Planned Giving Council of Greater Philadelphia E-Newsletter

Measuring the Success of Your CGA Program - PNC Institutional Asset Management®

Anna Matheson — Tue, 17 Mar 2026 19:47:34 GMT

Since 2009, PNC Institutional Asset Management® has been proud to serve as a sponsor of the Planned Giving Council of Greater Philadelphia and support the important work of the planned giving community. As many of us in the planned giving community know well, understanding what drives the success of a charitable gift annuity (CGA) program can be challenging, especially for organizations of varying sizes. In this article, PNC Institutional Asset Management explores how nonprofits can evaluate their CGA programs and better understand the factors that influence long-term performance.

Read more: The Evaluation Complex: Measuring the Success of Your CGA Program

Philanthropy Pulse Report - CCS Fundraising

Anna Matheson — Tue, 17 Mar 2026 19:34:07 GMT

CCS Fundraising is excited to share the newest edition of our annual CCS Philanthropy Pulse Report, which synthesizes survey results from hundreds of nonprofits worldwide to provide insights into the sector's recent performance and current outlook. This year’s data highlights where momentum is building, where opportunities exist, and what leaders are prioritizing across revenue, staffing, boards, and technology. These insights are sourced from the survey responses provided by 618 participating organizations of all sizes across 47 US states and 18 countries, offering a valuable resource for development professionals across our sector.

President’s Message – Winter 2026

Anna Matheson — Fri, 20 Feb 2026 19:49:06 GMT

Written By Megan Cantalupo

Dear PGCGP members and friends,

On behalf of the PGCGP Board, we are grateful and honored for your membership and are excited to offer you another year of enriching professional development and networking opportunities.

Please take advantage of all the benefits included with PGCGP membership. In addition to providing free registration for our educational sessions throughout the year, you receive discounts for our flagship events, Planned Giving Day and the Planned Giving Course®. You’ll also enjoy our quarterly digital newsletter with articles from industry-leading professionals and members-only invitations to other events. Additionally, organizations with 501c3 status can post jobs for free on our Job Bank.

For me, the most rewarding benefit is working alongside Council members on various committees, developing programming, and collaborating on the Council Board. I’m proud to call them colleagues and honored to consider them friends.

I highly encourage you to consider getting involved with a PGCGP committee and/or as a mentor or mentee. There are descriptions of these opportunities on pgcgp.org.

I look forward to meeting you at one our fantastic educational programs this year, including the PG Course® on April 17th. Don’t forget to mark your calendar for October 21’s Planned Giving Day – the region’s signature one-day planned giving professional development and networking event.

President’s Message – Fall 2025

Anna Matheson — Mon, 29 Sep 2025 14:58:49 GMT

Written by Jessica Brookstein, MBA, CAP®

As the beauty of autumn surrounds us, we are reminded that change can be a powerful and positive force. Thank you for your continued dedication and for bringing your unique talents to our shared mission.

Looking to get more involved? A great way to deepen your commitment is by serving on one of our committees. Did you know that the first step to serving on our Council Board is joining a committee?

Our committees include:

Marketing & Communications
Membership
Mentorship
Planned Giving Course
Planned Giving Day
Programs
Sponsorship Partnerships

No matter what your interests, there is a place for you to contribute and grow.

Don’t forget - The Planned Giving Day Conference is just around the corner!

October 22, 2025, at The Inn at Villanova. Join us for a full day of learning from top experts, connecting with colleagues, and supporting our valued sponsors.

See you at the Conference!

One Big Bill Beautiful for Some

Anna Matheson — Mon, 29 Sep 2025 14:51:41 GMT

Written by Don Kramer

Not as bad as it could have been for nonprofits; A significant above-the-line deduction for public charities

The so-called One Big Beautiful Bill Act, which was narrowly passed by Congress and signed by the President in July 2025, provides a significant above-the-line charitable contribution deduction for public charities and avoids some of the most adverse proposals for the charitable sector.

But its major benefits flow to wealthy taxpayers whose “temporary” tax cuts of 2017 have been made permanent, and some of its other provisions will have significant impact on the work of the charitable sector.

President's Message - Spring 2025

Anna Matheson — Wed, 23 Apr 2025 17:13:34 GMT

Written by Jessica Brookstein, MBA, CAP®

My second year as President of the Council feels much different than my first year. The same was true for my first and second years as a Member and then a Board Member. Why is that? Is it because in year one of anything really, we are learning? Growing? Getting the feel for how things work? I would say yes to all of those. I felt the same way when I started working in Gift Planning many years ago. What started out as “Can I do this?” turned into “I got this!” The same is true for our Planned Giving Council. You have already taken the first step and joined the Council. Are you learning? Are you growing? Are you starting to feel like part of our team of Planned Giving professionals from around the area? I hope the word “Yes” popped into your head. If YES is your word, then you got this! Time to join a committee, lead a group or continue down the path to becoming a Board Member.

Whether Yes or No popped into your head, there are a plethora of opportunities for you as a member no matter where you are in your career or involvement with the Council.

Continue to say YES and maximize all the benefits of your PGCGP membership.

Jessica Brookstein, MBA, CAP®
President, Planned Giving Council of Greater Philadelphia

Utilizing gift planning to realize a donor’s intent and maximize their impact.

Anna Matheson — Wed, 23 Apr 2025 17:09:14 GMT

Every donor has an intent when supporting an organization, whether that be to create an endowment, fully fund a program, or provide the unrestricted support that enables their chosen recipient to serve the needs they wholeheartedly agree with. However, many donors may be unable to fund their intent through a cash gift.

Gift planning, when combined with the donor’s desires, enables this to happen. One example from a university client was a donor, John Smith, who wished to fund an endowed full scholarship (currently $35,000 per year). John was 62, married, paying for the last year of college for their fourth child, and hoping to make a lasting impact on his university in honor of his 40th reunion.

When John met with his gift officer, he told the officer of his desire to establish the scholarship but did not believe he had the resources to fund it in full. He was going to receive a one-time longevity bonus from his company that would amount to $250K after taxes but had little additional capacity beyond the $10K he gave annually to the university.

John’s gift officer proposed a solution that would meet all of John’s needs within his current economic capacity. The gift officer suggested that John purchase and make the university the owner and beneficiary of a second-to-die life insurance policy. They were able to find a $1.5M policy with a single premium of $225K, which John could fund from his longevity bonus. Additionally, if John desired that the university begin awarding the scholarship immediately, he could add an annual $25K to the $10K he normally gave the university. That gift could pay the scholarship each year until the insurance policy matured. John would be able to fund the additional annual gift with half of the tuition he had been paying for the prior 12 years for his four children to attend college, which ceased with his payment that year.

By listening to the donor and examining a multitude of planned gift options, the giving officer was able to accommodate the donor’s wishes despite initial roadblocks.

NOTE: The insurance policy value and premium are specific to this donor and are provided as examples only, please check with the specifics of your donor to determine the exact costs.

President’s Message – Winter 2024

Anna Matheson — Fri, 13 Dec 2024 21:37:25 GMT

Written by Jessica Brookstein, MBA, CAP®

With so much happening in the world and the growing list of responsibilities we all face, I want to take a moment to sincerely thank you for being part of this group. Your involvement means a great deal, especially when time and energy are at a premium. We truly appreciate your commitment.

As we continue to navigate both personal and professional demands, I encourage you to fully explore all the opportunities that come with your PGCGP membership. There is so much to gain, from connecting with like-minded individuals to accessing valuable resources that can help you grow, both personally and professionally. Whether it’s attending events, engaging in discussions, or taking part in educational programs, I want you to get the most out of this experience.

I urge you to dive deeper, discover new opportunities, and take full advantage of all the benefits available to you.

Mark your calendar for the return of the Planned Giving Course scheduled for April 8, 2025 at The American College in King of Prussia. Whether you or your staff are new to planned giving, are looking to refresh your planned giving knowledge or you are looking to build a program at your organization — there will be something for everyone in the day's content. More information is coming in the new year.

With my best wishes for a safe and healthy holiday season and a very happy 2025.

Jessica Brookstein, MBA, CAP®
President, Planned Giving Council of Greater Philadelphia

There’s a Crisis Brewing

Anna Matheson — Fri, 13 Dec 2024 21:29:46 GMT

Written by Viken Mikaelian, CEO of Planned Giving.com

Forget What You’ve Heard About Planned Giving

Just Do the Math …

Baby Boomers, who are among the wealthiest and most charitable Americans, are dying at a rate of about 6,000 per day. They’re taking around $6 billion in estate dollars with them. (Now, many of you do not know the difference between a million and a billion. Just read on for some staggering numbers.)

And unless you have a planned giving program, that money is gone forever. Skeptical? Just do the math:

On average, boomers have a net worth of between $970,000 and $1.2 million. They’re responsible for almost half of all charitable giving in the United States. They’ll leave an estimated $11.9 trillion to charities.

And those charities with planned giving programs will receive the greatest share.

Sobering Statistics

The numbers don’t lie: Planned giving works. And we’re not talking about nickels and dimes. We’re talking transformational gifts. Those who understand this are among the most successful; the top 1%.

If we assume the average Boomer has a net worth of $1,000,000 ($1 M), here’s how the math works:

6,000 X $1,000,000 / day = $6,000,000,000.

Struggling with all those zeroes? That’s six billion dollars. (Read below as to what a billion really is.)

Per day.

Yet we consistently hear the same refrain: “Sorry, nothing in the budget for planned giving.”

This leads me to believe that either:

These nonprofits have an alternative source of funding that’s so plentiful it will soon sustain their mission for generations, but they’re not sharing.
The folks in charge don’t understand math.

Since there’s no evidence to support No. 1, I’m leaning toward No. 2. As comedian Steven Wright says, “Five out of four people have trouble with fractions.”

What Is a Billion? Really.

Think of it like this: If you had to spend a million dollars at $1,000 a day, you’d run out of money in 3 years. But doing the same with a billion dollars would take 2,740 years for the money to dry up.

A million is one thousand-thousand, or 1,000,000. A billion is a thousand million, or 1,000,000,000.

A typical planned gift is 200 times larger than a donor’s biggest annual gift. With those numbers at stake, ignoring planned giving makes absolutely no sense.

But myths and misconceptions prevail. Fundraisers chase ultra-wealthy unicorns instead of focusing on pragmatic legacy gifts. They search for billionaires and ignore the donor next door.

But do they realize the donor next door is much closer to being a millionaire, than a millionaire is to a billionaire?

