Making Planned Giving Work For You Essay Example For Students

Making Planned Giving Work For You Essay Making Planned Giving Work For YouPlanned giving strategy tips for every organizationLawrence Henze,J.D.,Managing Director,Blackbaud AnalyticsGolden Age of Philanthropy Americans will transfer at least $41 trillion between 1998-2052,according to a study 1 by theSocial Welfare Research Institute at Boston College.At least $6 trillion of that funding will bebequests to charity,according to authors Paul Schervish and John Havens,who wrote that agolden age of philanthropy is dawning.With so many philanthropic dollars up for grabs,nonpro #64257;ts need to position themselves tocapture a share of the wealth.Research from the National Committee on Planned Giving 2 showsthat although 42 percent of Americans have wills,only about nine percent have included charities. But once charities are included,they stay:97 percent said they had not revoked a charitableprovision.An additional 14 percent of those surveyed said they had considered including acharitable bequest in their wills even though no nonpro #64257;t has asked them to do so.This leavesa largely untapped market. About Planned GivingPlanned giving,once called deferred giving,refers to any charitable gift that requires morethought and planning to execute than the average donation.Planned giving has traditionally beende #64257;ned as the gift that an individual makes near the end of his or her lifetime.There are manykinds of planned gifts,from simple bequests in a will or an estate plan,to annuities,charitableremainder trusts,charitable lead trusts,pooled income,life insurance and life estates. Nonpro #64257;ts often have trouble securing planned gifts.Why?The answer generally boils down tofour basic factors:targeting the wrong prospects,sending the wrong appeal,asking too late andsoliciting planned gift prospects for major gifts instead so the organization can get the moneymore quickly. Many charities assume that their major gift donors will be their best prospects for planned gifts. When these solicitations fail,organizations are left with the impression that planned giving isjust not right for them.Other organizations send broad-based planned giving mailings to olderWhite PaperExecutive SummaryDeveloping a successful planned giving program can be a complex undertaking.But it is one that is well worth the trouble. Extensive research has shown that planned giving is about lifestyles and loyalty,not wealth.Many organizations still think theyhave to #64257;nd the millionaires in their database to secure planned gifts.The truth:everyone in your annual fund program hasthe potential to be a planned giver.This means you have more control over the process than you think.Equipped with solidinformation and the right marketing strategy,your organization can build a successful planned giving program. Making Planned Giving Work for You1ContentsGolden Age of Philanthropy 1About Planned Giving .1What Makes a Planned Gift Donor 2Using Research to IdentifyYour Best Prospects ..3Using Marketing to Reach Out toYour Best Prospects ..4Conclusion 5Appendix A:Types of Planned Gifts ..61 Millionaires and the Millennium:NewEstimates of the Forthcoming Wealth Transferand the Prospects for a Golden Age ofPhilanthropy ,by Paul G.Schervish and JohnJ.Havens.Social Welfare Research Institute,Boston College,Boston,MA,October 1999. 2 Planned Giving in the United States 2000:A Survey of Donors .National Committee onPlanned Giving.