Five Myths About Charitable Bequests in Canada

Last updated May 13, 2026 · 3 min read
Quick answer
The most common reasons people give for not leaving a charitable bequest are mostly myths. You do not have to be wealthy — a small percentage works. It need not come at your family's expense — a percentage gift leaves most of the estate to them. The tax benefit is real, not negligible. Adding a gift is a clause in your will, not a complex undertaking. And a percentage gift lets you commit without locking in a dollar amount you can never change.

Most people who would happily leave a little to a cause they care about never do — not because they decided against it, but because of a handful of assumptions that turn out to be wrong. They think bequests are for the wealthy, that giving means short-changing the kids, that the tax angle is a rounding error, that it requires lawyers and structures, or that they would be locking in a number forever. Clear those five myths away and a charitable gift in a will becomes what it actually is: simple, flexible, and open to anyone.

This guide takes the five myths in turn. It is general information, not advice.

Myth 1 — "You have to be wealthy"

You do not. A charitable bequest can be any size, and many charities encourage gifts as small as 1% of the residue of an estate. A modest percentage from many people adds up to a great deal, and it costs you nothing during your lifetime. Wealth is not the entry ticket; having a will is.

Myth 2 — "It takes money from my family"

Only if you let it. Structured as a percentage, a charitable gift leaves the overwhelming majority of your estate to your family — a 2% gift means 98% still goes to the people you love. You choose the split entirely, and the great majority of people who leave a charitable bequest also provide generously for family. The two are not in conflict.

Myth 3 — "The tax benefit is negligible"

It is real. A gift to a registered charity generates a donation tax credit, and gifts in the year of death can be claimed against up to 100% of net income, with any excess carried back to the prior year.[1][2] For many estates that produces a noticeable reduction in the final tax bill — sometimes enough that the gift costs the family far less than its face value.

Myth 4 — "It's complicated and expensive"

A straightforward charitable gift is a clause in your will, not a separate foundation or trust. You name the charity (legal name and number), state the gift, and add a gift-over — handled as part of making or updating your will. No special structure is required unless you want something elaborate. See charitable bequest sample wording.

Myth 5 — "I'd be locked in"

You would not. A bequest is a revocable wish in your will, not a binding pledge — you can change or remove it whenever you update your will, and it commits nothing during your lifetime. Using a percentage rather than a fixed amount also means the gift scales with your actual estate, so you never have to predict the future to get it right.

What we focus on at It's Simple Will

The Will Creator makes adding (or later changing) a charitable gift simple — a percentage of your estate or a set amount, with the charity properly identified. If a cause matters to you, the only real requirement is a will that says so. For how to word it, see charitable bequest sample wording.

Citations & sources

  1. [1]Donations and gifts — Prepare tax returns for someone who died — Canada Revenue Agency
  2. [2]P113 — Gifts and Income Tax — Canada Revenue Agency

Frequently asked questions

Do I have to be wealthy to leave a charitable gift?

No. A charitable bequest can be any size, including a small percentage of your estate. Many charities specifically encourage gifts as modest as 1% of the residue, precisely because they add up and because anyone can make one. Wealth is not a prerequisite for leaving something meaningful.

Won't a charitable gift take money away from my family?

Not if you structure it as a percentage. Leaving, say, 1% to 5% of your estate to charity still directs the overwhelming majority to your family. You decide the split, so a charitable gift and providing for your loved ones are not mutually exclusive — most people do both.

Is the tax benefit really worth it?

It is meaningful. A gift to a registered charity generates a donation tax credit, and gifts in the year of death can be claimed against up to 100% of net income, with any excess carried back to the prior year. For many estates this noticeably reduces the final tax bill.

Isn't it complicated and expensive to set up?

No. A charitable bequest is generally a clause in your will, not a separate legal structure. You name the charity, state the gift, and add a gift-over — done as part of making or updating your will. There is no separate foundation or trust required for a straightforward gift.

Do I have to decide the exact amount now and stick with it?

No. Using a percentage of your estate means the gift scales with what you actually leave, and you can change or remove it any time you update your will. A bequest is a revocable wish in your will, not a binding pledge, so it commits nothing during your lifetime.

Can I direct the gift to a specific purpose?

Often, yes, though general gifts give the charity the most flexibility to use the funds where needed. If you want to restrict a gift to a program or purpose, discuss it with the charity first so the restriction is workable, and have your lawyer word it carefully to avoid a gift that becomes impossible to fulfil.

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