Going, Going, Gone

The longer you wait to get serious about planned giving, the more money that’s gone forever. It will go to wiser nonprofits. It will go to heirs who won’t donate it. And a good portion will be lost to avoidable taxes.

But even a basic planned giving program will funnel some of that money into a nonprofit’s coffers. Bequests from middle-class donors frequently exceed $100,000. That means a simple microsite or marketing program could pay for itself multiple times in the course of a year.

Stop waiting for the perfect moment to launch your planned giving program. Stop saying there’s no money in the budget.

Run the numbers, and you’ll find the answers. It’s basic math.

For a full-version of this article, visit PlannedGiving.com.

PS: Even if nonprofits competed for 1% of this money, that’s still a lot of money.

Proposed Regulations for Donor Advised Funds Raise Concerns for Sponsoring Organizations

Anna Matheson — Fri, 13 Dec 2024 21:25:14 GMT

Written by Kathryn H. Crary, Esq., Gadsden Schneider, & Woodward LLP
kcrary@gsw-llp.com

The exponential growth in the popularity of donor advised funds or “DAFs” over the past several decades has led to increased scrutiny from the media, Congress, and most recently the Internal Revenue Service. In November 2023, the IRS published proposed regulations at REG-142338-07 regarding the determination of when excise taxes should be imposed on distributions made by a sponsoring organization from a donor advised fund and on the agreement of certain fund managers to the making of distributions.

DAFs were formally recognized in the Internal Revenue Code (the “Code”) in sections 4966 and 4967, which were added in 2006. The proposed regulations address with greater specificity these sections’ definitions of a DAF, a donor, a donor-advisor, and a distribution. While sponsoring organizations generally welcomed the increased clarity provided by these expanded definitions, the IRS received formal comments on the proposed regulations from more than 150 organizations. The comments were clustered around several main areas of concern:

1.      The proposed regulations expand the definition of donor advised funds by potentially redefining certain types of field-of-interest funds and other collaborative funds as DAFs depending on the level and type of involvement by donors in committees supervising such funds. Other concerns regarding the definition include the possibility that certain funds that grant scholarships or are only utilized to support a single identified organization may no longer fall into the category of funds that are considered exceptions from DAF categorization.

2. Reasonable expenses incurred in the ordinary course of a sponsoring organization’s operations in carrying out charitable purposes could possibly be considered taxable distributions under the proposed regulations.

3.      Many sponsoring organizations have historically allowed donors to recommend that the donor’s own personal investment advisors be utilized to manage funds in a DAF. The proposed regulations would reclassify these investment managers as “donor-advisors” resulting in the imposition of excise taxes under section 4958(c)(2) of the Code when fees are paid to such investment managers.

4.      The proposed regulations call for the changes to be made retroactively, which means that excise taxes might be inadvertently triggered without sufficient opportunity for correction.

In April 2024, a bipartisan group of members of the House Ways and Means Committee wrote to the IRS expressing concern that the proposed regulations could deter or discourage charitable donations, particularly to donor advised funds at community foundations. The notice and comment period culminated in a two-day formal hearing in May 2024 featuring more than 30 speakers, at the conclusion of which the IRS promised to take into consideration the issues raised in the comments when drafting the final regulations. It remains to be seen what effect, if any, the new administration may have on this process.

President's Message - Fall 2024

Anna Matheson — Tue, 24 Sep 2024 18:58:28 GMT

Written by Jessica Brookstein, MBA, CAP®

Now that summer is in our rearview mirror, it is time to look ahead to start to plan out how we are going to take advantage of all of the opportunities around us. Opportunities at work, with friends and colleagues, and with the Planned Giving Council of Greater Philadelphia. Are you taking full advantage of your membership? Are you looking for more ways to engage with the Council? What are you waiting for?

I encourage you to explore ways to get the most from your PGCGP membership:

Attend our annual premier educational event, the Planned Giving Day Conference, on October 16^th, 2024, at the Inn at Villanova.
Save the date for the return of The Planned Giving Course, April 8, 2025, at The American College.
Volunteer your time and expertise: Get involved with PGCGP committees; strengthen your own professional skills; network with your colleagues.
Get to know our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community.

Be on the lookout for new and returning educational programs and networking events!

Have a healthy and productive Fall!

President's Message - Summer 2024

Anna Matheson — Tue, 04 Jun 2024 13:45:47 GMT

Written by Jessica Brookstein, MBA, CAP®

Summer officially starts on June 20, but unofficially most of us kicked off the season celebrating Memorial Day. Time to enjoy the good weather and partake in your favorite activities with family and friends.

Don’t forget to take advantage of your PGCGP membership benefits! How many tools can you fit in your toolbox?

Join us for the our educational sessions at The Racquet Club in Philadelphia on Thursday, June 20, 2024 and Thursday, September 12, 2024.
Network on Thursday, July 18, 2024 at The Great American Pub in Conshohocken where we will be convening our first ever sponsor facilitated networking event. Hosted by Fiduciary Trust International. Register Here
Attend the 2024 Planned Giving Day Conference on Wednesday, October 16, 2024 at the Inn at Villanova in Wayne, PA. Register Here
Volunteer your time and expertise: Get involved with PGCGP committees; strengthen your own professional skills; network with your colleagues.
Get to know our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community.

We hope to see you soon and have a fantastic summer!

PGCGP Volunteer Named 2024 Rebecca Lukens Award Recipient

Anna Matheson — Tue, 04 Jun 2024 13:43:09 GMT

Beth Harper Briglia, a longtime PGCGP member who currently serves on the 2024 Planned Giving Day Committee, was recently recognized by the National Iron & Steel Heritage Museum as the 18th recipient of its Rebecca Lukens Award. The award recognizes women in Chester County (PA) who exemplify outstanding leadership and vision in the spirit of the award’s namesake, Rebecca Lukens, regarded as the nation’s first female industrialist. PGCGP offers heartfelt congratulations to Beth!

If you would like to share an accolade or achievement of a PGCGP member, please contact info@pgcgp.com.

Ethics Corner – from Doug White

Anna Matheson — Tue, 04 Jun 2024 13:38:10 GMT

Perpetuity and Reality

Q: We are a social services agency and have received a bequest that requires us to fund a program – early childhood education – "in perpetuity" (that's the phrase in the will). My executive director and the board have already accepted the gift, but I have reservations because the money is to be used for one purpose – and one purpose only – forever. I asked what we would do with the money if we someday didn't offer this program and the executive director said that it is probable that we would always offer it, and if we didn't, the donor's wishes wouldn't matter. He did this by reminding me, with a wink, that dead donors can't say much.

A: Although that kind of response is convenient, it's a little too cute for the seriousness of the gift intention, as well as for the potential gravity of the situation. While dead people don't talk, their voices can be heard through the ages. And doing what donors want should be a big consideration – even for those who make their gifts through bequests.

Putting aside the inconsiderate attitude for a moment, the word "perpetuity" has a meaning: "a thing that lasts forever"; "the state or quality of lasting forever." Note the use of the word "forever." Charities cannot promise something forever. It's not humanly or organizationally possible. Not when you think of the world in 1,000 years – or longer (because forever is longer than even that); but that is certainly true when you take into account the reality that not much stays the same for more than only a few years. This is why, when chartering his foundation, Andrew Carnegie said, "Conditions upon the [earth] inevitably change; hence, no wise man will bind Trustees forever to certain paths, causes or institutions." Benjamin Franklin said much the same when he established his historic gifts – 200 years would pass before the corpus would be distributed – to benefit Boston and Philadelphia, and Massachusetts and Pennsylvania: "Considering the accidents to which all human affairs and projects are subject in such a length of time," he wrote, "I have, perhaps, too much flattered myself with a vain fancy that these dispositions, if carried into execution, will be continued without interruption and have the effects proposed." But even if a donor is the one demanding the dead hand's grip, it's imperative that the charity accepting the gift doesn't bind itself past its abilities. No one, as I say, has the ability to promise something forever. With that in mind, I think it's best when gift agreements never use the phrase "in perpetuity." Actually, gift acceptance policies might be wise to use the word "never" when describing when the phrase can be used. (But that point takes us more to a philosophical conundrum than to an ethical dilemma.)

But I also take note of your executive director's attitude. Although more and more states take seriously the idea of a donor's intentions, statutes (of which there are currently almost none) or judicial results (or which there is a growing number) on this subject should matter far less than the trust a donor infers when a charity takes a gift under its wing. Break that trust, especially if it's intentional, and the charity has no business being in business.

While it very well may be that you fully intend to provide early childhood education forever, it would be prudent to accept the gift only after discussing with surviving family members – and obtaining their written agreement about this – a thought-through diversion of the income if it becomes necessary in the future.

Bottom line (in addition to fostering trust through responsible stewardship): Although we don't think of it this way, a lot of ethical decision-making is based on our understanding of what words mean – and what future generations will think was meant back in 2014.

President’s Message - March 2024

Anna Matheson — Wed, 06 Mar 2024 22:10:23 GMT

Written by Jessica Brookstein, MBA, CAP®

Make the Most of 2024

I am excited to start 2024 as your new council president and would welcome the opportunity to check in with you to see if your WHY and your WHAT are being met. Why did you join the council and are you getting out of it WHAT you thought you would?

Whether your NEW YEAR started on September 15, 2023, January 1, 2024, or February 10, 2024, let’s make the most of your year.

Maximize the benefits of your PGCGP membership to enhance your professional life.

Our education programs at The Racquet Club of Philadelphia include lunch and are scheduled from 11-2 on March 21st, June 20th and September 12th 2024. Please join us and learn from our expert presenters.
Are you an expert in one or more areas of planned giving? Consider presenting at one of our educational programs.
Register for our Spring Planned Giving Course as a good introduction to our field.
Attend our annual Planned Giving Day Conference which will be held at the Inn at Villanova on October 16th 2024.
Volunteer your time and expertise: Get involved with PGCGP committees; strengthen your own professional skills; network with your colleagues.
Get to know our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community.

How to Help Steer Family Philanthropy Toward Long-Term Success

Anna Matheson — Wed, 06 Mar 2024 22:05:50 GMT

Written by Abby Axelrod-Wunderman, Philanthropic Director, Family Office Services, Foundations and Endowment, Fiduciary Trust International

All families have good intentions when giving assets to charity. They want to share their resources, positively impact the community and show their children how their values are reflected in their philanthropic work.

As advisors, it’s our job to help them understand that it takes strong focus and commitment to build a philanthropic program that carries into future generations. Building out the framework, the ongoing maintenance and evaluating the impact all require added thought and effort.

