Make money off unwanted life insurance
Consider donating your policy to a charity for lucrative tax credits
Why are mortgages so expensive in Canada?
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Single with no dependants and have an unwanted life insurance policy? Consider donating your policy to a charity in exchange for lucrative tax credits, instead of simply letting it lapse and getting nothing. Here’s how it works: A willing charity takes on the responsibility for paying your future premiums. In return, you get a sizeable tax receipt from the charity for the fair market value of your policy, as determined by a professional actuary. That receipt can then be used to claim federal and provincial tax credits. When you die, the charity collects your payout. “It’s a win-win for all,” says Mebs Dhalla, a financial adviser with HollisWealth, adding the strategy is becoming more mainstream.
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