When giving requires sacrifice

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Making money comes easily to Abundance Canada client Bob*. As a man of faith, he recognizes that with this canny ability comes the responsibility to manage his finances well. And part of that management involves giving generously to charity. Early in his life, Bob carefully examined his finances to determine how much his family needed to live on. Once he had settled on a figure, he made that his ‘financial ceiling’. All funds that come in above the ceiling, or beyond his needs, are given away to charity. The amount fluctuates through good years and bad, but he always has something to give.

Many of our clients have a similar giving strategy as Bob’s. They have decided on a minimum amount to keep in their Gifting Fund™, which is then invested, and donations are made from the earnings of that fund. Using their Gifting Fund like a savings plan for charitable giving means that they can continue giving consistently to the charities of their choice whether it’s an abundant year or not. Maintaining a reserve also means that they have ability to give larger donations when needed.

This is a refreshing yet challenging view in today’s ‘me first’ culture. How often do we give what is left over, instead of planning to give irrespective of our circumstances? Most people intend to be generous, while few plan to be generous.  Designating an amount in your Gifting Fund that is to be invested, whether for three years or 20, provides more opportunities for generosity.

What sort of things can you give beyond your ‘ceiling’ to benefit others? Maybe it’s a secondary property you can donate in your estate, or a strategic investment that can grow over the years.

For nearly 50 years, we’ve been helping people to strategically plan their charitable giving. One of our gift planning consultants can walk you through this process by helping you understand what you have in terms of assets, review the causes you want to impact most, and the best way to achieve your philanthropic goals, including investment management options

Planned generosity doesn’t happen overnight, it involves careful thought and, sometimes, sacrifice. And the potential return on your investment in the lives of others will be priceless.

*Pseudonym used to protect the privacy of the individual.

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