What is a Planned Gift?

A Planned Gift is a significant cash, share or property donation (major donations) made in the present but only taking effect in the future. More often than not, it's made within the framework of  financial or estate planning (with the advice of an attorney, a notary, a financial planner, a tax specialist or an accountant).

A Planned Gift enables you to immediately decide to later support this great cause. Your gift will contribute to research, the purchase of medical equipment, and a variety of activities aimed at improving the treatment of cardiovascular diseases and saving lives..

The Planned Gifts listed below also generate tax benefits determined by the type of donation chosen. With our Planned Gifts program, your tax burden is reduced and you get the satisfaction of supporting the Montreal Heart Institute in its efforts to improve the quality of life of its current and future patients.

For further information, please contact:
Claude Bourdon, Development Officer, Planned Gifts at 514 593-2525 or toll free 1 877 518-2525.

Will Donations
Life Insurance Donations
Share Donations

Will donations

Privileges

Making a will donation entitles you to join the Visionary Team of the Montreal Heart Institute Foundation. In addition, for all cumulative donations of $1,000 or more, your name will appear on the Institute's Honour Board!

How can I make a will donation?

Your donation can be made in one of the following ways:

1) A specific bequest: for example, a fixed sum of money, an art work or property. That's the most common method.

2) A percentage of your assets or a category of assets such as all of your stock market shares.

3) Bequeathing all of your assets to the MHI Foundation. Your legal advisor can help you draft a last will and testament. You can also communicate with us to obtain further information.

A few misconceptions to clear up:

1 ) If you make a will, you'll die.
FALSE!
On the contrary. People gain added peace of mind knowing their estate will be settled according to their wishes and their loved ones will be spared needless headaches.

2) You need a lot of money to make a will donation and I don't want to disinherit my family.
FALSE!
Any amount donated is valid, and your will donation will only affect a portion of your assets, so you can still look after your loved ones while helping a cause that's close to your heart.

3) I already have a will, so it's too late to make a will donation.
FALSE!
A will is a document that changes as you do, so it's sometimes necessary to update it.

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Life Insurance Donations

3 ways to make a life insurance donation:

1 ) Assignment
You have a life insurance policy that you wish to assign to the Montreal Heart Institute Foundation, who then becomes theowner and beneficiary.

A tax receipt will be issued to you for the accumulated buyback value of the policy. You will then receive an annual tax receipt for the value of premiums paid in the year.

At the time of your death, the guaranteed capital will be paid to the Montreal Heart Institute Foundation. Your estate will not be entitled to a tax receipt since you will have made the donation in your lifetime.

2 ) Purchase
You buy a new life insurance policy and designate the Montreal Heart Institute Foundation as the owner and beneficiary.

You will then receive an annual tax receipt for the value of the premiums paid in the year.

At the time of your death, the guaranteed capital will be paid to the Montreal Heart Institute Foundation. Your estate will not be entitled to a tax receipt since you will have made your donation in your lifetime. (See example below).

3 ) Designation
You buy a life insurance policy or change one and designate the Montreal Heart Institute Foundation as the beneficiary. At the time of your death, the guaranteed capital will be paid to the Montreal Heart Institute Foundation and a tax receipt will be issued to your estate in order to benefit from reducing or vacating post-death taxes.

An exemple:
Purchase of a new policy and donation to the ICM Foundation. Mrs. Goodhumour, a 40 year-old non-smoker in excellent health, learns that her cousin received excellent care at the Montreal Heart Institute and would like to make a donation.

With the help of her broker and after speaking to the person in charge of the Gift Planning Program at the Montreal Heart Institute Foundation, she buys a new policy designating the Research Fund as the owner and beneficiary.

At the time of her death, Mrs. Goodhumour will have spent $6,000 for a $100,000 donation to the MHI Foundation. Here's why:

• Mrs. Goodhumour pays premiums of $100 per month, or $1,200 per year.
• She receives an annual tax receipt of $1,200.
• She is entitled to a $600 tax credit ($1200 X tax rate of 50%*).
• She is therefore actually spending $600 per year, i.e. $1,200 - $600 = $600.
• The premium is payable over 10 years.
• The total net cost of her donation is $6,000 (10 years x $600).
• At the time of her death, the insurance company will pay the Montreal Heart Institute Foundation an amount of $100,000.

*Tax rates may vary from year to year, depending on government budgets.

Why donate by way of life insurance?

• To save on your income taxes.
• To make a signification donation for an often small investment.
• To avoid having creditors or income taxes affect the guaranteed capital, which is paid directly to MHIRF, without going through your estate.
• To help a cause that's close to your heart!

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Share Donations

New!

Following the adoption of the Harper Budget on May 2, 2006, donations of publicly listed securities to public charities are immediately exempted from capital gains tax.

Privileges

For all cumulative donations of $1,000 or more, your name will appear on the Institute's Honour Board! You will also have the satisfaction of knowing you helped the Institute in its efforts to maintain the excellence of its care.

What kind of shares can I donate?

• Shares, debt obligations and rights listed on prescribed stock markets.
• Capital stock of a mutual fund corporation.
• Units of a mutual fund trust.
• Interest in a related segregated fund trust.
• Prescribed debt obligations.

Income tax from the exercise of stock options can be reduced in a similar way if the shares or their value are donated.

How do I make a share donation?

1) Tell your broker you want to transfer your shares to the Montreal Heart Institute Foundation. Transferring your shares to us directly, versus donating the proceeds from the sales of your shares, will save you more money. (See example below.)
2) Either you or your broker must notify us.
3) An electronic transfer will be made between your broker and the MHI Foundation.
4) You will immediately receive a tax receipt corresponding to the market value of the shares as of the date of the donation.

Donor Confirmation Form

Why donate by way of pulic shares from my portfolio?

• To benefit from a tax measure that will save you 50% on your taxes.
• To realize, at a lower cost, the accumulated capital gain on shares held for a number of years.
• To help a cause that's close to your heart!

Here's why :

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