BCBusiness

S p e c i a l F e a t u r e gains in value can be taxable at a much higher rate than the approximate 1.4 per cent probate fee. "The bottom line is none of us wants to leave a legacy of bitterness or expense— but by not consulting with a lawyer, you put your legacy at risk to the unknown." One issue that often arises in discussions with clients who are committed to charitable giving is: How can I encourage my children to also give back to the community?‰ A solution for very wealthy individuals is to establish a private foundation during their lifetime.‰ Others, who expect to leave a substantial estate when they die, may wish to earmark a large portion of it to establish a private foundation in their names.‰ However, as Brian Mulholland, a partner at Edwards, Kenny & Bray LLP points out: "A private foundation needs people to run it and requires a considerable nancial commitment.‰Founders may encourage their families to get involved in the running of the foundation, but that involves a signicant time commitment, which is often not what family members are willing or able to give." Mulholland, whose rm works with many individuals and businesses who have chosen to make charitable giving part of their lives and part of the legacies they leave, suggests that: "Involving your family in your charitable activities is a great way to instill the spirit of charitable giving in them." ‰Over the past decade, Mulholland has become increasingly focused on estate planning and administration for owners of family enterprises and high net-worth individuals.‰He goes on to note that for many clients who either do not have su–cient wealth or do not wish to set aside the kind of money required to establish and fund the ongoing administration costs of a private foundation, giving to donor-managed funds or specically choosing one or two charities to support both during your lifetime and from your estate is an excellent way to create a legacy of charitable giving.‰ For clients who want to encourage their children to embrace charitable giving, Mulholland suggests: "You can begin the process by having family meetings to explain why you have chosen to support a certain charity or charities, what you do, and what you hope the outcomes from your charitable giving will be. By making the charity and the work it does familiar to them, you're increasing the chance that they will want to get involved. And if they actually begin donating their time to the cause, it's more likely that they will continue to give back, either to your chosen charity or one of their own choosing, after you're gone." ‰Dwight Dee, partner with Miller Thomson LLP, says: "We are nding more and more people expressing their desire to leave a philanthropic legacy through their estates, which makes sense in B.C. considering the wealth that is accumulating due to our high real-estate values." Miller Thomson's private client and social-impact lawyers throughout the country work with domestic and international clients alike and are well connected with advisors throughout the charitable and estate-planning sectors. "We quickly get to the heart of what a client wants and work together for practical strategies and solutions," explains Dee.‰ "This is important, because while legacies take e›ect after you're gone, e›ective planning now can ensure you get the most impact for your gift, now and in the future." With a special focus on both private client planning and charities, Miller Thomson sets up charitable gifts in wills and through trusts, and consults on donor-advised funds and establishing private foundations. Moreover, its Social Impact Group is one of the largest teams of legal experts in Canada dedicated to helping charities and other not-for-prot organizations with strategies that address legal issues and keep them ahead of changing regulations. Another option available to people who want to give back is to establish a donor-advised fund at a community foundation, which enables them to make a charitable contribution, receive tax benets, and then recommend grants from the fund over time.

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