Big Gifts! Using CanadaHelps for Gifts of Securities

BIG Gifts! Using CanadaHelps for Gifts of Securities September 29, 2010 For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Reminders You can hear us, but we can’t hear you Type questions in the Questions Log Presentation slides will be available on Slideshare Turn up your volume For the best webinar experience, close all other applications. For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

CanadaHelps.org What is CanadaHelps? A public charitable foundation that provides accessible and affordable online technology to both donors and charities. For Charities A cost-effective means of raising funds online. For Donors A one-stop-shop for giving. CanadaHelps is a charity helping charities. For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Today’s Presenter Mike Henry Client Services Coordinator For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Webinar Agenda 1. Tax Benefit Overview 2. Accepting & Processing Gifts of Securities • Without CanadaHelps • With CanadaHelps 3. Tips for Success 4. Frequently Asked Questions 5. Q & A For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

TAX BENEFIT OVERVIEW For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Tax Benefit Overview • If a donor owns securities or mutual funds that have grown in value, they will face a tax bill upon selling them • Charitable donations of publicly listed securities to registered charities are exempt from capital gains taxation For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

What does this mean for donors? • Tax Advantages • Eliminate capital gains tax bill • Opportunity • An opportunity to make a significant gift • Recognition • Their gift can be honoured during their lifetime For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

What does this mean for charities? • Bigger donations • Another significant donation source For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

ACCEPTING & PROCESSING GIFTS OF SECURITIES For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Accepting gifts of securities on your own • Requirements: • Brokerage account • New forms and procedures for receipting, processing, etc. • Train and inform staff For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Accepting gifts of securities is easy & hassle-free with CanadaHelps! • No need to get a broker • No need to set up a brokerage account • No administrative hassles For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Donating Securities through CanadaHelps 1. Donor fills in information online on www.CanadaHelps.org 2. Donor submits the Letter of Authorization to their financial advisor 3. The financial advisor transfers the securities to the CanadaHelps brokerage account 4. CanadaHelps sells the securities and forwards the sale value to your charity 5. CanadaHelps emails the donor a PDF tax receipt

TIPS FOR SUCCESS For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Let donors know you accept gifts of securities. • Include an article in your next newsletter • Dedicate a page on your website to the topic • Clearly and succinctly explain the benefits For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Outline the process on your website. • Explain that you are using CanadaHelps to process gifts of securities • Outline the process so they know what to expect • Inform donors that CanadaHelps assesses a transaction fee on each donation before disbursing it to your charity For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Let financial advisors know that your charity accepts gifts of securities. • They can consider this option for their clients • Tip: set up meetings with advisors in your organization’s neighbourhood For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Create a segmented list of donors. • Go through your donor data and create targeted lists • Develop personalized, compelling messages for these groups about donating securities For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Prepare for the Giving Season. • December is traditionally the time when most gifts of securities are made • Effective timing, messaging and repetition is important to successfully promote charitable gifts of securities to your organization For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Follow-up. • Thank donors in a timely way • Remember to include CanadaHelps donors in your charity’s regular donor recognition programs • Find donor details in your MyCharity account For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

FREQUENTLY ASKED QUESTIONS For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

What is the cost to process donations of securities through CanadaHelps? • There is a nominal 3% transaction fee deducted based on the proceeds of the sale of donated securities • Covers brokerage, transfer, banking & distribution fees For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

How much money actually goes to my charity? • CanadaHelps sells the securities and forwards the sale value to your charity (less 3%) • Please note that the CanadaHelps broker sells the securities upon receipt For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

What value is on the donor’s tax receipt? • The actual value of the donation for the tax receipt is determined on the day that the donation is received in the CanadaHelps brokerage account • Canada Revenue Agency (CRA) guidelines For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

How long does it take for a donation to reach my charity? • Generally, most securities take a few days to get to CanadaHelps once a donor submits the Letter of Authorization to their financial advisor/broker • Some securities (e.g. mutual funds) can take a few weeks • Once CanadaHelps receives the securities and they are sold, we distribute them to the charity in the next disbursement cycle • Process can take as little as a week

Who issues the tax receipt? How and when is it issued? • CanadaHelps issues and sends the tax receipt to the donor • Tax receipts are valued based on closing bid price • Tax receipts are issued and sent after securities are sold For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Where do I find out about donations of securities made to my charity? • In your MyCharity account, look for “Securities” in the Donation Source field

What if the donor manages their own investments? • Process is the same through CanadaHelps • Donor needs to provide their financial institution’s information during the donation process For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

ABOUT MYCHARITYCONNECTS

www.mycharityconnects.org Next Webinar Free online resources “The Networked NonProfit: • Information about technology Using Social Media to • Video demonstrations Accomplish More With Less” • More webinars PRESENTED BY BETH KANTER • Past webinar recordings OCTOBER 13 • Learning opportunities 1PM – 2PM • Events (Eastern Time)

Question and Answer You can hear us, but we can’t hear you Ask questions here Ask away! For audio, turn on your speakers, or Call 1-416-900-1162; Code 446-698-044

Thank you for attending! Webinar slides and recording will be up on: www.mycharityconnects.org/pastwebinars Check out www.mycharityconnects.org for resources! Questions, feedback, comments? Email us at: info@canadahelps.org

Big Gifts! Using CanadaHelps for Gifts of Securities

by CanadaHelps / MyCharityConnects

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Big Gifts! Using CanadaHelps for Gifts of Securities Presentation Transcript