On-the-GO! e-TA: March 2008 Edition

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Dear “Planned Giving” Colleague,

You may think that a Planned Giving Program is only for large organizations employing staff with highly specialized knowledge. Not so!!! Preparing your organization to receive bequests made by wills can be worked into any fundraising plan with little effort and no specialized expertise from anyone on your staff. Click on the titles at the right to learn about…

Who Makes a Planned Gift

Managing Planned Gifts

Planned Giving Terms

Do you have questions about Planned Gift Programs? Contact us through LEADline@CampaignConsultation.com.
for more information. You can still access previous issues of On-the-Go eTA by clicking on the title at the right.

Who Makes a Planned Gift?

More than $40 trillion (Yes, that is trillion!) is predicted to pass from one generation to the next between the years of 1998 and 2052, and $6 trillion is expected to go to charitable giving. Are you ready?

It’s not always possible to “plan” for planned gifts. It can be many years before a bequest will become a reality for your organization. If you keep your eyes and ears open, and you have researched your current donors, your will learn that there are some individuals who are open to including you in their wills and bequests. Here are some ideas about your best prospects:

Planned Gift Prospect	Because…
Major Donors	These individuals already have you in their sights. You need to think of ways to make an appeal for that Ultimate Gift.
Baby Boomers	Born between the years 1946 and 1964, the first of their group is now ready for retirement and thinking about disbursal of assets.
Mature individuals who do not have heavy financial obligations to children or other dependents	They want their legacy to continue after they have passed on.
Surviving spouses/life partners of someone who had a strong connection to your organization	They may wish to memorialize the work of the deceased.
Successful adult children	Here is another way to honor the family.
Single people or childless couples	A gift of a matured life insurance policy is a reasonable possibility here.
Individuals who have collected large assets	They may need to consider the tax benefits of planned gifts.
Individuals who want to simplify their lives	They are asking, ”What can we do with all this stuff.”

Sometimes a legacy comes from a very unexpected source. Here is an inspiring story of a remarkable woman in Southern Mississippi who wanted young women to have an opportunity that was never available to her.

Managing Planned Gifts

There are tax benefits for some individuals who make planned gifts. However, what motivates donors is knowing that an organization will be able to continue its good work long after the donor has departed that brings the most satisfaction. If your organization would like to establish a planned giving program, here is what you need to have in place:

An organization with a positive, well-established community image.
Relatively affluent donors and prospects over age 60.
Patience! Organization should be able to wait for gifts to “mature.” (This could take decades.)
Established guidelines for acceptance and use of gifts.
A process for recording and tracking gifts to be received at a future date.
A plan for recognizing planned gifts.
A Planned Giving Council—volunteers who will identify prospects (attorneys, bankers, estate planners, etc.)
A schedule to market planned gifts continually and consistently over a sustained time period. (brochure, response piece, newsletter, press releases, target mailings, seminars, annual report, etc.)

Some Planned Giving Terms

Planned gifts often are made as part of retirement or estate planning and the donor is working with a lawyer or financial advisor. The terms below are just some of the terms that are used by those experts in planned giving. Do not be discouraged by the seemingly complexity of these terms. If you have a donor who is interested in making a planned gift, you will need to direct that person to his/her own counsel to set up any planned gift.

Click here to go to a list of commonly used Planned Giving terms and their explanations:

Let us know

HDo you incorporate planned giving into your fundraising plans for your program? Contact us at LEADline@CampaignConsultation.com
(LEADline is sponsored by the Corporation for National and Community Service through its Resource & Fund Development Initiative.) We would be happy to answer questions or to give you more support.

Thank you for your interest in On-The-Go eTA. We encourage you to send this and other issues of OTG eTA to friends and colleagues who would benefit from the information. Also, if you’re on information-overload, you may request email removal. Otherwise OTG e-TA will be back soon with another edition.

IN THIS ISSUE:
click on titles below to read full articles

Who Makes a Planned Gift

Managing Planned Gifts

Planned Giving Terms

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Facts for your fundraising volunteers to know

Resources

Read Back Issues of
OTG e-TA

Learning Products & Services

LEADline

GIZMOs

The Chronicle of
Philantropy

Workshops/ Clinics

Online Courses/ Webinars

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Facts for your fundraising volunteers to know

Fundraising volunteers can provide good leads, especially if they work in fields such as banking, accounting, law or financial services. They often have clients who are looking for places to leave their legacies to do good.

““No person was ever honored for what he received. Honor has been the reward for what he gave. ”

– Calvin Coolidge

Details from above:

Planned Giving Terms (cont.)

Planned Gift:	A gift that provides income to a nonprofit after a donor’s death. It can be cash in a will or trust, or property to be used or sold by the nonprofit.
Deferred Gift:	Also a planned gift. A gift promised now, to be received by a nonprofit in the future
Will:	A document listing inheritors of a deceased person’s property.
Bequest:	A gift of property or assets to a beneficiary as defined in a will.
Trust:	A fund whose assets are managed by a trustee or a board of trustees for the benefit of another party or parties.
Trustee:	A legal term that refers to a holder of property on behalf of a beneficiary.
Charitable Remainder Trust:	A trust that provides for a specified distribution to one or more beneficiaries, at least one of which is not a charity, for life or for a term of years, with an irrevocable remainder interest to be held for the benefit of, or paid over to, charity.
Irrevocable trust agreement:	A trust which cannot be changed or canceled once it is set up without the consent of the beneficiary.
Life Income Gift:	A gift that allows the donor or someone designated by the donor to receive income for life, after which the nonprofit organization receives the use of the gift for the purpose specified by the donor. Life income gifts are often used by supporters who need the income their assets can provide during their retirement years, but wish to make a significant gift now.
Annuity:	A contract that provides an income stream in return for an initial payment.

Click here to download a chart from the American Heart Association that explains the benefits of different options.

Resources

The National ASK (Awareness, Skills, Knowledge) to Sustain Institute, sponsored by Corporation for National and Community Service, provided by Campaign Consultation, Inc. 1998, 2002

The CNCS Resources Now! National Institute, sponsored by Corporation for National and Community Service, provided by Campaign Consultation, Inc. 2005-07.

Learning Products and Services

LEADline:
(Learning Experiences At a Distance) LEADline is designed to give information fast. Have a resource & fund development question? Use LEADline and within 24 hours you will receive response and advice from a fundraising professional.
Contact usLEADline@CampaignConsultation.com

GIZMOs:
(Giving Information for Zooming Mission Objectives) GIZMOS are resource and fund development tools for you and your volunteers. They are tangible products in packets, pocket brochures, CD-ROMs, games, etc. They feature a myriad of fundraising topics such as The Case for Support, an interactive online resource. To order, contact us through LEADline@CampaignConsultation.com
or call 410.243.7979 or toll free at 1.877.243.2253.

View and use our newest GIZMO, Building Your Case for Support

The Chronicle of Philanthropy:
Everyone who comes to a Resources Now! National Institute gets a free subscription to the Chronicle for a year. Participants in CNCS Campaign Consultation workshops receive the latest issue free of charge plus a $20 discount on one year’s subscription.

Workshops/Clinics:
The Corporation for National and Community Service (CNCS), through its T/TA service provider Campaign Consultation, Inc., offers a three-hour workshops and clinics for those interested.

Online Courses/Webinars:
Web course delivery of topics pertinent to resource development such as — Build Fundraising Volunteer Champions and Cause Related Marketing and Corporate Partnerships.

Available through the Resource Center at,
http://nationalserviceresources.org

Read Back Issues of OTG e-TA