Leaving a Gift to Charity in Your Will

“During my treatment I had so much support, and I would really like to leave something to them when I pass away — can I do this?” Our Head of Private Client, Joanne, says she is often asked this question when she takes Will instructions and explores how you can benefit society by leaving money to charities.

The National Wills Register has reported that charitable giving through Wills has increased, providing individuals with an opportunity to support causes close to their hearts both during lifetime and beyond their lifetime.

Why Leave a Gift to Charity?

Leaving a charitable bequest in your Will allows you to extend your passions and values once you have passed. By supporting causes that align with your beliefs, you could have a lasting impact on issues that matter the most to you. This can include a wide range of activities, from healthcare, education, environmental, or social justice.

Charities play a vital role in the U.K., providing essential services and support to those in need. However, for these organisations to fully function they rely heavily on donations to continue this crucial work. By providing a charitable bequest within your Will, you provide that much-needed financial support to these organisations.

Tax Benefits of Charitable Giving

People often are not aware that leaving a gift in your Will to charity can also provide a tax benefit. Under inheritance tax rules, gifts to registered charities are exempt from inheritance tax. Leaving a bequest in your Will could not only support causes you care for but potentially reduce your tax burden for your beneficiaries.

How Can You Leave a Gift in Your Will?

There are two main ways: you can leave a specific gift to charity, either by way of a set monetary amount, or you could leave a share of your estate to charity.

Leaving a specific monetary gift is common, e.g., “I give the sum of £1,000.00 to Cancer Research U.K.” However, it is a good idea to keep such gifts under review to ensure that the amount falls in line with inflationary increases.

Leaving a share of your estate has the advantage of keeping up with inflation and ensuring the value of your gift is not diminished over time. For example: “I give 10% of my residuary estate to Cancer Research U.K.; I give 90% of my residuary estate to The Dogs Trust.”

It is also a good idea to include a clause within the Will to allow for charities who merge or change their name, to ensure that the charity still benefits from the gift even in the event that they have changed their name.

We’re Here to Help

Our Private Client specialists are here to help and guide you through the process of making a Will and can explain the ways you can leave a legacy to those causes you feel strongly about.