Advisors can be effective partners in helping clients design a plan that includes extended family and others, creating a lasting legacy. Such a plan can communicate values across generations and develop a sense of social responsibility in the rising generation. Establishing a process-driven approach to giving can help build the bridge across generations and maintain growth within a family’s philanthropy.

As an example, the following case study illustrates the experience of the Miller family, a single-family office, whose goal is to achieve family cohesiveness, clear communication and evolve together. What they initially lacked in structure they made up for by implementing a clear process to further their philanthropy.

About the Millers…

The Millers consider themselves a close family. The first generation immigrated to this country and started a local real estate business. From there, the second generation took the framework of that business and grew it into what it is today, a multi-million-dollar company spread across multiple states. Together, these two generations have experienced both poverty and enormous wealth. They have similar values and have shared many of the same experiences.

The third generation was raised similarly to the second generation -- prioritizing hard work, family traditions and discipline. However, the parents and grandparents have avoided direct discussions of their family’s wealth with the grandchildren.

The rationale was that they felt knowledge of the family’s wealth would create more problems for the third generation than opportunities. The first two generations have not given much attention to how the third generation will explicitly learn about their family wealth or how they will be included in meaningful family dialogue about the business or family finances.

The Millers’ Philanthropy

On top of this dynamic lies the Millers’ philanthropic work. A family foundation founded by the first two generations is intended to be passed along to the third generation and beyond. The oldest generation was leading the Miller Foundation at the beginning stages, while the next generation was more focused on building the family business.

They engaged in a scattershot giving philosophy, giving gifts as possible to as many “good” causes as possible. There was no formal process for grantmaking and no follow-up with grantees about results and progress. This led to the Miller Foundation giving many small gifts each year to the same handful of charities.

Eventually, the second generation decided to become more engaged. They evaluated the current charities and worked on better understanding the needs of the community. This led to the distribution of fewer gifts in larger amounts to those charities that were doing work that aligned more closely with the foundation’s mission. Certain charities stopped receiving grants, yet the first two generations of the family continued to share the same mission and focus. The giving techniques varied, although the shared values kept operations flowing.

Inviting the Third Generation to the Table

A few years ago, with the first generation in their late 70s and the second in their late 40s and 50s, some of the grandchildren began to ask about the family business. The parents and grandparents agreed to include the grandchildren in the philanthropic work as a first step.

There were several mishaps along the way, from a failure to create a common language around values, to basic private foundation education, to breaking the silence around the family’s wealth. After a few unfortunate outcomes due to poor planning around how to integrate the younger generation, the family was ready for some philanthropic advisory and support.

Implementing a Process-Driven Approach

The Miller Family is not alone in their limited structure and desire to be better. For many families it is often a challenge of knowing where to start. Try these seven steps to help your clients focus their giving strategy and implement plans.

Step 1: Unlock Values and Focus Areas

The Millers initially lacked a basic understanding of shared values across the three generations. They also did not acknowledge that the rising generation may have their own values to contribute.

The first step is to unlock and share the family’s motivations and values for philanthropic giving through a series of values-sharing discussions. These values provide the anchor for decision-making at each step of the philanthropy process. The simplest way to organize philanthropy is to focus on selected specific issues, rather than giving across many issues.

Step 2: Determine How to Involve Others

Like many high-net-worth families, the Millers wanted to involve family and possibly even others in their philanthropy. However, there first should be internal discussions around who, what, when, where and how to involve others.

Involving family can take multiple forms, from including them in decision-making to preparing for eventual succession.

Step 3: Set a Family Budget

The Miller family had not allocated an annual philanthropic budget. This led to reactive giving overriding some focus areas and not leaving room for the rising generation’s values to be supported.

Evaluating previous contributions can illuminate giving distribution across selected causes and the total amount allocated. With this holistic view, you can consider adjustments that can make the giving more proactive and inclusive.

Step 4: Structure Giving to the Family’s Needs

The Millers only considered one type of vehicle to carry out their philanthropy. However, there are many ways to structure giving, especially to include multiple generations, perspectives and values. While you can achieve philanthropic objectives through any vehicle, the goal is to select the vehicle or combination of vehicles that aligns with the family’s broader goals.

Step 5: Find and Vet the Right Partners

With the Millers, there was little structure around how they found and vetted potential grantees. While the task can seem daunting, understanding the “why” and “how” behind finding nonprofit partners will help achieve more meaningful results within the projects it funds. This leads into the final stages.

Step 6: Evaluate and Measure Impact of Grantmaking

Research shows the rising generation cares deeply about the short- and long-term impacts of their grantmaking. Understanding how to evaluate ongoing projects will help build success while encouraging the rising generations to be more proactive in their involvement.

The Millers did not have a process for measuring the success of their grantmaking. Even though the second generation thoroughly evaluated the first generation’s grantmaking, it was not enough to cultivate a long-term understanding of the impact of their support.

The most effective way to create meaningful change is to set clear goals, determine objectives and measure ongoing progress. Keeping a rhythm in the evaluation process is key, yet it is also where one of the major challenges in continuity lies.

Step 7: Monitor Progress and Repeat Steps When Necessary

Families often get into a rut when the reason for how they operate is: “that’s the way it’s always been done.” The challenge is to fight complacency and create accountability. Annual reviews are one way families can monitor their progress and make necessary adjustments.

Bringing it all Together

Philanthropic advisors can assist families with role clarity, responsibility sharing, communication and the appropriate dissemination of information. Successful outcomes are most often achieved with thoughtful advance planning and preparation. With the right perspective and experience, skilled advisors can create an effective process to help clients carry their philanthropic work through future generations.

To learn more about Fiduciary Trust International and our Philanthropic Services, please contact Abby Axelrod-Wunderman at abby.axelrod@ftci.com or (212) 632-3000.

Changes in Federal Tax Exemptions – Impact on Charitable Gift Planning

Anna Matheson — Wed, 06 Mar 2024 22:02:55 GMT

Written by Beth Harper Briglia CPA, CAP®, Philanthropic Advisor

Tom Peters, author of In Search of Excellence, famously said, “If a window of opportunity appears, don't pull down the shade.” The pending sunset of the Tax Cuts and Jobs Act (TCJA) offers an opportunity for planned giving professionals to work with donors and their advisors to ensure that their estate plans achieve desired personal and charitable outcomes, while mitigating tax impact. Recognize also that a larger pool of donors will be impacted by changes in exemption limits. Now is the time to communicate with your donors to certainly inform on, and at best to participate in discussions with their professional advisors.

Tax implications are rarely the sole motivator of charitable gifts. However, tax impact can influence the structure of a charitable gift. Consider the following strategies in your stewardship and legacy discussions:

Donors who use a formulaic approach in their estate plans to determine bequests to family, beneficiaries, and charity, should review this mechanism to ensure it achieves the donor’s intended goals while minimizing taxes.
Expect an increased use of charitable trusts to provide beneficiaries with income for life or a set term, with the remainder designated for charity. At modest asset levels, charitable gift annuities can provide similar benefits. The current interest rate environment favors these charitable gift structures.
A Donor Advised Fund with a planned gift component can be used to donate charitable assets today and estate assets in the future.
Prepare now to accept non-traditional gifts such as real estate and family businesses by using in-house or out-sourced expertise.

Stewardship and communication with donors and their professional advisors is key to “seizing” this coming opportunity!

President's Message - December 2023

Anna Matheson — Wed, 06 Dec 2023 19:51:12 GMT

Written by Delia G. Perez, CFRE, CAP®

As year-end approaches, I am thankful for my past three years serving as the President for the Planned Giving Council of Greater Philadelphia. Whether it has been collaborating with the Board, sponsor partners, volunteer speakers, or our members, I am indeed fortunate to be in the company of such compassionate and knowledgeable colleagues.

Even more inspiring is the energy each of you share as we recovered from the limitations imposed by Covid’s many challenges. During my tenure, we gradually returned to our in-person gatherings and celebrated reconnecting with colleagues and friends at PGCGP educational events. I am encouraged by the positive potential 2024 will bring for the PGCGP and the members we serve. My enthusiasm is bolstered by the life-changing work we do daily in service to our respective organizations.

Now is a perfect time to celebrate the achievements of the Council. We have worked tirelessly to best steward PGCGP’s financial resources and improve our revenue base, after enduring budget cutbacks due to Covid. We are committed to working on behalf of our members while striving to pique the interest of new members with topical and relevant educational offerings. We also urge you to take advantage of our PGCGP educational curriculum to improve your overall efforts and philanthropic results on behalf of the nonprofits we serve.

During the past three years, PGCCP successfully achieved many of its initiatives, including the following:

Relaunched the Planned Giving Course in partnership with The American College as an introductory two-day program for colleagues new to the planned giving field.

Exceeded expectations for the annual Planned Giving Day conference as PGCGP’s premier educational venue.

Strengthened our partnership with the Association of Fundraising Executives for the Greater Philadelphia Chapter with our participation in the annual National Philanthropy Day award event, while also supporting each other’s annual conference.

Strategized a collaborative presentation with the Philadelphia Estate Planning Council focused on philanthropy for our combined membership in 2024 or 2025.

Cultivated high-level member engagement driven by PGCGP’s efforts to communicate via various online and social media platforms

Focused membership recruitment efforts to increase awareness of member benefits such as educational opportunities, collegial networking, volunteer activities, scholarship support, and mentoring assistance.

Enhanced PGCGP’s website as a robust hub of information along with our LinkedIn page as a strong conduit for connectivity.

Ensured quality educational programs, offered three-times-a-year, for PGCGP members and guests about planned giving trends of interest.

As the new year approaches, we will look to our current members along with new and diverse members, to help us collectively build and strengthen the PGCGP. We will strive to better engage our philanthropic partners and sponsors to effectively enhance planned giving resources for our members and our professional community.

In the meantime, as we take our respective respites and enjoy the holidays, please remember those who are near, far, and no longer with us. Celebrate life, recharge, and consider joining us in 2024 at an exceptional PGCGP educational event.

Wishing you joy, laughter and the warmth of cherished moments with family and friends!

PGCGP Member Spotlight - Lynn Malzone Ierardi, J.D.

Anna Matheson — Wed, 06 Dec 2023 19:16:52 GMT

Written by Adrienne Webb Schulman, MPA, CAP®

Lynn Malzone Ierardi, J.D. has been in the estate and gift planning field for more than 30 years. She is the author of Storytelling: The Secret Sauce of Fundraising Success (available on Amazon). Lynn recently moved on from her nearly 20-year career at University of Pennsylvania to NYU Langone Health where she serves as Senior Director of Gift Planning.

