Cultivating Bequests Small Shop or Large, STILL the Greatest ROI

Pittsburgh Planned Giving Council- Leave A Legacy CommitteeEmerging Philanthropy Conference

April 26, 2012

Bequests Go to the Movies!

Karl J. Ohrman, CLUPresident, Coordinated Financial

Services

Best Practices-Getting Started

Marc FieldDirector of DevelopmentThe First Tee of Pittsburgh

Best Practices-Client View

Elise Roby Yanders, CFP, CIMAVice President, Wealth Management Advisor

Merrill Lynch Global Private Client Group

Leave A Legacy-Just Get Started/Resources

Jim SismourCharitable Relationship Manager, Planned Giving

University of Pittsburgh

University of PittsburghPlanned Gift Commitments

20%

53%

15%8%

1% 3%

Gifts by Type

Realized BequestsBequest IntentionsTrustsGift AnnuitiesLife InsuranceQRP/IRA

Growing Philanthropy in the United StatesImprove the quality of bequest fundraising practice.

While over 80 percent of Americans will support the nonprofit sector during their lifetimes, only around 8 percent of them will do so on their death. Evidence suggests that the percentage of estates containing a charitable bequest has remained static for over 100 years (Harris, 1911).

There is Great Opportunity

“…in the House, which is expected to vote on the package on Thursday…the estate tax provision (that) would exempt from taxes $5 million per person, with a maximum rate of 35 percent, for two years. Democrats have supported a lower $3.5 million per person exemption and a 45 percent tax rate. The difference in terms of people affected between the Democratic approach (6,500 estates) and the compromise package (3,600 estates) is small…“

New York Times, December 15, 2010

Estate Taxes: Helpful? Hurtful?

 ”…in this world of many, many, many nonprofits, if your organization isn’t asking for bequest support, many donors will assume that’s because you’re already receiving enough funding from other sources. Prospective supporters will think your organization doesn’t need their later gifts and will include other favorite nonprofits in their wills instead.  Ouch.  You may have been their #1 choice originally, but the organization’s silence on bequest needs can be interpreted as no need for it.”

Deborah Miller, JD Director of Planned GivingWVU Foundation, Inc.

You’ve Got to be Asking!

Of Bequest Donors:

Average Age at ‘Last Will’: 79 Average Age at death: 84

Robert F. Sharpe, Jr.

Partnership for Philanthropic PlanningNational Conference, October 2010

It’s (almost) Never Too Late!

http://www.leavealegacy.org/

http://ppgc.net/content/leave-legacy

QUESTIONS?

Cultivating Bequests