When Success Meets Purpose: Planned Giving After a Major Financial Milestone
After years of hard work—building a business, investing in property, or managing assets—a successful sale can be life-changing. It’s more than just a financial win; it’s a rare moment to pause, take stock, and ask: What now?
For many Australians, this kind of milestone marks more than the end of one chapter—it’s the beginning of a new one. A chance to use that success to make a real, lasting difference. Through planned giving, you can turn a portion of your financial gain into a powerful legacy—one that benefits both your family and the wider community for generations to come.
What Is Planned Giving?
Planned giving is a strategic way to support charitable causes over time. Rather than making one-off donations, you set aside a portion of your wealth—often after a capital event—and use it to support the causes you care about, year after year.
It’s not just about generosity; it’s about meaning. For individuals and families, planned giving offers a way to give purpose to money and build a philanthropic legacy that can be passed on to the next generation.
Create a Legacy with Your Capital Gain
If you’ve recently experienced a capital event—like the sale of a business or investment property—planned giving allows you to offset your capital gain using your capital to create a fund dedicated to long-term charitable giving.
Below are two of the ways to structure your planned giving:
- Private Ancillary Fund (PAF)
A PAF is a type of charitable trust that allows individuals, families, or businesses to establish their own perpetual philanthropic fund. You can donate to the fund and receive an immediate tax deduction for the full amount contributed. The funds are then invested, and 5% p.a. of the capital is distributed each year to your chosen charities.
PAFs are ideal for those who want more involvement and control over their giving strategy and investment choices.
- Public Ancillary Fund (PuAF)
If you prefer a simpler, lower-maintenance option, a PuAF might be the right fit. Your donation is pooled with those of other donors in a communal fund. Each year, at least 4% of the fund’s balance is donated to charities.
You still get the tax deduction upfront, and your contribution continues to support good causes year after year—without the responsibility of managing a separate trust.
More Than Money: Involving the Next Generation
One of the most rewarding aspects of planned giving is the opportunity to involve your children or grandchildren in your philanthropic journey. Whether through a family meeting to decide which charities to support, or by giving them responsibility in managing a PAF, it’s a chance to instil shared values and a deeper sense of purpose around wealth.
The Gift That Keeps on Giving
Planned giving is more than a tax-effective strategy. It’s about transforming financial success into a force for good—one that can enrich your family life, strengthen communities, and support the causes closest to your heart for years to come.
If you are considering establishing some sort of planned giving, speak to one of our Private Client Advisers. We’re here to guide you every step of the way.