She served as Board Chair of the National Association of Charitable Gift Planners in 2019. She is also a past board member and past President of the New Jersey Council of Charitable Gift Planners and former board member of the Planned Giving Council of Greater Philadelphia (PGCGP). We interviewed Lynn to get her takeaways from her decades of work at Penn and leadership on the Planned Giving Council of Greater Philadelphia.

You’ve achieved a lot during your time at Penn. What do you feel was your biggest accomplishment?

I really see the success of my work at Penn as part of the broader gift planning team. I’m most proud of our progress in breaking down silos in collaboration with the different schools, centers, and teams. I am proud of the work we did to strengthen gift planning across the University. From large-scale parts of the institution like the Wharton School of Business to our smaller centers like the Morris Arboretum, we built up planned giving programs. Over the years, building internal relationships was something the gift planning team focused on. This kind of collaboration eliminated silos, made us all much more effective, and we raised more money!

What makes a gift-planning program successful? If you were giving advice to someone leading a gift planning program for the first time, what would you say to them?

Start with the basics: bequests and beneficiary designations, and don’t be intimidated by the more complex gift vehicles. One of the first things I do to initiate or build out a planned giving program - whether I’m in my new role at NYU Langone or when I’ve worked with my consulting clients - is to take a look at integrating planned giving into the organization’s current activities. Where can you sprinkle in Planned Giving? Look for opportunities to include gift planning in activities, publications, mailings, digital tools, events, and perhaps most importantly, conversations. If the activity already exists at the organization, add to it instead of creating all new and separate channels.

What do you feel was the biggest macro-policy shift (legislative change, tax change) that impacted your planned giving program during your time at Penn?

I think the biggest shift is the move away from gifts of cash to gifts of assets. Non-cash assets have gone up in value making them a more desirable asset for donations. People are more concerned about capital gains than they are about estate taxes now. As people age, they are more likely to say, “I don’t need these particular assets anymore.” The continued shift of focus on gifts of assets touches on a number of the changes you mentioned – demographic, income and estate tax, and legislative changes.

You’ve been at Penn for 18 years and built many successful relationships. Are there any donors that you plan to keep in touch with?

Certainly, if a donor reached out to me, I would respond. But I am not a fan of keeping in touch with donors after leaving an institution because I view these donors Penn’s donors, not my donors. There are certainly donors that I will miss! Over the course of 18 years, you build relationships. In some ways, it becomes personal and it’s sad to lose those relationships whether it’s because a donor dies or because we leave the organization. But, it comes with the job!

As a longtime leader in our community – what do you think it will take for us to keep the Planned Giving Council of Greater Philadelphia thriving for years to come?

I think it’s a tough time for any of the planned giving councils because the world changed with COVID and technology advances. We have so many online opportunities to engage in gift planning education. As a result, the councils are struggling to be relevant and provide value. Work from home means people don’t want to travel for meetings. But the networking and camaraderie fostered by the council is invaluable. I started with the Princeton Gift Planning Council in 1993, joined the Philadelphia Council when I started at Penn in 2005, and have been involved with local councils for 30 years. I can tell you it is priceless to have colleagues from the Council to learn from and share ideas and experiences. I may not stay in touch with donors after leaving Penn, but I will absolutely keep in touch with colleagues!

Lastly, how can we stay in touch with you?

Yes, I’m happy to stay in touch! You can always email me at: Lynn.Ierardi@nyulangone.org.

You can also follow my work through my consultancy, giftplanningadvisor.com, and, of course, follow my work on Linked In.

President's Message - October 2023

Anna Matheson — Tue, 10 Oct 2023 19:01:10 GMT

Written by Delia G. Perez, CFRE, CAP®

As we welcome refreshing autumn weather, we look forward to harvesting more opportunities to meet and network with our colleagues. We also urge you to take advantage of our PGCGP educational curriculum to improve your overall philanthropic results on behalf of the nonprofits we serve.

We strongly encourage you to take advantage of our PGCGP educational and professional development offerings to learn from our expert presenters.

Attend our annual premier educational event, the Planned Giving Day Conference, on October 25^th 2023 at the Inn at Villanova in Wayne, PA.
Register for the upcoming two-day Planned Giving Course in April 2024 as a good introduction to our philanthropic field.
Volunteer your time and expertise. Get involved with our PGCGP committees to ensure the success of our PGCGP program offerings while strengthening your professional skills and networking with your colleagues.
Get acquainted with our sponsors and take advantage of their quality services and products to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

Please consider partnering with PGCGP to cultivate connections with our constituents and colleagues. Our educational sessions offer useful venues to interact with fellow practitioners who can share their insights and advice to achieve positive results within the planned giving field. Together we can share our success stories and best practices while benefiting both the causes we serve and the benefactors who support them with their philanthropic legacies.

We hope to see you soon and extend all good wishes for an abundant autumn!

Unlocking Legacy Commitments

Anna Matheson — Mon, 25 Sep 2023 19:23:38 GMT

Written by Julie Karavan, MS, CFRE

Many of the institutions we serve welcome donors to our Legacy Societies on what is sometimes called an “inclusive” basis. That is, a donor shares that they have included the institution in their estate planning, and the donor is then included in the Legacy Society. Once a donor is a member of a Legacy Society, we have a commitment to stewardship which can often span decades. This relationship, by virtue of both prospect assignment as well as staff turnover, will often include many different development officers throughout the donor’s relationship with your institution.

When you join a new institution, you will likely find Legacy Society members without a booked estate commitment. The gold standard for documenting an estate commitment includes a copy of a legally valid will, a trust document, or a beneficiary designation form for assets like life insurance policies or retirement accounts. However, many institutions will book the gift for advancement purposes using something else in writing; be it a signed form, agreement or memorandum affirming the commitment; a letter or email affirming the commitment from the donor to the institution or even a letter from the institution to the donor, confirming the institutions understanding of the commitment. Review your institution’s gift acceptance policy to understand what is acceptable for booking for advancement purposes.

For a gift officer to book an estate commitment, the donor must specify the amount they plan to give. Let’s explore tactics for arriving at a dollar amount for estate gifts, highlighting the importance of asset identification, income considerations, and techniques like anchoring, recognition, and designation.

Identifying the Asset

A crucial starting point in determining a dollar amount is identifying the asset your donor wishes to use in making their gift plan. Often, this involves assets that stand outside the scope of a will, such as beneficiary designations on life insurance policies, retirement accounts, or other financial instruments. Understanding which assets, the donor plans to allocate can significantly influence the size of the gift.

For example, a donor might designate a percentage of their retirement account to your organization. In this case, calculating the approximate value of the account can provide a starting point for discussions. Ensuring that the donor has a clear understanding of the financial implications of their choice and the potential tax benefits can be a valuable part of the conversation.

Consideration for Lifetime Income

While donors may be eager to create a lasting legacy, they may hesitate to name an amount if they fear outliving their assets. If a donor expresses interest or concern about lifetime income for themselves or their loved ones, it may be a good time to discuss a charitable gift annuity or trust. These planned gifts can provide donors or their beneficiaries with a stream of income while supporting your institution's mission.

Emphasizing the revocable nature of estate gifts and beneficiary designations is another opportunity to help your donor become comfortable with citing an amount and exploring with you the potential impact of a deferred gift.

Additional Strategies

1. Anchoring Against Averages: One effective technique is to anchor the donor's gift against the average size of estate gifts received by your organization or in the charitable sector. By providing this benchmark, the donor may become more comfortable citing the expected amount of their deferred gift.

2. Recognition and Impact Levels: Another approach is to share information about specific recognition or naming opportunities at designated gift levels. When donors understand that a particular gift amount will establish a scholarship in honor of a loved one, fund research which addresses a family concern, or contribute to a significant project which will carry their name, they may be more likely to share the expected amount of their commitment.

3. Creating Funds with Specific Goals: Encourage donors to consider the impact they wish to achieve with their gift. Share with them a limited number, three to five levels of funding necessary to make a difference in a particular area of your institution's work. By limiting choices and asking donors to align with a level, you can pursue a conversation which encourages your donor to cite a specific level of contribution that aligns with their philanthropic vision.

Securing estate gifts is a vital component of fundraising for many charitable organizations. These transformative gifts can have a lasting impact, but arriving at an articulated dollar amount can be a delicate and nuanced process. While the ABCs of sales is “always be closing;” the ABCs of stewardship is “always be communicating”. Legacy Society Members require active and ongoing stewardship and communication. Part of this communication can include identifying the amount of their commitment to your institution. Tactics such as anchoring, recognition, and creating funds with specific goals can inspire donors to share their plans with you and the causes you champion.

3 Times Patience (Literally) Paid Off In Planned Giving

Anna Matheson — Mon, 25 Sep 2023 19:15:19 GMT

Stelter Client Strategist Jana Cobb shares her experience and teaches us that patience is a virtue--in life--and planned giving.

3 Times Patience (Literally)Paid Off in Planned Giving

President's Message - June 2023

Anna Matheson — Thu, 08 Jun 2023 19:09:03 GMT

Written By: Delia G. Perez, CFRE, CAP®

As we welcome the summer season, we hope you can make the time to enjoy the good weather and engage in your favorite pursuits with family and friends. We also urge you to take advantage of our PGCGP educational curriculum to improve your overall philanthropic results on behalf of the nonprofits we serve.

We encourage you to take advantage of our PGCGP educational and professional development offerings to learn from our expert presenters.

Join us for the PGCGP in-person educational sessions at the Racquet Club in Philadelphia on June 22, 2023 and September 14, 2023.

Attend our annual premier educational event, the Planned Giving Day Conference, on October 25, 2023 at the Inn at Villanova in Wayne, PA.

Volunteer your time and expertise. Get involved with our PGCGP committees to ensure the success of our PGCGP program offerings while strengthening your professional skills and networking with your colleagues.

Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

We hope to see you soon and extend all good wishes for a wonderful summer!

Sow Good Now: A Unique Model of Philanthropic Development

Anna Matheson — Thu, 08 Jun 2023 19:03:50 GMT

Written By: Mary Fischer Nassib, President and Co-Founder of Sow Good Now

Sow Good Now (SGN) is an innovative youth philanthropy organization that masterfully integrates activity-based philanthropic education and active volunteerism into the well-organized, diverse, and expansive network of youth athletics. Over 45 million youths in the United States participate in organized sporting activity annually. SGN meets our young people where they are: gyms, pools, fields, rinks, and links and puts forth a new model of philanthropy that is both inclusive and engaging.

