Kate Clifford, Former Trustee
Why your legacy is important?
Frequently Asked Questions 
- Why make a Will?
- Do I have to go to a solicitor to make or change my Will?
- How do I make a gift to charity in my Will?
- Can I leave a gift for a specific project?
- By leaving a legacy can I save on tax?
- What wording should I use in my will?
- Can I leave a legacy to Link through my company pension?
A Will is the only way to make sure that your wishes will be carried out after your death. It is not only people with large amounts of money who need to make a Will.
It is not difficult to do, but one in five people in the UK never get round to it. Without a Will your spouse, relatives and friends may not inherit all your estate as you would have wished, and the administration may well be more difficult and expensive.
Naturally, you will be thinking first of your family and friends when you make a Will; this is important. However, when they have been considered, you may also wish to leave something to benefit others in a wider sense. To achieve this, we hope you will remember Link.
Do I have to go to a solicitor to make or change my Will?
Strictly speaking you do not have to use a solicitor but it is the best way to ensure that everything you want to do is legally clear, whether you are making a new Will or simply adding a paragraph or two to include a new gift. As a Will is a legal document, if it isn't prepared properly it may be invalid.
The solicitor will need to know the details of what you own, and also what your wishes are. It is perfectly reasonable to ask the solicitor at the start how much it will cost to draw up a Will.
However, it is possible to buy a simple Will form and do it yourself or even do it online.
How do I make a gift to charity in my Will?
There are three ways to make a gift in your Will:
- Leave a percentage of what is left in your estate after all expenses, specific gifts and debts have been paid. This is called a residuary legacy.
- Leave a specific amount of money, such as £1,000. This is a pecuniary legacy.
- Leave an item of property, such as a house, or some silver.
The advantage of leaving a residuary legacy is that whatever happens to inflation, or to your income, before your Will is settled, the gift stays in the same proportion to what you have chosen. With a pecuniary gift, its value may well be very different from what you intended when it is eventually given to Link.
Link welcomes all the gifts it receives, however large or small. A legacy does not have to be a large amount.
Can I leave a gift for a specific project?
Although you may have a special connection with a project, it is not a good idea to specify it in your Will as it may be a project that Link no longer needs to fund when your gift becomes available.
By leaving a legacy can I save on tax?
When someone dies, if their estate is over a certain threshold (currently £255,000) the amount over this threshold is liable for tax at 40% - this is called Inheritance Tax. For instance, on an estate worth £300,000, tax of £18,000 would have to be paid (i.e. £45,000 × 40%). With the increase in house prices in recent years and the increased ownership of stocks and shares, more and more people have estates worth more than the inheritance tax threshold.
However, if you leave a legacy to a charity then this gift is removed before the worth of the estate is calculated for tax. For instance, if you left a 10% residuary legacy on an estate worth £300,000 to a charity (i.e. £30,000) then this would first be removed, leaving tax to be paid on the remainder of the estate above the tax threshold (i.e. £300,000 - £30,000 = £270,000: 40% tax is paid on £15,000 = £6000).
One of the ways that inheritance tax can be avoided completely is by leaving everything above the tax threshold to charity.
What wording should I use in my will?
Please make sure your solicitor refers to this wording when leaving a gift to Link, to make sure there are no misunderstandings in your Will.
To leave a share of your estate (a residuary legacy):
I give all / a share [please state the percentage or fraction] of the residue of my estate absolutely to Link Community Development of Unit 39, Kings Exchange Business Village, Tileyard Road, London N7 9AH, Registered Charity Number 1048007, to be applied by Link Community Development for its charitable purposes, and I direct that the receipt of any proper officer of Link Community Development for the time being shall be sufficient discharge to my executors.
To leave a specific sum (a pecuniary gift):
I give to Link Community Development of Unit 39, Kings Exchange Business Village, Tileyard Road, London N7 9AH, Registered Charity Number 1048007, the sum [write in here the amount in figures and the amount in words] to be applied by Link Community Development for its charitable purposes, and I direct that the receipt of any proper officer of Link Community Development for the time being shall be sufficient discharge to my executors.
To leave a specific item:
I give to Link Community Development of Unit 39, Kings Exchange Business Village, Tileyard Road, London N7 9AH, Registered Charity Number 1048007, [write in here whatever you wish to give] to be applied by Link Community Development for its charitable purposes, and I direct that the receipt of any proper officer of Link Community Development for the time being shall be sufficient discharge to my executors.
Can I leave a legacy to Link through my company pension?
If you belong to a company pension scheme, you can complete an 'expression of wish' form to benefit Link Community Development or any other charity of your choice. In the event of your death, the stated proportion of the life insurance benefit will be paid to your chosen charities. The 'expression of wish' form notifies the pension fund trustees of your wishes and it is simple to do with no legal complications. However, not all company pension schemes are set up to do this so you will need to check with your employer.
If you have any further questions about leaving Link a gift in your will, e-mail us at: supportus@lcd.org.uk
