Lifestyle Financial PlanningAAM Philanthropy lies at the heart of human greatness

Philanthropy lies at the heart of human greatness

The act of philanthropy can be defined as a desire to promote the welfare of others, expressed especially by the donation of money to good causes, such as charities or other deserving causes. It’s not straightforward to identify precisely what qualifies as philanthropy. You could count occasionally dropping some loose change into a collection box, in which case most of us could regard ourselves as philanthropists.

The scale of giving

To fall into the category of a true philanthropist, your scale of giving probably does need to be exceptional, such as Microsoft’s Bill and Melinda Gates, whose charitable foundation endeavours to enhance healthcare and reduce worldwide poverty. If philanthropy is measured in terms of self-sacrifice, a small monthly donation by someone of modest means could also be deemed generous.

Planning is key

For anyone hoping to embark on acts of philanthropy, they should carefully plan their acts of kindness and take advice on the effect their generosity could have on their wealth. For instance, philanthropists might be able to benefit from tax advantages (subject to current IRAS rules) as allowing tax relief of up to 250% on donations made to an approved Institution of a Public Character (IPC) or the Singapore Government for causes that benefit the local community. In addition, for UK Domiciled individuals Inheritance Tax rate cuts are available for bequests to UK registered charities. This could reduce your UK IHT liability from 40% to 36% if you leave at least 10% of your estate to charity.

Arrange an appointment today with an AAM wealth manager to discuss your philanthropy goals and how to achieve them.

 

Important information

This article is intended for general circulation and information purposes only. It may not be published, circulated, reproduced or distributed in whole or part to any other person without prior consent of AAM. This article should not be construed as an offer, solicitation of an offer, a recommendation or provision of financial advice. The information does not take into account the specific investment objectives, financial situation or particular needs of any person. Advice should be sought from a licensed financial adviser before making any decisions.  Whilst we have taken all reasonable care to ensure that the information contained in this article is not untrue or misleading at the time of publication, we cannot guarantee its accuracy or completeness. Any opinion or estimate contained in this article is subject to change without notice. AAM advisory Pte Ltd is licensed by the Monetary Authority of Singapore, FA Licence no 100032.

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