Getting Started in Planned Giving Charitable Gift Planning

Getting Started in Planned Giving Charitable Gift Planning March 20, 2016 Presented By: Brian M. Sagrestano, JD, CFRE President and CEO Gift Planning Development, LLC Robert E. Wahlers, MS, CFRE Vice President of Development Meridian Health Affiliated Foundations

About Our Presenters Brian M. Sagrestano Robert E. Wahlers Brian M. Sagrestano, JD, CFRE is an author, public speaker and thought leader in the gift planning world. After many years running gift planning programs for nonprofits he formed his consulting firm, Gift Planning Development eight years ago. Brian is also a principal in Constellation Advancement, a full-service development consulting firm. Robert E. Wahlers, MS, CFRE serves as the Vice President of Development for Meridian Health Affiliated Foundations where he leads the gift planning program and oversees the annual giving and grants and foundation teams. Robert also serves as an Adjunct Professor at Columbia University for their Masters in Nonprofit Management Program where he has taught Annual Giving, Capital Campaigns and Major Gifts classes. Brian and Robert have co-authored three books, including the soon to be released Getting Started in Charitable Gift Planning and Getting Started in Charitable Gift Planning Resource Book from Charity Channel Press.

Agenda § Introduction and Overview § Why Pursue Donor-Centered Gift Planning Now? § Understanding Gift Planning § Are You Ready for Gift Planning? § Engaging Your Board and Leadership § Building Your Program

Why You Need Gift Planning § Gifts from wills are 8 -10% of all fundraising revenue annually § Strong gift planning programs generate 25 -40% of total individual gifts revenue § Even in a down economy § Everyone § Doubling Up

What’s the Urgency? § $6 Trillion § Rise of the Leading Baby Boomers (Born 19461954) § Restricted Giving § Current Use § Impact, Outcomes, Verifiability § Trailing Boomers – Accountability (Born 19551964) § Gen X – Volunteer Ops (Born 1965 -1976) § Millennials -- “Get Out of the Way” (Born 19771984? ) § Great Recession Generation? § Reduced Gift Capacity Going Forward

What is Donor-Centered Gift Planning? § Gift Planning: The process of cultivating, designing, facilitating and stewarding gifts § Donor-Centered Philanthropy: Fundraising approach that asks donors what they need to accomplish for themselves, their families and their future, and how philanthropic support is integrated into their tax, estate and financial planning § Donor-Centered Gift Planning: Fundraising approach that helps donors meet their personal planning and philanthropic goals to create a more meaningful legacy

What are the Tools of Gift Planning? § Stage I Gift Planning Program – Gifts That Cost Nothing Today § Beneficiary Designations From: § Wills § Retirement Plans § Life Insurance Policies § Payable on Death Accounts § Transfer on Death Assets § Donor Advised Funds § 80% of Gift Planning Revenue

What are the Tools of Gift Planning? § Stage II Gift Planning Program – Gifts to meet personal planning objectives § Increase income in retirement § Provide for an elderly parent or loved one § Help pay for college Charitable gift annuities Charitable remainder trusts § Gifts to maximize inheritance Wealth replacement trusts Charitable lead trusts

What are the Tools of Gift Planning? § Stage III Gift Planning Program – Family Wealth Planning § Full integration of philanthropy into tax estate and financial planning in partnership with advisors § Family succession planning § High net worth individuals § Gifts of complex assets § Business interests § Closely-held stock § Collectibles § Hedge funds

Are You Ready for Gift Planning? § Let’s Find Out § www. Are. You. Ready. For. Planned. Giving. C om § Score Each Question § 10=Completely Agree § 1=Completely Disagree

Are You Ready for Gift Planning? (1=disagree; 10=agree) 1. We have a mission statement. 2. Our mission will still be relevant in 50 -100 years. 3. We have a compelling need for charitable support to sustain our mission. 4. We have an effective strategic plan to implement our mission. 5. Our staff and Board leadership are interested in pursuing long-term support. 6. We are financially stable. 7. We pursue endowments to ensure our long-term future. 8. We regularly garner support from individuals. 9. We have a group of loyal donors who have supported us in the recent past. 10. We have 1 hour per week for the next year to invest in gift planning.

