Planned Givingfor LibrariesPrepared by Christine Graham
The Perfect Recipient of a Planned Gift
When people plan a lifetime gift, they usually want: A long history and a familiar causeAssured continuityA welcome for allHope for the futureHappy memories Comfort as we ageA sense of communityConservative management of our hard-earned dollars
Different kinds of gifts
0The spontaneous gift
0 The recurring gift… 0A current major gift…
0A lifetime planned gift…. making a difference for the future…from accumulated assets
The Organizational Life Cycle of Gifts
Membership
Annual gifts
Special project gifts
Capital and endowment gifts
Planned gifts
Planned Gifts Planned Gifts are just tools.
Most important is the human spirit and the desire to give.
Prospects first think of their own lives and families….Then, with a planned or lifetime gift, your donor thinks
about the causes they have cared most deeply about.
You can’t rush the donor.. You can build a relationship, and be ready when they are.
Your prospect needs…
Personal awareness : of his own needs, family needs, community needs…
Financial awarenessGenerosity Commitment to libraries and communityA desire to create a legacy
In making a Planned Gift, your donor might receive:
ThanksTax DeductionsIncome during one’s lifeAdditional ways to give to familyPeace of mindPreservation of propertyResolution of disputesFriendship and RelationshipsJOY!
How does this benefit you?
SecurityFlexibilityReliable incomeMore ways to recognize your donorsGreater ability to plan
More?....learn to talk about this with your prospect
Your donor might consider an immediate gift:
Stock and bonds, property: things one can decide today
Transfers from Retirement accounts,
Gifting of cash-value insurance policies
All with tax benefits for the donor now.
An irrevocable (guaranteed) gift upon the donor’s death
A gift that also provides the donor lifetime income and tax advantages: Charitable Gift Annuities,Charitable Remainder TrustsLife Estates, such as a donor’s home with life tenancy
Life insurance with cash value, or where the organization owns the policy, during the donor’s lifetime.
(And the oddity among planned gifts: A Lead Trust where the nonprofit gets the income during the donor’s life, and the second generation heir inherits the Trust at the donor’s death.)
A Revocable Gift upon the donors’ death
Bequests:Cash Property
Life Insurance where the donor owned the policy but the nonprofit was the beneficiary
Proceeds from a Trust
What You Can DoCreate a Legacy Society Know your donors!Select gifts types you can encourageFind a advisor or twoDevelop simple materialsIdentify likely prospects and send materialsOffer tours, meetings, and an occasional educational
program Include an article about planned giving in every newsletter
and info on your websiteBe ‘present’ with the infoRecognize and thank your planned givers
Build Your Resources even if they are modest…
The Cause
Professional advisors
You: the PG officer
Warmth: Listening skills and empathyIntellectual
curiosity and creativity
Knowledge of vehicles
Marketing plan
Policies
….Create a Legacy Society
A way to keep your planned gift ‘promisers’ engaged and committed
A way to acknowledge gifts received A way to make the program sociable, joyful and
comfortableA model for others to strive towardA way to keep the organization committed
too….even when the planned gift program is quietA formal means of setting planned giving GOALS
Identify Your Prospects, learn their stories
prospect
wealth
interestsFamily
AgeGenderPropertyHistory with your npo
Worries
needs
Train Yourselves to Think About Planned Gifts and the Donors
Tell briefly about a person you think might be a prospect for your organization…..
What makes you think they might make a planned gift?
What more do you need to know about them?How would you get to know this new information?What do you think they might want to know?How could you begin this conversation with them?
Typical Clues:A prospect wants to give but doesn’t ‘have cash or
‘it is not a good time’A donor has an opportunity to make money (‘a
taxable event’) and would like to offset taxesA donor has unneeded property such as an
inheritanceYour donor expresses distaste for paying significant
capital gains taxYour donor needs secure and reliable income Your donor feels restricted by living expenses
because selling assets incurs so much taxOthers?
Hints for Success
Keep it simple and creativeFocus on the people not the methods, learn
their needs and desiresStart with bequests and gradually add other
optionsFocus on a very small number of prospectsOnly develop strategies for regular donorsEnjoy your meetings with your prospectsFocus on the long term
Preparing Yourself:
Be Curious: ListenLearn all you can about gift and estate
planningMake relationships the keystone of your
fundraising programBe a donor….know the joyWrite your own willExplore ways to be philanthropicEstablish bequests for your favorite causes
More thoughts?
0Christine Graham0 cpgraham@sover.net0www.cpgfundraising.com0802-862-03270Burlington and North Bennington Vermont