Traditional philanthropy is often siloed and practiced in a grantor to grantee process. Yet, SGN GiveBack programs embrace diversity and challenge communities to collaborate in sharing their unique gifts. SGN leadership guides youth and their mentors through participatory grantmaking exercises where participants are both givers and receivers. During this process, youth, communities, and philanthropy are transformed.

Examples of SGN’s network of activities and philanthropical experiences are numerous as the mission is actualized among the participants and athlete mentors. Within the greater Philadelphia metropolitan area, SGN created a network between the Philadelphia Baseball Training Academy (PBTA) and Sunrise of Philadelphia for events focusing on the importance of introducing philanthropy at a young age. To facilitate participation, transportation and food were also provided. Arriving from an underserved area, the elementary school participants were exposed to basic baseball skills and community-centric grantmaking.

The high school mentors opened their community and shared their time, talent, and treasure with a group of students that may not have had the opportunity to see a high-level training facility and learn how to play baseball. Fifty (50) elementary school age students were provided dry training and fundamental baseball skills over a five-hour training period with the purpose of giving them confidence and encouraging them to “yes” to the programs offered in their geographic area.

During the Giveback, there were 350 athletic items distributed by SGN volunteers to the eager participants including gloves, baseballs, hats, sunglasses, and backpacks. According to the Director of Sunrise, “the kids did not want to take their gloves off and sat with them at their desks for days after the event.” Multiple positive outcomes were actualized including: 100% of the children served were from an underserved area that has a median household income in 2020 of $30,495* with roughly one third of the population living in poverty. Further, 100% of middle and high school baseball players expressed feeling good about sharing their skills to help children in need and would do it again if asked.

The middle- and high- school age baseball players provided hands on 1:1 ratio coaching and mentoring. This peer instruction from the mentors was highly effective as they built trust and shared skills. During the camp they had access to state-of-the-art training facilities including batting cages and two full-size baseball diamonds.

A short video at https://youtu.be/SOEvz5711OQ capturing perspectives from coaches and mentors spreads awareness of SGN’s mission. The success of this initiative will see another GiveBack offered in 2023. To prepare for future programs, PBTA players and coaches visited the schools that Sunrise services to get to know them and their community better and plan for ways to best collaborate in the future.

Another example of SGN’s outreach includes the Jefferson University Softball Team who was matched up with Phillies MLB Urban Youth Academy (UYA) for direct and caring service. The video https://youtu.be/qOfRi9sS27 depicts the activities of the day as mentors and youth participants intersect to teach and learn skills, relationship building, and youth philanthropy education. Members from the SGN Team guided the coaches and college players through the steps to engage with UYA girls in relationship building and conversations around college life, athletics at the next level, and challenges faced by young women today. Additionally, SGN collaborated with the B&A Foundation and used this opportunity to bring good nutritional choices education into the folds of the conversation. As food insecurity plagues high school and college students in the Philadelphia area, the Farm Fresh Market provided healthy foods for the participants to take home. Again, numerous athletic items and transportation were provided as Team Jefferson raised $1,000 for mental health awareness which was an expressed concern for the softball team and UYA. The softball GiveBack provided an engaging platform, and the college athletes mentored the UYA players not only in softball but in seeking ways to find help when they face dark days. The 1:1 skill training facilitated bonding that will continue again next year in another GiveBack.

While it is hard to believe that there are some children in our area who may never experience owning their own baseball glove or have a caring person engage them in a catch, this is only one symptom of the gap in resources in our society. The SGN GiveBack model moves our youth from beneficiaries to active agents and takes the first step in system change.

In 2022, athlete volunteers from the Philadelphia five-county areas raised over $14,000, selected causes that were important to them, and issued grants. Such causes chosen by the athletes include but are not limited to pediatric cancer, mobile showers for the homeless, suicide prevention, youth and family empowerment in high need areas, boys and girls club teen room remodel, and mental health awareness. These youth-led grant-making opportunities are critical in the training of a sustainable cycle of philanthropy. Looking ahead, SGN remains committed to its mission to serve and teach youth philanthropy. After all, the focus is not about merely donating money or grants when there is extra; it is about learning how to participate in making the world a better place through our youth. Until there is a level playing field for every child, SGN will continue its work to create a network of support linking community resources, athletes, and underserved communities by offering an alternative to top-down philanthropy by elevating resources in communities from the ground up.

President's Message - February 2023

Anna Matheson — Sun, 05 Feb 2023 22:38:54 GMT

Written By: Delia G. Perez, CFRE, CAP®

Chinese New Year 2023 began on January 22^nd 2023, ushering in The Year of the Water Rabbit. The new year is expected to be more relaxed and peaceful, with less anger and frustration, and generally seen as being less dramatic or tumultuous than the previous Year of the Tiger.

According to Chinese Astrology, the Rabbit symbolizes patience, luck, and new beginnings along with some big world-wide changes. Rabbit years support qualities that may have been lacking in the previous year, such as peace and harmony. Intellectual activity will be rich and durable. Justice is everywhere and nobody escapes the long arm of the law in Rabbit years.

During the Year of the Rabbit, those who are prone to impulsiveness or who have a tendency to be unrealistic will be more level-headed and practical. It is advisable to think carefully before acting to have the best chance of achieving your goals and realizing your plans. It is also predicted that financial success will come more easily during this year.

The new year and swiftly approaching springtime, represent a time to reflect and recalibrate, review your accomplishments and determine if you achieved your goals, fell short or exceeded your own expectations. Only you know for sure if you did your best.

We encourage you to take advantage of the PGCGP educational curriculum and improve your results. We scheduled our usual in-person meetings at the Union League in Philadelphia on March 23^rd, June 22^nd and September 14^th 2023, and please join us for our educational sessions to learn from our expert presenters.

Exceeding your expectations? Then consider presenting a topic relevant to planned giving at one of our educational programs.
Register for our two-day Planned Giving Course in May 2023 as a good introduction to our field.
Attend our annual premier educational event, the Planned Giving Day Conference, held at the Union League in Philadelphia on October 25^th 2023.
Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your own professional skills while networking with your colleagues.
Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. Thanks to our ongoing partnerships with our sponsors, we hope you enjoy their timely articles in our newsletter as they share their expertise.

PGCGP offers a mentoring program for newcomers in the planned giving field and assigns seasoned professionals to help grow a budding career. We offer multiple opportunities for volunteer assignments supporting our council activities and invite you to consider joining your colleagues in service for our profession. We need your help to support PGCGP initiatives. One of the benefits of volunteering is a great networking connection with your colleagues to discuss important facets of your work and exchange ideas to improve effectiveness and efficiency.

Make the most of your PGCGP membership and re-energize your work life this year. Wow your donors with excellent stewardship and let them know they are appreciated. Discuss the impact of their generosity, thank them often, ask their advice, and extend an invitation to visit without always soliciting donations. Phone frequently and let your donors know they are important and matter to the mission of your organization. And whenever possible, go visit your donors.

Be sure to invest in you! Take a course, attend a conference, and strengthen your skill set. Be a better professional by taking better care of you. Get a good night’s sleep, take walks and exercise, and whenever possible, spend time with your loved ones and the important people in your life. Always remember, our donors and the missions we serve deserve us at our very best; don’t skimp on yourself or them.

We hope the Year of the Rabbit will surprise you as one of your best years ever, and as they say for the Chinese New Year: "Gong xi fa cai," which means “wishing you great happiness and prosperity.”

Best Planned Gift for 2023: the CGA

Anna Matheson — Sun, 05 Feb 2023 22:37:08 GMT

Written by: Lynn M. Gaumer, J.D.

Best Planned Gift for 2023: the CGA

(Reprint with permission from Stelter blog)

Excuses for Not Offering Planned Gifts to Your Donors are the Very Reason You Should

Anna Matheson — Sun, 05 Feb 2023 22:25:39 GMT

Written by: Joe Tumolo

"Excuses for Not Offering Planned Gifts to Your Donors are the Very Reason You Should"

President's Message - December 2022

Anna Matheson — Sun, 05 Feb 2023 22:22:25 GMT

Written By: Delia G. Perez, CFRE, CAP®

Dear esteemed PGCGP members,

The end of year is traditionally a hectic time for the fundraising profession, and it feels like the second half of 2022 has been a frantic race toward “normalcy” with 2023 destined to be more of the same. It’s important to remember during the hustle and bustle of December to take time to celebrate you and your personal and professional accomplishments, and to fully enjoy reconnecting with loved ones, friends and colleagues in person once more.

That said, the new year is a great time to recommit to strengthening and growing our profession through the Planned Giving Council of Greater Philadelphia. Why not make a resolution to recruit a colleague to join the Council this year, or get involved with a committee or attend an upcoming workshop? Networking with others in the profession in a non-virtual setting is a highly rewarding and the best way to get the most of your participation.

As an example of the Council’s involvement within the fundraising community, PGCGP nominated the late Charles “Chuck” for the 2022 Association of Fundraising Professionals -- Greater Philadelphia Chapter’s Legacy Award.

Happy holidays and warmest winter wishes for a sparkling new year!

President's Message June 2022

Anna Matheson — Fri, 10 Jun 2022 16:39:26 GMT

Written By: Delia G. Perez, CFRE, CAP®

As we welcome the summer season, we hope you are fortunate enough to enjoy the good weather and engage in your favorite pursuits with family and friends. We also urge you to take advantage of the PGCGP educational curriculum to improve your overall philanthropic results on behalf of the nonprofits we serve and to learn from our expert presenters.

Join us for the PGCGP in-person educational sessions at the Racquet Club in Philadelphia on June 24, 2022 and September 16, 2022.
Attend our annual premier educational event, the Planned Giving Day Conference, on October 12, 2022 at the Union League in Philadelphia.
Register for the upcoming two-day Planned Giving Course in April 2023 as a good introduction to our philanthropic field.
Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your professional skills and network with your colleagues.
Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

We look forward to seeing you soon and all good wishes for a wonderful summer!

