How to Get a Planned Gifts Program Up and Running

Although estimates have varied significantly since Boston College’s Center on Wealth and Philanthropy issued its 1999 report Millionaires and the Millennium, there’s no question that the largest generational transfer of wealth our country has ever experienced is unfolding right now. The total amount of wealth transferred in the 55-year period from 1998 through 2052 may range from as much as $10 trillion to $41 trillion. That’s why every school, regardless of gift history or staff size, should be taking steps to launch an ongoing planned gifts effort or build on their existing program. Even a one-person development effort can take steps to promote planned gifts on a regular basis.

Starting and managing a planned gifts program
Here’s what to do to launch and manage a planned gifts program for your school:

Get your board’s engagement and buy-in. The more involved and supportive your board is of a planned gifts program, the more successful it will be. Get them to sign off on key policies related to a planned gifts program. Convince at least one member of the board to serve as a liaison to the full board regarding the program. Encourage that liaison to act as your planned gifts ambassador and encourage board members to consider making a personal planned gift to your school. Your board’s example will serve to encourage others to act similarly.

Create a database of prospects specifically for planned gifts. A planned gifts database would include prospects who are age 60 and older and especially those with no apparent heirs. Include those who have a current or past association with your school, such as former PTA leaders, graduates, current and past employees, and current and former board members. Be sure to add all past and current donors to your list. Also include local citizens who have been loyal patrons of your school’s events.

Building and refining your mailing list should be an ongoing process. You should constantly be adding names and removing names if they are no longer viable prospects (e.g., they have moved out of the district, asked to be removed, or have encountered a change in financial circumstances).

You will need software to help you to build an organized list and manipulate the data in useful ways for tasks such as targeted mailings (e.g., zip codes, occupation), segmenting expectancies from prospects, segmenting types of expectancies (bequests, annuities, etc.) and more. Examples of reasonably priced planned gift software include CrescendoInteractive, PG Calc, and Sage Software.

Identify compelling funding opportunities. If you want people to make a significant gift, you need to propose projects they will find attractive. Develop a list of naming opportunities (for example, the gymnasium, a building addition, a scholarship fund that start at the $10,000 or $25,000 donation level. Some gifts may be designated for the school’s endowment, while others may address future capital improvements, programming, or safety needs. Developing and updating the priorities list may be a responsibility for your planned gifts advisory council. You may also choose to involve prospects by asking them to share their opinions about what types of projects they would like to fund. Doing so will help engage them and strengthen their interest in your planned gifts program.

Build personal relationships. It is critical that you and select volunteers, if possible, make time to meet individually and regularly with prospects to make them aware of funding opportunities and to cultivate relationships that will help them understand and identify with your goals. Set weekly or monthly goals for the number of people you intend to see, and use call reports to record when a meeting took place and what was discussed—including items for follow-up—so you have an ongoing record of progress being made. In addition to individual visits, never miss an opportunity to make mention of your planned gifts efforts when speaking to groups.

Engage volunteers. There are several ways you can involve volunteers in promoting your planned gifts program. Examples include the following:

• Planned gifts advisory council—a group that meets regularly to review and approve planned gift policies, identify and assist in cultivating relationships, develop programs to recognize and steward donors, and other duties
• Centers of influence—select individuals who can identify and cultivate prospects in their communities
• Agents of wealth—individuals, such as attorneys, trust officers, insurance agents, accountants, who come into contact with wealthy persons and who can help promote your school when the opportunity presents itself

Enhance communications. It is important to communicate regularly g with your constituents about planned gift matters through newsletters, mailings, and your school website. Your communication efforts can include content about the following:

• Funding opportunities
• The impact planned gifts have had on your school and students,
• Profiles and lists of donors
• Information on tax benefits of planned gifts

Recognize and steward donors. Recognizing the generosity of donors not only provides the kind of intangible reward donors and their survivors enjoy receiving, but also increases the public’s awareness of your program and “plants seeds” that encourage others to consider planned gifts. Recognitions can include the following:

• Form a heritage society. Whatever you choose to call it, this action provides you with a way to formally recognize and further cultivate relationships with those who have informed you of their planned gift intentions. Hold at least one yearly get-together for this group, share insider communications with them, and publish their names in your annual honor roll of contributors.
• Create a donor wall in some high-traffic area of your facility that recognizes both living and deceased donors in a visible and lasting way.
• Publicize you planned gift program. Never miss an opportunity to do feature stories in your own communication vehicles and for the area media on various aspects of planned gifts.

Host an estate planning seminar. Invite a financial planner to your school to provide estate planning information to the public. Invite everyone on your prospect list, and encourage them to bring their spouse and friends who might be interested in your cause. To increase your potential audience, partner with another local nonprofit, such as a hospital or college. Involve veteran agents of wealth who can speak about issues of interest to attendees.

Recognize that a planned gifts program is a long-term investment. Although you may not see results overnight, the investment of time you and others make today eventually will result in tremendous financial resources for your school that will make a positive impact on your community and future generations of students.

Scott C. Stevenson is CEO of Stevenson, Inc., an Iowa-based company that publishes several monthly newsletters and manuals that deal with fundraising and other issues of interest to nonprofit organizations.

Additional resources
There are many resources available to help your school become more in touch with planned gifts programs and the more technical aspects of planned gifts. Here a just a few.

Successful Fund Raising – Schools Editionis a monthly newsletter available by subscription at www.stevensoninc.com.

LEAVE A LEGACY, a public-awareness campaign designed to inspire people to make a charitable bequest. All types of nonprofit groups, including social service and arts organizations, churches, hospitals, and educational institutions participate in LEAVE A LEGACY.

National Committee on Planned Giving is the preeminent association for professionals in the charitable gift planning field, with many chapters throughout United States.