The Manifesto for Philanthropy
Lifetime Legacies
All of the South West Community Foundations have well developed policies whereby individuals may leave their legacy to the community foundation in their will. However, the Manifesto seeks a reform to mobilise philanthropy via the system of “Lifetime Legacies”, which would enable would-be donors to enjoy giving during their lifetime.
We already know that the process of engagement, between the donor and their chosen cause/interest, supported by a community foundation is likely to lead to increased giving as they become more and more engaged.
People who have a named fund with a community foundation, are also lifetime donors, however a real distinction is made in relation to an individuals propensity for continued giving. A lifetime legator may give regularly but it is more likely that they would want to transfer their assets to the community foundation during their lifetime, allowing for an income or annuity to be paid to the donor or their family for their own use during their life. The “remainder” of this interest would be transferred on the individuals death or when they no longer required the income – mirroring the system of “Remainder Trusts” operated in the US.
We believe that a working system of Remainder Trusts in the UK, alongside the creation of communities of donors who give to a related theme, rather than each trust carrying out its aims separately, would be an enlightened way forward for philanthropic giving in the UK.