Change is scheduled for 2026

Anna Matheson — Fri, 10 Jun 2022 16:37:03 GMT

2018 Tax Cuts and Jobs Act major provisions currently scheduled to “sunset” December 31, 2025.

Click to review the resource

Building Integrated Retirement Income Strategies With Traditional Investments, Guaranteed Income Annuities, and Whole Life Insurance

Anna Matheson — Fri, 10 Jun 2022 16:35:09 GMT

Written By: Wade Pfau, Ph.D., CFA

Click to read the article

PGCPG Member Spotlight: Michael A. Berardi, Agent, New York Life Insurance Company

Anna Matheson — Fri, 10 Jun 2022 16:16:27 GMT

Michael A. Berardi
Financial Services Professional, offering securities through NYLIFE Securities LLC, member FINRA/SIPC, A Licensed Insurance Agency and New York Life Company
Agent, New York Life Insurance Company
PGCGP Member since 2022

What responsibilities do you have in your current role?

I help individuals and business owners plan for their futures using insurance and investments to reach their financial goals.

How is your work connected to gift planning?

For many people, they want to leave a legacy, sometimes not just to their family but to institutions that they’re grateful for – like their alma mater, a hospital that has helped them, a special cause. I learned very early on in my career that if you want to be remembered, leave something behind.

What part of your job do you find most enjoyable?

It’s not really a job because I love what I do. In my 23 years at New York Life I’ve never felt like it was just a job. Most importantly, I help people. Sometimes, unfortunately, that’s paying a death claim. Sometimes it’s seeing my clients’ goals come to fruition; I’m starting to see clients take money out of a college savings plan they started with me 20 years ago to help their children pay for college.

What concerns are you hearing from clients at this point in time?

So much uncertainty in the world with the economy, the safety of our children, the political divide in this country; some big lines in the sand being drawn right now and it’s scary. I’m getting contacted by clients right now worried about inflation and economy. Certainly, regarding the economy, clients are concerned about investments so depending on where they are at in their lives, we’ll make adjustments.

How do you see planned gifts making a difference to charitable organizations?

It’s the bloodline of these organizations. Unfortunately, so many people want that instant gratification, both the institutions receiving the gifts and the people helping. If we don’t continue with the legacy planning, five or ten or fifteen years from now these organizations won’t be able to provide the services they’re providing now. People think that donors have to leave multi-million dollar bequests, but the reality is it’s the little gifts coming in consistently that keep these organizations going.

How do you benefit from your PGCGP membership?

I became involved after filling in for a scheduled speaker who couldn’t attend a PGCGP event last year and was asked to join the council. I felt I could really wrap my arms around the organization, like it was meant to be.

My business doesn’t afford a lot of instant gratification because it’s long-term strategies to put in place. I’m just now seeing some things that were put into place 20 years ago. For me to fill in that gap, to feel like I’m doing that good, I enjoy volunteering to get that instant gratification, which makes a difference on these sorts of committees. I bring what I know of my business to educate (PGCGP) members on ways to help maximize gifts from their donors and leverage their gifts a little bit better. I can be a great resource by also bringing the knowledge and resources of New York Life’s advance planning team¹.

¹As an Agent of New York Life, I have exclusive access to the Advanced Planning Group - a premier planning team at New York Life Insurance Company with experience in law, accounting, insurance and business planning. My access to these resources allows me to bring experience, value and insight to assist you with your business and estate planning needs. Neither New York Life nor we provide legal or tax advice.

President's Message - March 2022

Anna Matheson — Mon, 14 Mar 2022 16:43:21 GMT

Written By: Delia G. Perez, CFRE, CAP®

Chinese New Year 2022 began on February 1^st 2022, ushering in The Year of the Water Tiger along with its power, passion, and daring. Now is the time to pounce, take a risk, and start new endeavors. Courage, bravery and bold actions are rewarded and maybe we will finally banish COVID in 2022.

According to Chinese astrology, Tiger years set the stage for creativity, innovation and deep insights. It’s a time of extremes when all of life’s activities will be experienced on a grand scale. Tempers flare, drama and excitement reign, and dreams can become reality while social change, political unrest and economic uncertainty abound.

There is no middle ground in a Tiger year with its much-needed dynamism and energy. This is the time to be bold and tackle new projects, and learn new things. Pursue a new job or career, keep progressing and working towards a better future, because you will have the wind at your back during the Year of the Water Tiger!

We encourage you to take advantage of the PGCGP educational curriculum and improve your results. We plan to return to our usual in-person meetings at the Racquet Club in Philadelphia in June 2022 as COVID rates continue to decrease. Please join us for our virtual March 25^th and April 1^st educational sessions to learn from our expert presenters.

Exceeding your expectations? Then consider presenting a topic relevant to planned giving at one of our educational programs.
Attend our annual premier educational event, the Planned Giving Day Conference, held at the Union League in Philadelphia on October 12, 2022.
Register for the preview program in early December (or November) 2022 highlighting our two-day Planned Giving Course in April 2023 as a good introduction to our field.
Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your own professional skills.
Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. Thanks to our ongoing partnerships with our sponsors, we hope you enjoy the timely articles submitted by State Street Global Advisors and Northern Trust as they share their expertise in this issue.

We hope the Year of the Tiger will surprise you as one of your best years ever, and as they say for the Chinese New Year: "Gong xi fa cai," which means “wishing you great happiness and prosperity.”

Strategies to Help Clients Open Up About Purpose of Wealth

Anna Matheson — Mon, 14 Mar 2022 16:37:18 GMT

Written by: Brie Williams, Head of Practice Management

Strategies to Help Clients Open Up About Purpose of Wealth

It's Time to Revisit Your Gift Acceptance and Windfall Gift Policies

Anna Matheson — Mon, 14 Mar 2022 16:00:32 GMT

Written by: Katrina M. Pipasts, CSPG, Director of Planned Giving Services Foundation & Institutional Advisors

It's Time to Revisit Your Gift Acceptance and Windfall Gift Policies

PGCPG Member Spotlight: Renée P. Atkinson Director, Gift Planning Swarthmore College

Anna Matheson — Mon, 14 Mar 2022 15:55:34 GMT

Renée P. Atkinson
Director, Gift Planning
Swarthmore College
PGCGP member since 1996

How did you become involved in the area of gift planning?

I was lured away from my job at PNC Bank to work for a private gift administration business. I learned most of what I know about Gift Planning from the late Peter Hemmenway. The business is now a part of PGCalc.

What responsibilities do you have in your current role?

My primary responsibility is to support the mission of Swarthmore College by assisting donors who want to make an impact on the college using their time, talent, treasure and testimony. Planned giving is the tool I use to assist alumni fulfill their philanthropic goals at Swarthmore. I am also responsible for tracking and handling estates that come to the college, compliance for our gift planning program, work with our communications team on planned giving marketing and collaborate with colleagues to handle reunion giving for the 50 plus milestone reunion years.

What part of your job do you find most enjoyable?

Each time I meet with donors, I am reminded why I do this job. It is uplifting to listen to the stories of why they love the college and the reason for their desire to give back to an institution that means so much to them. I’ve met incredible people.

What has been the most impactful gift you have worked on in your career?

I would have to say the most impactful gift I’ve worked on is not the largest, but meant so much to the donor. She is an older alumna of, in her words, “modest means” and was not very connected to the college. However, as she contemplated her mortality she knew she wanted to help a Swarthmore College student. As a recent immigrant to the U.S. when she matriculated, she had a difficult time adjusting to the point of contemplating taking her life. She felt if her six-figure gift could in anyway help a student from experiencing what she did, then it was worth it.

What are you hearing from donors and prospects at this point in time?

Right now, I am hearing a mixture of hope with the lifting of the pandemic and despair with the start of the Russia/Ukraine war. Our donors continue to be generous and are giving through IRAs and Donor Advised Funds. It is prudent of us as gift planners to forge relationships with financial advisors and vice versa. We should all want the same thing – to assist our donor/clients in the way that makes most sense for them.

How do planned gifts make a difference to your organization?

Planned gifts insure the future of the college. I like to say that while outright giving is king, planned giving rules.

How do you benefit from your PGCGP membership?

I’ve benefited from my 18 plus years of membership in the council in many ways. I’ve been able to increase my knowledge about more complex gifts through the quarterly education sessions and Planned Giving Day, I’ve met peers who’ve become mentors and friends and I’ve taken advantage of the council’s mentorship program to become a mentor myself.

President's Message - December 2021

Anna Matheson — Fri, 10 Dec 2021 17:03:35 GMT

Written By: Delia G. Perez, CFRE, CAP®

As the year’s end swiftly approaches, I want to take this opportunity to thank everyone for all their efforts throughout the year. The success of the Planned Giving Council of Greater Philadelphia relies on the contributions of our members and this past year, we enjoyed much success in spite of the lingering impact of the pandemic. On behalf of PGCGP, thank you for your dedicated support of the council throughout the year.

We’ve come through a year filled with both challenges and opportunities, and it’s been reassuring to know that we can count on your endorsement of our council to provide an informative and educational curriculum focused on best practices in planned giving. On behalf of the council, we extend our genuine appreciation to each and every one you for your invaluable support of PGCGP.

We encourage you to explore ways to get the most from your PGCGP membership:

Regularly attend PGCGP’s Educational Programs offered in-person at the Racquet Club in Philadelphia to stay current in our field.
Register for the two-day Planned Giving Course in April 2022 as an informative overview of planned giving’s role in our field of philanthropy.
Attend our annual premier educational event, the Planned Giving Day Conference, on October 27^th 2022 at the Union League in Philadelphia to improve overall philanthropic results on behalf of the causes we serve.
Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your own professional skills.
Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

As we reflect on events on the past year, be sure to cherish time with family and friends, and also resolve to make 2022 the best of years. With all good wishes and happiness to you and your families for a wonderful holiday season.

Wishing you healthy and happy holidays!

COVID-19 Marketing Case Study: How One Charity Achieved Results with a Mailing and Donor Survey

Anna Matheson — Fri, 10 Dec 2021 16:58:56 GMT

Written By: Kristen Jaarda, J.D., LL.M., CAP

In April 2020, shortly after the world shut down, Martha’s Village & Kitchen, a homeless shelter, food pantry and childcare provider in Indio, California, hired George Nasci-Sinatra as its major gifts officer. While the limited personal contact with donors posed initial challenges, George found new ways to reach and motivate supporters to give, making 2020 one of the best fundraising years in the organization’s history.

George says, “It was scary because the world was shutting down while Martha’s Village & Kitchen was gearing up.” Because people were out of work and children who normally received school lunches were forced to stay home, the organization was seeing three times the normal number of people needing meals from the daily food pantry and the number was regularly doubling for the daily public lunch the nonprofit served. The organization also had to hire more staff to meet new social distancing protocols. “The pressure was on to raise money,” George said.

