Many of us seniors have just received the $300 tax-free payment from the Government of Canada this week, a one-time payment to help us survive the financial crunch caused by the pandemic. If you are like me and have been receiving your regular company pension and CPP and OAS payments, you may not be facing financial hardship so why not share this money with those who are in need by making a donation to the charity of your choice.
The local Food Bank is certainly overwhelmed by demand at this time and the Salvation Army is busy feeding the homeless every day. The Canadian Mental Health Association is stretched to the extreme and local shelters and missions are full to capacity. Hospitals and other health facilities have been working non-stop through this pandemic and are in need of support. Colleges and Universities are trying to find extra support for students who are struggling to afford food, lodging and their education. Local churches are struggling to continue with their Outreach programs, and so many other charities are struggling to continue with their vital programming at a time when donations are drastically lower.
Given our current tax rates in Canada, giving a donation of $500 results in a tax credit of $117 so the real cost to the taxpayer is $383. Giving $400 results in a tax credit of $88 for a real cost of $312. So if you truly are one of the lucky ones who really does not need this $300 “gift” from the government, why not put the money toward helping those around you? Just donate the $300 on its own, or make a $400 donation which in the end would only cost you $12, or a $500 donation which would cost you $83.
Such a donation could help a lot of people and provide a great return for your investment. You will have the satisfaction that comes from helping others, and your community will thank you for it!