How to include a donation to charity in your will

When writing your will or planning your estate you will be thinking a lot about who you want to leave your assets to. You could leave your family with an inheritance or you could donate to a charity you care about - perhaps even both.

Wills are an important legal method to distribute your assets, but they can also be a powerful tool to help others and the greater good. By including a donation to charity in your will you can make a lasting difference to an organisation and their cause.

Leaving a donation, regardless of its size is a personal choice and a great act of kindness. If you'd like to include a donation to charity in your will, we hope this article will help guide you.

Make or update your will

First and foremost, you need a will. If you haven't got one, you need to write one and it is good practice to work with a professional to ensure your will is legally sound and so your wishes are carried out the way you intended. This could be through a solicitor, public trustee or a reputable online platform that enables you to write a legally-valid will online.

Type of donation

Deciding to include a donation to charity in your will is a very selfless and thoughtful act and says a lot about you as a person - a wonderful gesture to be remembered for.  

There are a number of ways you can include a donation in your will, depending on your circumstances.

Residuary - a non fixed amount of money or portion that is adjusted accordingly to the value of your estate. For example, this could be a remainder of your estate once your loved ones' bequests and your debts have been fulfilled. 

Pecuniary - a specific gift or exact sum of money given. It's a good point to note that the exact amount can fluctuate over time due to inflation, so if this concerns you be mindful of your wording so the gift doesn't lose value over time.  

Specific - when a specific item is donated such as artwork, jewellery, real estate or shares which can be sold to support your chosen charity's work.

Whole or part of your estate - when you give your entire estate or any part of your estate to a single beneficiary. An act often left by people without family or beneficiaries or those wanting to achieve something truly great.

Which charity/s should I choose?

If you have decided to include a charitable donation as part of your will, you should do your research into organisations which are close to your heart to ensure their objectives align with your values.

Once you have made that correlation, you can think about how you want your donation applied. To a specific area for example; research, education, support groups or specific department or gifted for general purposes so the charity can decide where the funds are needed most. Whichever you choose, you should outline it in as much details as you can in your will.

Wording to include in your will

To avoid any misunderstanding or argument, it is important to specifically identify your preferred charity together with the absolute correct charity name, address and ABN details.

Include A Charity provide some good examples of what wording you could include in your will:

Residuary donation: I leave to (CHARITY NAME) of (CHARITY ADDRESS) Charity ABN: (xxxxx) (proportion of residue to be completed) for its general purposes and I direct that the receipt of the Treasurer or other duly authorised officer shall be a sufficient discharge to my Executors.

Pecuniary or specific donation: I leave to (CHARITY NAME) of (CHARITY ADDRESS) Charity ABN: (xxxxx) (description of item) absolutely for the general purposes of the said charity and I direct that the receipt of the Treasurer or other duly authorised officer shall be a sufficient discharge to my Executors.

Talk to your family

Besides talking with a legal professional, you should also share your final wishes to those closest to you to avoid any confusion after you die. If you choose to include a donation in your will it would be wise and thoughtful to let your family know so they can fully understand why said charity is so important to you.

And finally, be sure to reach out to your chosen charity for they would love to speak to you in person to say thank you, most organisations these days have a Bequest Officer or Legacy Manager that can help guide you through the process.

"Alone we can do so little; together we can do so much." Helen Keller

By Kirsten Jakubenko