How did George meet and exceed Martha’s Village and Kitchen’s fundraising goals in the midst of the pandemic? George tried two new ideas. First, he sent a mailing to supporters with the goal of obtaining bequest acknowledgements. The organization sent a letter with a remittance card and reply envelope to 432 individuals not directly asking for money, but encouraging them to “share our spirit.” The results were astounding! George received 19 replies from supporters confirming unknown bequests and 23 requests for information on how to proceed with naming the organization as the beneficiary of a will or other planned gift. While there was no fundraising appeal in the letter, 66 recipients sent the nonprofit the return envelope and many enclosed cash and check donations totaling over $11,000.

Who were the donors that responded? George says that 95% of the people who responded were known supporters in their database. However, 5% were completely new donors to Martha’s Village. Out of the 66 recipients who responded, 13 were supporters who had never given to the organization.

George’s second strategy was to send a donor survey on September 7, 2020 to 2,111 contacts. The survey asked questions about the recipients' familiarity with the organization, communication methods and ease of giving. The email had a 35% open rate and 12% click-through rate, generating 91 responses. Three recipients acknowledged new bequests to the organization, while 11 recipients requested additional information on ways to give.

George said that there was a spike in estate planning guide web downloads from their planned giving website immediately after the survey was sent. One of the more surprising results was that some of the respondents acknowledged that they were not sure who to contact at the organization when they had a need or a question. While not all responses to a survey will be positive, survey responses are nonetheless valuable in helping nonprofits respond to supporters’ needs and plan for future communications.

What have you done during COVID to reach out to your supporters? What strategy has worked best for encouraging donors to support your cause during this time? Please email me at kristen@cresmail.come about how you have seen success in the midst of COVID-19.

Is Your Next Planned Gift Just a Phone Call Away?

Anna Matheson — Fri, 10 Dec 2021 16:48:37 GMT

Written By: Anthony R. Alonso, President, Catapult Fundraising, Inc.

Thirty years ago, when I began working on phone programs for annual fund and capital campaign programs, I always stumbled upon the same questions from nonprofits; Will calling our constituents really generate better results than direct mail? Will donors be put-off by a call? Can we use an outside vendor to call our loyal donors?

Since then, these questions have been emphatically answered. An annual fund phone program has become a major component in almost every non-profit’s arsenal. It generates revenue that otherwise would be unavailable and provides an opportunity to upgrade donors in a way that direct mail cannot. When done properly, such calls also engender goodwill and enhance the relationships between the donor and the nonprofit.

Now, the same questions are being asked once again, this time about planned-giving phone calls. Surely, we cannot call our loyal donors to ask them for a planned gift? The question I always ask in return has remained the same over the years; What’s the alternative? Ask your very best prospects and ignore the rest?

Chances are, you have hundreds of planned gifts that are just a phone call away, but your donors simply have not been asked. This is not surprising. Among U.S. residents over age 30, only 22 percent say they have been approached by a nonprofit organization to consider a planned gift, according to a national survey.

As with all appeals, the question is not Should I do it? Rather, it is about how to do it in a way that leaves your donors feeling good about your mission and reinvested in your cause.

As fundraisers, you are inherently taught that face-to-face solicitation is the best means of soliciting donors. So what do you do? You cannot reach everyone through a face-to-face solicitation for a planned gift any more than you can for an annual fund contribution.

As fundraising professionals, it is our job to look at every solicitation methodology with an eye toward personalization. How do you make a planned-gift phone solicitation mimic the basic principles of face-to-face solicitation? Here is one effective method:

STEP 1: Prospect identification. First, analyze your donor database and identify your best planned giving prospects based on loyalty. Look at how many consecutive years a donor has made a gift. Remove those already assigned to a major-gift officer or who should be assigned to one. Studies have shown your best planned-giving prospects are those with modest but consistent giving patterns. Also, look for other loyalty indicators such as volunteerism, attendance at special programs, such as estate-planning seminars, etc.

STEP 2: Pre-call introductory letter. Next, a pre-call introductory letter from a loyal volunteer should be sent to the selected donors a few days in advance of the calls. The letter should thank the recipients for their loyal support over the years. The letter should go on to tell a story of why the volunteer has chosen to make a planned gift and the resulting impact of that gift. Finally, the letter should indicate that the prospects can expect a call to discuss interest in learning more about making a planned gift to your foundation.

STEP 3: Prospect qualification calls. Then, a well-trained caller should phone and thank the donors for their loyal support over the years. In an informal yet structured conversation, the callers should explore and record the reasons for the donors’ loyal support and ask if they would like to explore ways in which they could include the foundation in their long-term plans.

STEP 4: Referral and follow-up. The trained callers should refer expressions of interest to specially designated gift-planning specialists for professional planned giving discussions and follow-up in accordance with your organization’s pre-approved criteria. The foundation should then confirm bequests and other revocable commitments by means of a confidential confirmation form.

Case Study

A private hospital located in southern New Jersey recently embarked on a planned-giving calling program, and the results exceeded their expectations.

Background: Due to the hospital’s high volume of loyal donors, the planned giving team needed assistance in cultivating relationships with those donors with the highest planned-giving potential.

The Goals: The planned giving calling program had four broad goals:

1.      Thoroughly thank the donors for their years of loyal support

2.      Determine interest in including the hospital in their estate plans

3.      Confirm and quantify gifts already completed and thank/recognize these donors

4.      Educate and assist donors about planned gift options

The Program: The hospital implemented a highly personalized planned giving telephone outreach program and selected 1,000 of their most loyal donors to contact. Donors were initially called by a Tier 1 caller who thanked prospects for their years of loyal support and determined each prospect’s interest in making a planned gift. Depending on the prospect’s level of interest, an additional phone call was made by a Tier 2 caller, a planned giving specialist with more than 20 years of planned giving experience. Tier 2 callers informed prospects of planned gift options, confirming, and when possible, quantifying planned-gift values.

Results and Outcomes: Of the 1,000 prospects called, 770 were reached. Of these, 30% expressed a current interest in planned giving or had already competed a planned gift.

Tier 2 callers followed up with each of these individuals to secure the gift. An additional 68 prospects expressed interest in exploring options for a planned gift in the future. The hospital will follow up with these prospects in years to come.

Tier 2 callers secured and received written/verbal confirmation of 18 planned gifts, totaling $1,023,000.

Going Forward: Based on the success of this program, and many others that have explored the calling option, either with their own paid/volunteer callers or with an outside vendor, it is clear that your next planned gift may just be a phone call away!

Anthony Alonso, President of Catapult Fundraising, Inc., has over 30 years of experience in direct marketing. Anthony’s expertise has led his clients to successfully raise over $250 million within the last five years from the lower end of the donor pyramid. Anthony has had the honor of working with prestigious organizations including Cleveland Clinic, Anne Arundel Medical Center, NYU Winthrop Hospital, and Caron Treatment Centers.

Assisted Banking Conundrum: Preserving security while allowing 3rd party access

Anna Matheson — Fri, 10 Dec 2021 16:39:20 GMT

Written By: Janis Harlow, CEO of Paper Tigress Personal Finance Care, LLC

In my world, assisted banking is commonplace. My clients range from busy professionals who have no time to deal with the minutia behind their financial status, to elders who need protection and help in our increasingly complex, automated world. I am a Daily Money Manager. If you have never heard the term, it’s not surprising. The American Association of Daily Money Managers is a rapidly growing organization of professionals and currently boasts a membership of only about 750 people in the US. AADMM members are held to a high standard of ethics and professionalism, and are criminally background checked bi-annually. We exist to ease the financial stress and fear that many people experience; to keep an eye on their affairs for their own protection.

In the retail banking and financial industries, protection and security are paramount. Banking software is becoming increasingly sophisticated at identifying just who is accessing an account and inventing new ways to provide security to clients. Therein lies the rub. For technically unsophisticated clients, it can be a nightmare to jump through the hoops to allow a third party to assist them with tasks such as paying bills, accessing statements and reconciling accounts. I have had clients change banks because of the frequent re-verification and lock-out issues. I understand that problems are often browser or user error, but reality is that frustration can be very high.

Issues

As a professional who provides assisted banking, there are some recurring issues I see:

Account owners must share their user id, password, and password reset information in order for a family member, employee, or professional to help. This is not a good practice because passwords and security answers are often used across many accounts.
“Agent” access is permitted by a few banks but is usually too limited to be of use on personal accounts. View-only access does not ensure that the bills get paid.
There is no user accessible audit trail of who did what on the account. Along with multiple users comes the need to prove who did what.
Although I am often a client’s best defense against ‘family and trusted other’ fraud, it is increasingly difficult to work with certain banks.

Of course, this is a general assessment and may not apply to every bank. In fact, I would love to hear from any financial institution that has addressed these issues!

Changes Needed

I would like to see retail banks be proactive in this regard purely in light of the fact that the number of people over the age of 85 is expected to roughly quadruple over the next 30 years. We are living longer but age-associated cognitive decline is often the companion to our longevity. I believe that a secure team approach is a needed option for personal banking and related accounts.

1. Allow account owners to set up sub-users on their accounts with grantable access options like

a.    full access

b.    read-only

c.     bill pay but no transfers

d.    statement access

e.    audit trail review

2. Sub-users would have their own passwords and security questions with their own 2FA

3. Account owner or another set of eyes could see activity of sub-users via an audit trail

4. Sub-users could be required to pass a fiduciary test to be sure they at least understand their role.

I hear too many people say that they have added a son or daughter to their account to provide assisted banking should the need arise. While this is sometimes ok, it can also impact inheritance plans, student financial aid, debt liability, and promote entitlement fraud. It makes more sense in most cases to allow monitored access to an account rather than ownership.

Obviously, these changes cannot occur overnight and much more thought, and hopefully collaboration, will have to be put into it. I encourage the banking industry to consider that AADMM is a professional group that is willing to provide insight and work cooperatively for the greater good of mutual clients.

Janis Harlow provides Daily Money Management services to those who need a calm, patient financial partner to assist with bill paying, document organization, budgeting, and computer needs, to improve clarity and reduce financial stress. She is an author and CEO of Paper Tigress Personal Finance Care, LLC, a member of the American Association of Daily Money Managers. Her company is focused on serving Seniors, Caregivers, and the non-financial Spouse. Janis is a Paul Harris Fellow(Rotary) and has served as a Treasurer of her church. She received both her BS and MBA from the University of Delaware. www.PaperTigressPFC.com

PGCGP Member Spotlight: Aruna Pappu, Esq., Associate Director of Planned Giving, American Association for Cancer Research

Anna Matheson — Fri, 10 Dec 2021 16:14:32 GMT

Aruna Pappu, Esq.

