Why it matters
Legacies quietly fund a huge share of the sector, yet many charities never ask. Making it easy and tax-smart for supporters to leave a gift — with regulated specialists behind it — can transform long-term income.
Financial guidance
Legacy giving & gifts in wills
Gifts in wills are one of the biggest income sources in the sector — and one of the most neglected. This guide explains how charitable legacies work, why they are tax-efficient for donors, and how a charity can encourage them.
The short answer
A gift in a will can be transformational for a charity and tax-efficient for the donor — legacies are free of inheritance tax, and leaving 10% of an estate to charity cuts the IHT rate on the rest. Estate-planning specialists can help your supporters give this way, and help you build a legacy proposition.
The basics
In plain English
- Helping supporters include a gift in their will
- The inheritance-tax benefits of charitable legacies
- Building a legacy-giving proposition for your charity
- Working with your own wills and estate planning
- Joined-up advice for supporters who are also clients
How to get regulated advice
If and when you want it
- 1Understand the basics
This page explains, in plain English, what this area involves — so you know the questions worth asking.
- 2Find an authorised adviser
Regulated advice can only come from an FCA-authorised firm. You can search the FCA register, or ask us for an introduction to Equity & General, the firm we have an introducer agreement with.
- 3No obligation
Any introduction is optional and free. If you go on to take advice, the adviser explains any fees before anything goes ahead.
Common questions
Straight answers
Why are gifts in wills tax-efficient?
Gifts to charity in a will are exempt from inheritance tax, and leaving at least 10% of your estate to charity reduces the IHT rate on the remainder from 40% to 36%. A specialist can explain it to supporters.
Can you help us build a legacy programme?
Yes — estate-planning specialists can support both your supporters and your charity's own legacy proposition. We make the introduction and keep it joined up.
Is legacy giving really worth pursuing?
Legacies are one of the largest and most stable income sources in the charity sector. Even a modest programme can pay back many times over. It's worth a conversation.
General information only. This page explains a topic in general terms. It is not advice, a personal recommendation or a financial promotion, and it does not invite or encourage you to buy any product or service. Everyone's circumstances are different.
Regulated financial advice can only be given by a firm authorised by the Financial Conduct Authority — you can find one on the FCA register (register.fca.org.uk). Buzz Accounting is not authorised to give regulated financial advice. We have an introducer agreement with Equity & General (E&G), authorised and regulated by the FCA (No. 474163); if you would like, we can introduce you — that is entirely optional and there is no obligation.
The value of investments and any income from them can fall as well as rise, and you may get back less than you invested. Your home may be repossessed if you do not keep up repayments on a mortgage. Tax treatment depends on your individual circumstances and may change. Will-writing, trusts and some estate-planning services are not regulated by the Financial Conduct Authority.
