Have you got a Charity Investment Plan?

New Zealand is the second most charitable nation on Earth and in 2014 we donated over $1.53 billion to worthy causes. Our giving nature is a fundamental part of the Kiwi ethos and we are always happy to pitch in and help when the need arises.

But giving isn’t always easy. Once you are on a donor list there are often follow up appeals and calls for further donations. Trying to verify charities can be a time-consuming task and many good organisations simply do not have the resources to demonstrate the tangible changes that have occurred from your contribution.

FoxPlan through the Gift Trust are able to offer a solution in the form of a Charity Investment Plan.

What is it?

The Gift Trust are a not-for-profit charity operating in New Zealand since 2009. Their mission is to help donors give more meaningfully. The Gift Trust provides vetting services, advice and tax planning to ensure that donors can create the difference they want to see in the world.

A Charity Investment Plan begins with donors setting up an account with The Gift Trust. Donors can then donate to their trust account at any time on a regular or one-off basis (once a donation is made, it is irrevocable). Donors will receive a tax credit receipt at the time of donation and the funds are then invested by The Gift Trust into a fund with an agreed risk profile (like a KiwiSaver fund).

When a donor has decided on a charity that they want to donate towards, they simply instruct The Gift Trust to donate. The Gift Trust will then perform due diligence (such as the nature of giving, charity status etc.) to approve the donation and pay funds accordingly.

The Benefits

• Through the Gift Trust, donors can choose to make their contributions anonymous – eliminating follow up appeals and requests.
• The Gift Trust also will provide vetting services to ensure charity work is above board, and where donations are significant - the tangible results and records of what your contribution has achieved.
• The Gift Trust provide planning around tax to maximise the use of donation tax credits (as up to 1/3rd of donations can be rebated).
• By using an investment model, funds can grow beyond the immediate cash contribution to The Gift Trust. Any growth is tax free as well due to their charitable nature.
• Funds can be invested across multiple risk profiles from conservative to growth portfolios. There are also socially responsible investment options (click here to read about SRI).
• The Trust can review charities across New Zealand and also facilitate donations to international charities.

Put simply, The Gift Trust simplify the process of giving and provide reassurance.

How do I get started?

If you would like to put a charity investment plan in place, email the team here at FoxPlan and one of our advisers will work with you to maximise your charitable giving.

Click here to read more material from The Gift Trust.

The views and opinions expressed in this newsletter are not intended to be a personalised service for an individual retail client. The views and opinions are general in nature, may not be relevant to an individual's circumstances, and constitute class service only. Before making any investment, insurance or other financial decisions, you should consult a professional financial adviser of FoxPlan Limited.\
A disclosure statement is available on request, and free of charge.

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