How to Convince Leadership to Invest in Planned Giving
Is leadership blocking your Planned Giving program?
I feel you - it’s a common frustration I hear. “They don’t want to spend money unless they see immediate returns.”
Which means they would rather spend $800,000 on a gala that brings in $300,000 net profit than invest a small fraction of that to make millions in the future.
And I don’t know about you, but that’s enough to make me want to pound my head against my desk.
It seems obvious to us - so why don’t they understand?
Well, they’re not fundraisers. They don’t live and breathe this work the way we do.
They don’t understand how much wealth is already in their donor pool – and how they can tap into the trillion-dollar Great Wealth Transfer.
The good news is with patience; you can get leadership to buy into Planned Giving. Here are 4 concerns your leadership have about starting Planned Giving – and how you can overcome them!
1. “Planned Giving is new and scary.”
Board members and Executive Directors are often afraid of risk. Their reputation - or job - is on the line, and investing in something they see as “new” is scary.
The good news is Planned Giving is a tried-and-true form of fundraising! The largest and most successful charities out there have Planned Giving as an important part of their fundraising strategy – it’s necessary for growth. Show them Planned Giving websites of large charities they admire. Explain how these charities started their program years ago, and now it’s common for these types of organizations to receive 6-7 figures (or more!) in estate gifts every year.
2. “If you’re not getting the money right away, there’s no way to track if our investment will pay off.”
If your leadership only measures fundraising results with dollars-in-the-door, Planned Giving seems elusive. They’re scared to invest when they don’t understand how to measure its success.
As mentioned above, Planned Giving has been around for decades, and there are plenty of trusted KPIs you can use to track your success. This includes “hand raisers” (i.e. people who say they’re interested in leaving a gift – or have left one), and tracking relationship “moves”. You can lean on trusted experts to help you set this up!
3. “Returns on Planned Giving are minimal or aren’t guaranteed.”
If a fundraiser or consultant guarantees you results - run. It’s a sign they’re lying or doing something unethical.
However, of all the forms of fundraising out there, a Planned Giving program is closest to being a surefire way to get large gifts.
We’re in the middle of the Great Wealth Transfer - trillions are passing between generations - and your nonprofit can get a cut. Average estate gifts are $50,000, and if you have long-term supporters, it’s nearly guaranteed some of them will resonate with your cause enough to leave a gift in their Will (if you inspire them to do so).
Find out how many of your donors have given for 3 or more years. With an average estate gift of $50,000, how much revenue will you receive if 1% leave a gift in their Will? 5%? 10%? Use this number to show how much untapped wealth is in your database.
4. “We won’t get any money until donors die.”
In my opinion, Planned Giving is magical. It shifts your fundraising from focusing on immediate needs to deeply aligning with your donors values, leading to larger in-lifetime gifts. In fact, an in-depth analysis by Dr. Russell James showed that Planned Giving donors gave an average of $3,000 more per year in their lifetime!
Investing in Planned Giving will strengthen all your fundraising!
Want another resource to help you get leadership buy-in for Planned Giving? Check out this free deck I created for your next meeting! It outlines what Planned Giving is, the results it will bring, and how to find the best form of support for your organization.
Download the “Planned Giving: Your Path to Millions” deck today!
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