How do I make sure my gift reaches the right charity?

Use the organization's full legal name and registration number in the will. This prevents confusion with similarly named charities and reduces the risk of the gift failing.

Can a charitable gift reduce my estate taxes?

Often, yes. In Canada it can generate a donation tax credit for the estate; in the US it is generally deductible for estate tax. The exact benefit depends on current law and your situation.

Should the gift be a fixed amount or a percentage?

A percentage keeps the gift proportional as your estate's value changes, while a fixed amount is predictable. Many people choose a percentage so the gift scales with the estate.

Can I leave my whole estate to charity?

You can, but remember that spouses and dependent children may have legal claims regardless of your will. If you plan to give most or all of your estate to charity, get legal advice.

Leaving a Gift to Charity in Your Will

Leaving a gift to charity in your will — a charitable bequest — is a meaningful way to support a cause you care about, and it can also provide valuable tax benefits to your estate. A few simple drafting choices make sure your gift reaches the right place. This is general information, not legal advice — consult a lawyer in your jurisdiction.

What is a charitable bequest?

A charitable bequest is a gift to a charity made through your will. It takes effect on your death and can be a fixed amount, a specific asset, a percentage of your estate, or whatever remains after other gifts.

Charitable giving through a will lets you make a larger impact than you might be able to during your lifetime, without affecting your finances while you are alive.

What types of charitable gifts can you make?

Common forms include a specific bequest (a set dollar amount or named asset), a residual bequest (a share of what is left), and a contingent bequest (a gift that takes effect only if other beneficiaries are gone).

You can also name a charity as a beneficiary of a life insurance policy or registered account, which passes outside the will and may offer its own tax advantages.

What are the tax benefits?

In Canada, a charitable gift in a will generally produces a donation tax credit that can offset taxes owed by the estate, sometimes substantially. In the US, charitable bequests are typically deductible for estate tax purposes.

Because the rules and limits are detailed and change over time, confirm the current treatment with a tax or legal professional to maximize the benefit.

How should you word a charitable gift?

Use the charity's exact legal name and, where applicable, its registration or charity number. Names can be similar between organizations, and a mistake can send your gift to the wrong place or cause it to fail.

Decide whether the gift is unrestricted (the charity uses it where most needed) or restricted to a specific purpose. Restricted gifts should be worded carefully so they remain workable in the future.

How do you add a charitable gift to your will?

A charitable bequest is included as a clause in your will, so making or updating your will is the practical step. Confirm the charity's correct legal details before you finalize it.

iFinallyWill lets you include gifts to charity when you create your will and update them later if your wishes change, with lifetime updates included.

Frequently asked questions

How do I make sure my gift reaches the right charity?: Use the organization's full legal name and registration number in the will. This prevents confusion with similarly named charities and reduces the risk of the gift failing.
Can a charitable gift reduce my estate taxes?: Often, yes. In Canada it can generate a donation tax credit for the estate; in the US it is generally deductible for estate tax. The exact benefit depends on current law and your situation.
Should the gift be a fixed amount or a percentage?: A percentage keeps the gift proportional as your estate's value changes, while a fixed amount is predictable. Many people choose a percentage so the gift scales with the estate.
Can I leave my whole estate to charity?: You can, but remember that spouses and dependent children may have legal claims regardless of your will. If you plan to give most or all of your estate to charity, get legal advice.