The benefits of generosity are greater than you think.
When you think of being generous, initially you may think the benefits of giving are for the recipient. While this is true, the benefits can be significant for the giver as well. Research has demonstrated the following benefits for the giver.
- Healthier Physically
Studies have found that people who are generous are healthier
- Healthier Mentally
Remarkably, studies also found that people who are generous have lower activity in their amygdala. A highly active amygdala results in higher anxiety.
- Healthier Relationships
Studies have found that regular, small acts of generosity towards others results in healthier relationships.
- Healthier Finances
Those who are generous financially receive significant tax deductions in Canada. After the first $200 of donations in a year, you receive a reduction off your income at the highest marginal tax rate even if you aren’t in the highest tax bracket.
The Canadian government also lets you donate shares of publicly traded companies in kind to a charity. When doing this, you get the donation credit for the full amount of shares at the time of donation and you don’t pay tax on the capital gain of the shares donated. Double bonus.
The government recognizes the incredible benefit charitable organizations bring to society through tax breaks for donations that are better than any other tax incentive.
- Longer Life
They say to save the best for last, right? Studies have found that people who are generous seem to live longer than those who are not.
It is important to clarify that generosity doesn’t have to be being generous financially. It can be serving others or volunteering for a cause important to you.
Be Generous! It’s good for others and it’s good for you!
Connect Wealth is an independent financial planning firm that offers holistic advice to clients based on their current goals and future aspirations. We use well-established workflows and cutting edge technology to maximize planning efficiencies while simplifying the process for clients. Learn how you can maximize your financial opportunities at www.connectwealth.ca