A Radical Financial Plan
A Net Zero Budget
A few years ago, retired teachers Doug and Karen, created a radical new financial plan. They were in their seventies and their idea was just a little reckless.
“We said to each other, ‘Let’s say we live another 20 years – wouldn’t it be nice if we ran out of money on the last day?’” Doug explains. “We thought that sounded good, so we asked each other, ‘Can we risk giving it away?’”
‘Let’s say we live another 20 years – wouldn’t it be nice if we ran out of money on the last day?’
Working closely with their Gift Planning Consultant at Abundance Canada, Doug and Karen agreed on a sum to give their children each year, and a matching amount for charity. Now, the fun is deciding where it will go.
Each year, Doug and Karen pick charities to support that are close to their hearts. They use Abundance Canada to help structure their giving plan, “Abundance Canada helps us plan, reaffirm where our plan is faulty, and provides the structure that allows us to easily make charity a part of our lives.”
Adding Charity to Your Financial Plan
Including charitable giving in your financial plan is a radical idea, but the benefits can prove to be profitable in many ways. A good starting point is to discuss how your philanthropic goals can be achieved with either your accountant, financial advisor or a Gift Planning Consultant at Abundance Canada.
Too many causes shouldn’t be an obstacle to our generosity.
With over 85,000 registered charities in Canada, deciding where to focus your philanthropic energy can be overwhelming. However, too many causes shouldn’t be an obstacle to our generosity. By creating a giving plan, you can set aside funds in your monthly budget that are specifically earmarked for charity. Once you have decided where you want to give, the money that has been accumulating throughout the year is ready to go to the charities of your choice.
Make it a Family Budget
Ever the teacher, Doug has taught his children about financial planning, budgeting and estate giving from an early age. He remembers that this wasn’t the case when he was growing-up, “[Giving to charity] was like a secret ballot, those things were not talked about with the kids.”
Including your children in the discussion of charitable giving can be an important life lesson. Receiving their input on where to give can help them feel connected to the causes that are important to your family.
Doug’s advice for the next generation is to give where they’re involved, “Start local and then extend charity wherever you see the need.”Retired teachers Doug and Karen came up with a radical financial plan. Could they risk giving it all away?
*Names and details changed to protect the privacy of the individuals.