This month we’ve invited Emil McKenzie of Armstrong Watson to share his experience of working with us as a Trusted Advisor. Through his position as an advocate for the Foundation, Emil was able to refer a client to our work in the city and our impact in Leeds communities.
Here Emil tells us more about the partnership and the tax advantages available for clients looking to give to charity:
Although the principle of charity and philanthropy originated hundreds of years ago, the underlying reason for charitable giving remains the same as it always has – trying to help those less fortunate than ourselves.
There can be other motivations to consider too as we can all identify someone who has made a difference in our lives or helped us when we were in need. Some people find that the work charities do, the impact they have on their local community or how inspirational the work they do allow them to dream bigger and better.
Together with a feel-good factor that charitable giving often has, there are in fact tax advantages of gifting money to charities too, namely:
- Your donations attract tax relief through Gift Aid
- Relief from Inheritance Tax on death for charitable donations left through your will
- Tax relief on payments deducted from your payroll
As a Financial Planning Consultant based at Armstrong Watson’s offices in Leeds, I regularly meet with people who are affected in different ways. Some people want to leave a legacy behind to help others out, whilst others are affected by the virtue of something more important and emotional such as the loss of a loved one.
Personally, my experience of dealing with Leeds Community Foundation has been with a client of mine. Once LCF determined the areas she wanted to help within her local community, they guided and supported her and she found the process very simple and the benefits easy to understand.
Whatever your driver, it’s important to remember that giving money away should always be affordable and should not impact negatively upon your own standard of living to help others. Equally, the government provide every tax payer with an annual gift allowance of £3,000 which can make a substantial impact on many worthy charities.