Intentional Giving, Enduring Family Impact

Philanthropy is no longer an afterthought in estate planning for ultra-wealthy families; it has become a central pillar, reflecting both tax strategy and evolving family values. Charitable giving is now integrated into succession plans and family governance, shaping how wealth is passed down and used.

Globally, nearly 1 in 5 ultra-high-net-worth individuals has established a private foundation, rising to almost 30% among those with fortunes over $100 million. In Canada, donor-advised funds (DAFs) and private foundations have grown alongside expanding wealth. As one UK wealth report observed, “Philanthropy has been rising up the agenda for many clients, supported by a new generation. During a major intergenerational transfer of wealth, many younger heirs proactively raise charitable giving as one of the first issues.” Today’s inheritors want their wealth to do good, and they are ensuring estate plans make that possible.

With an expanding array of philanthropic tools available, families now have more ways than ever to align giving with their values and create lasting, meaningful impact.

Philanthropic Tools for Lasting Legacy

Donor-Advised Funds: A Popular Vehicle

One of the most popular tools is the Donor-Advised Fund (DAF). A DAF allows donors to make a charitable contribution and receive immediate tax relief while delaying the decision about which charities will ultimately benefit.

DAFs have grown rapidly as an alternative to standalone family foundations. Their appeal lies in:

● Flexibility: Families can take time to decide how to best allocate their giving.

● Administrative simplicity: DAFs spare donors the burden of managing a private charity.

● Privacy: Families can choose to give anonymously if they wish.

● Strategic planning: DAFs make it easy to commit to multi-year grants without creating complex governance structures.

In Canada, both the number of DAF accounts and the assets they hold have risen steadily, reflecting this global trend of “charitable savings accounts” becoming mainstream in wealth planning.

2. Private Foundations

For families with substantial resources and a desire for a durable public or family-facing presence, private foundations remain a go-to structure. The Weston Family Foundation is one example: in 2023 it had assets of $424 million and made $61.8 million in disbursements.

However, foundations in Canada must meet a disbursement quota, a requirement that they spend a percentage of their assets each year for charitable purposes.

3. Bequests & Lifetime Giving

Many families combine lifetime giving with charitable dispositions through their will. Estate planners in Canada often include bequests, designate charities as beneficiaries of RRSPs/RRIFs, or set up charitable trusts. These strategies enable families to take advantage of tax efficiency and guarantee the honour of their charitable intentions after their deaths.

When integrated well, these tools allow estate plans to rise above “asset transfers” and become platforms for values, impact, and intergenerational purpose.

Shifting Philosophy of Giving

Beyond the structures, the philosophy of giving itself is evolving. Many UHNW families are taking a more strategic, outcome-focused approach. Family offices increasingly employ philanthropy advisors and impact investment specialists to ensure that donations generate measurable results.

Next-generation philanthropists in particular are demanding metrics, transparency, and accountability. As a result, estate plans are beginning to embed charitable objectives directly in governance documents. For example, some family trusts require annual charitable contributions or include provisions to encourage heirs to carry forward the founders’ vision.

Lifetime giving is also on the rise. By making significant donations during their lifetimes, wealth holders can both reduce the taxable value of their estates and experience the joy of seeing their philanthropy at work.

Preparing the Next Generation

Philanthropy is also becoming a tool for family engagement and education. Many Canadian UHNW families invite younger members to serve on the boards of their family foundations or oversee specific grantmaking programs. These roles provide both apprenticeship in stewardship and a sense of shared purpose.

By involving the rising generation, families prepare heirs for larger responsibilities while reinforcing the values that underlie their wealth.

Closing Thoughts

When Canadians think about estate planning, the conversation often stops at taxes, trusts, and inheritances. But beneath the numbers is a harder question: what do we want this wealth to say about us when we’re no longer here?

As you consider your planning, ask yourself: What do I want the next generation to learn about responsibility and generosity from the way my estate is designed? Will they see wealth as something to protect only for themselves or as a tool to strengthen the world around them? These are not easy questions, but they are the ones that turn estate planning into legacy planning.

If these questions are ones your family is beginning to ask, we’d be honoured to explore them with you. Connect with us to explore how thoughtful planning can align your estate with the legacy you want to leave behind.

DISCLAIMER:

Cory Gagnon is a Senior Wealth Advisor with Assante Financial Management Ltd. The opinions expressed are those of the author and not necessarily those of Assante Financial Management Ltd. Please contact him at 403 232 8378 or visit https://beaconfamilyoffice.com/ to discuss your particular circumstances prior to acting on the information above. This material is provided for general information, and the opinions expressed and information provided herein are subject to change without notice. Every effort has been made to compile this material from reliable sources; however, no warranty can be made as to its accuracy or completeness. Before acting on the information presented, please seek professional financial advice based on your personal circumstances.

ABOUT THE AUTHOR

As the Senior Wealth Advisor at Beacon Family Office at Assante, Cory Gagnon has supported successful family enterprises to preserve, protect and transition their wealth since 2011.

Cory’s personal objective as a Wealth Advisor is simple. He is committed to supporting families to take control of the areas of their lives that truly matter to them. This commitment revolves around using specific tools and strategies that enable families to take action with confidence which will support them through life’s critical transitions.

ABOUT THE AUTHOR

As the Senior Wealth Advisor at Beacon Family Office at Assante, Cory Gagnon has supported successful family enterprises to preserve, protect and transition their wealth since 2011.

APPLE PODCASTS

YOUTUBE MUSIC

SPOTIFY

Our Core Values

Our Team

Our Partners

Integrated Wealth
Management

Complete Family
Wealth

Generational
Wealth

Family
Offices

Our Articles

Our Podcast

Our Live Webcasts