have a representative contact me.