What Are Your Results? § 50+ = You are well positioned to start a gift planning program § 30 -50 = You have some work to do, but you are still able to pursue gift planning § Under 30 = Get started on some fundraising fundamentals before you move to gift planning § For more detailed help and analysis visit: www. Are. You. Ready. For. Planned. Giving. Com § Don’t take YOUR OWN word for it!!!

Engaging Your Leadership § Introduce to your leadership how gift planning enhances your mission and endowment § Key Elements § Engaged leadership – 5 to 10/always § Appropriate mission/Seeking endowment § Need for a volunteer committee § Measures of success -- activity § Action Steps § Construct a volunteer committee to help launch your program § Craft a culture of philanthropy across organization

Engaging Your Leadership-Make the Case § Articulating Why Gift Planning Is Important to Your Donors and Your Mission § Key Elements § Mission § Definitions of gift planning and endowment § Outcomes-based stories § Largest gifts prospects can make § Gifts that continue, regardless of economy § Broad appeal – gifts that cost nothing today § Increase in overall support § Action Step § Draft an internal case for your organization § Helpful Download § http: //www. plannedgiving. com/downloads/bsagrestanosamplecase. doc

How Do I Start Building a Gift Planning Program? • Begin with Stage I • Three Legs of the Stool • Donor Interaction • Marketing and Stewardship • Infrastructure

Donor Interaction § Selecting the best prospects § Loyalty and affinity § Segmenting the prospects § No children § Generational cohorts and wealth § One-on-one through your moves-management process § Partnering with professional advisors § Action Step § Identify, rate and segment your pool

Gift Planning Pyramid Principal Prospects Major Prospects “Loyals” Consistent Annual Donors Everyone Else Interested In Your Mission

Marketing § Targeted at loyals § Regular consistent outreach § Incorporated into everything you send to access “everyone else” § Multi-channel approach

Marketing § Key Elements § 12 Month Marketing Grid § 7 Touches Philosophy § Multi-Channel § Brochure and Reply Card § Website § Action Steps § Craft a meaningful plan for outreach § Use vendors to help § Focus on mission, impact and outcomespersonalize § Help meet personal planning objectives

Stewardship § Key Elements § Thanking § Recognizing § Donor recognition society with broad membership criteria § Outcomes-based events § Immortality – In Memoriam § Stewardship § Organizational culture of stewardship § Action Steps § Find a great story for your Society and create it § Create a brochure telling your story § Write a formal stewardship procedures manual and stick to it

Infrastructure § Key Elements § Counting and Recognition Policies § Gift Acceptance Policies § Gift Agreements § Estate Administration Process § Tracking Reports § Ethics – Model Standards of the Charitable Gift Planner § Complying with Regulations § Action Step § Craft Your Infrastructure § Helpful Downloads § http: //www. plannedgiving. com/downloads/bsagrestanosamplepolicy. doc § http: //pppnet. org/modelstandards

Map to Success § Key Elements § Operating Plan for Each of the Three Legs of the Stool § Future Elements to Add § CGAs; CRTs; Complex Assets § Action Step § Draft an operating plan and timeline

For More Info: www. giftplanningdevelopment. co m To Preorder: http: //bit. ly/gsicgp

To Contact Us Brian M. Sagrestano, JD, CFRE President and CEO Gift Planning Development, LLC 100 Chestnut Place New Hartford, NY 13413 315. 292. 1335 brian@giftplanningdevelopment. co m www. giftplanningdevelopment. com www. constellationadvancement. co m Robert E. Wahlers, MS, CFRE Vice President of Development Meridian Health Affiliated Foundations 1345 Campus Parkway, Suite A 2 Neptune, NJ 07753 732. 751. 5118 rwahlers@meridianhealth. com www. meridianhealth. com/give