Associate Director of Planned Giving

American Association for Cancer Research

PGCGP member since 2018

Tell us how you shifted your career focus to the area of gift planning.

As an attorney, over the years I worked in law and accounting firms helping clients with estate and wealth planning. These were high-net wealth individuals with strong philanthropic intentions. So on the client advisory side I was working with clients on how to achieve their goals and then coordinating with non-profit development people to ensure those intentions could be met. David Toll brought me to Drexel where I transitioned into charitable gift planning. Now I’m on the other side, representing the non-profit to clients/donors and solely focus on the philanthropic component instead of estate planning across the board and I love it, because to me, that is the most meaningful part.

What responsibilities do you have in your current role?

I started at the American Association for Cancer Research (AACR) in June because they, like so many non-profits, didn’t have a dedicated planned giving team and could only work ad hoc on estate gifts. They needed a dedicated planned giving officer to build up a program and proactively develop a pipeline of donors while stewarding donors with legacy gift intentions. As the planned giving lead, I work in tandem with a major gift officer. We have an amazing membership of 47,000 cancer researchers, Ph.D.s, medical doctors, and more across the world who we hope to engage with messaging about the impact of planned gifts on our organization.

What part of your job do you find most enjoyable?

Our organization is working to cure cancer through research, education, and outreach. I am personally connected to and passionate about AACR’s mission because I lost my husband to Stage 4 colorectal cancer. With more testing and research, like AACR is doing, things could have been different. I want to see that mission accomplished so one day families will be spared this kind of pain and loss.

The most rewarding part of what I do is meeting with our members and prospects and listening to what they want to accomplish through philanthropy; learning their stories and how they want to make an impact with their planned gifts. When I hear how they want to help, it’s so reassuring -- heartwarming and heartbreaking at the same time. I am so honored that they trust me to help them achieve their philanthropic and personal goals.

What are you hearing from donors at this point in time?

Concerns about potential changes in tax laws – the same thing everyone is hearing. They wonder, “should I give now, should I liquidate, should I not?”. The uncertainty is causing a lot of questions. Those who have something in mind are pulling the plug and are scrambling to get things done this month (December) before things might change – so I’ve been busy! Those still in the planning stages are on the fence, waiting to see how their retirement and their heirs could be impacted by tax laws.

How do planned gifts make a difference to your organization?

As all of us in the PG community know, the most significant, substantial, and impactful gifts are planned gifts. The positive and sometimes life-changing effects can be far reaching. Planned gifts = greater funding = more research = cures.

How do you benefit from your PGCGP membership?

I benefit in so many ways, professionally and personally. I can email or pick up the phone and call another member for insight or just talk shop. It’s so nice to have a personal network; there’s a real camaraderie. In PGCGP you can tap leaders who’ve worked in this philanthropic space for years. They are beacons of knowledge and great mentors. It’s a great group where you can get help and also become part of a greater collective of people you can also call friends. It’s a cross section of folks at this interesting juncture of planned giving and offers a nice meeting place for all these different areas – law, tax, non-profit - to come together.

President's Message - September 2021

Anna Matheson — Fri, 10 Sep 2021 15:11:53 GMT

Written By: Delia G. Perez, CFRE, CAP®

At long last we welcome autumn after a seemingly endless hot and humid summer! Hopefully, you took advantage of some much-needed down time to reconnect with family and friends. As students return to in-person classes, we also urge you to take advantage of the PGCGP educational curriculum and apply your efforts to improve overall philanthropic results on behalf of the causes we serve.

We applaud everyone’s collective efforts to hasten a return to “normal” with diligent vaccination measures and mask-wearing protocol as needed. We are optimistic about resuming in-person networking activities and learning opportunities in Philadelphia, and hope to host our premier educational experience, the Planned Giving Day Conference at the Union League on October 27^th 2021. In the interim, please join us for upcoming virtual educational sessions to learn from our expert presenters.

I also encourage you to explore ways to get the most from your PGCGP membership:

Attend our annual premier educational event, the Planned Giving Day Conference, on October 27^th 2021 at the Union League in Philadelphia.
Register for the two-day Planned Giving Course in April 2022 as a good introduction to our field and the half-day summary program on October 26^th 2021.
Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your professional skills.
Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

Have a healthy and productive autumn!

Donor Intent and the Legacy Gift: Advisors and Gift Planning Officers Working Together

Anna Matheson — Fri, 10 Sep 2021 15:07:55 GMT

Written By: Colleen Becht-Folz, CFRE^®, CAP^®
Cases such as William Robertson, et. al v. Princeton University, et al., Tennessee Division of the United Daughters of the Confederacy v. Vanderbilt, and locally, The Barnes Foundation’s Petition to the Orphan’s Court to Change Settlor’s Intent have all acted as cautionary tales to nonprofit organizations and donors, alike. The outcomes have defined donor intent in the nonprofit sector and changed the discourse between charity and donor to ensure that gifts are used to both benefit the charitable mission and remain true to the intent of the gift.

These conversations have brought wealth/estate planning advisors and gift planning officers to the table to help establish complex, blended gifts when working with high-net-worth donors. When these gifts come to fruition, mission activities - whether it is research, education, or community programs - will be eternally transformed for the betterment of society.

But, these conversations are few and far between for most fundraising professionals responsible for gift planning, particularly in organizations where programs rely on the vast number of previously-unknown bequests that are realized each year or are a low priority compared to more immediate gifts. Instead of these wonderful, proactive conversations regarding an ultimate gift at the end of life, difficult conversations between nonprofit estate administration offices and estate personal representatives (PR) occur on a more regular basis.

When a PR calls to inform an organization of a bequest and expresses how the decedent would have liked the gift used, too often, organizational staff must respond with the dreaded phrases “I am sorry, but that is not how it is written in the will,” or “I am sorry, but our organization does not accept these types of gifts.” When a bequest cannot be accepted as written, the organization may need to take legal action to change the use of that gift, leading to a smaller gift than intended or no gift at all.

In many cases, a slight change in the bequest language before the will is finalized can make all the difference. Simple steps can be taken in both nonprofit organizations and estate planning firms that will allow gift planning officers and advisors to better serve shared clients/donors, as both have a vested interest in ensuring the integrity of Legacy Gifts.

For example, fundraising staff responsible for gift planning programs can get involved in local and regional estate planning councils; network with area wealth management advisors and estate planning attorneys; and provide accurate and concise bequest language to advisors to ensure that legacy gifts can be used by the organization and follow the true intent of the gift.

Estate planning advisors can ask more probing questions of their clients when charity is included in estate plans to determine the true intent of the legacy gift; compile a list of the most common charities that clients have named as beneficiaries and get to know the local gift planning officers for those organizations; and use gift planning officers as a resource, reach out to obtain the appropriate bequest language for clients from the organizations chosen as beneficiaries. (Of course, the conversation can remain anonymous).

When estate planning advisors and gift planning officers work together, no matter the size or timing of the gift, the ongoing legacy of shared clients/donors is preserved.

Shift the Storytelling Balance

Anna Matheson — Fri, 10 Sep 2021 14:51:19 GMT

Written By: Liz Hefner

Association of Fundraising Professionals – Greater Philadelphia Chapter. Original blog post Sept 2020. Used with permission.

Great storytelling motivates. It should make audiences feel something powerful and want to take action. As fundraisers, we are often the storyteller as we shape narratives to demonstrate impact, need, and heart to our donors and volunteers. Often, this shaping process maximizes fundraising impact without intentionally considering the sources of the story - the people or community served. As fundraisers, there is an opportunity to create narratives, which engage donors and prevents objectification of people and communities. Communities and people served by our organizations can invite audiences to share a moment with them and inspire the audience to action rather than becoming a token of your organization's brand.

This process eases tensions between program officers, who want to convey impact without dehumanizing anyone, and fundraisers who want to inspire donors. It is important that fundraisers develop the tools needed to = create opportunities to empower and equip the people at the center of your organization's story to own, craft, and develop their narrative. In this process, they find their voice and discover how their own narrative intersects with your organization.

One of the most important tools you can develop is your interview process.

Before Interview Checklist:

Check your assumptions

o Will the interview create harm, trauma, or delay progress related to a person’s reason for being apart of your organization

o What assets/values/gifts do you already see, know about, what to learn more

2. Introduce yourself and check-in

o Are there any questions or concerns you can answer ahead of the interview

o Share your role in the org and the goal of the interview

3. Confirm that they are comfortable with their story being shared on
a variety of platforms

During Interview Checklist:

Check-In with your interview and confirm that the scheduled time still works for them

2. Re-Introduce Yourself

o   Ask what their interview goals are for the interview

o   Shift the power back to the interviewee

o   Acknowledge your privilege, position, and power as the author/recorder of the interview

o   Empower them to own their narrative. Let them know your intent to be a pathway for your audience to hear from them in their words with their voice and mean it.

o   Let them know they will get to approve the final product(s)

3. Confirm pronouns, and preferred name 4. Check body language as you continue through the interview to gauge
comfort and determine if you should continue.

Post Interview Checklist:

Provide the final product to the interview before
Check your bias, filter, and language shifts that don’t honor the interviewee’s goals or that reinforce systemic racism and stereotypes.

https://georgetownvoice.com/2020/06/30/address-racism-in-journalism/

https://www.philanthropy.com/article/NonprofitsFoundations-Are/245733

https://generocity.org/philly/2020/08/03/dont-perpetuate-harm-while-parading-it-as-diversity/

As you begin telling stories orient every narrative around value, assets, and opportunity for the teller not simply your fundraising objective.

PNC Article: CGAs Remain Attractive

Anna Matheson — Fri, 10 Sep 2021 14:26:24 GMT

CGAs Remain Attractive

PGCGP Member Profile: Mary Fischer-Nassib, CAP® Co-Founder and President Sow Good Now

Anna Matheson — Fri, 10 Sep 2021 14:16:00 GMT

Mary Fischer-Nassib, CAP®
Co-Founder and President Sow Good Now
PGCGP member since 2021

Tell us about the work of Sow Good Now.

Founded in July of 2018, Sow Good Now utilizes organized youth sporting activities as a platform for philanthropic education and inspiration, as we partner with sports teams and other nonprofits to increase community collaboration and intentional giving. Sow Good Now aligns each team of athletes with a youth group to teach the fundamentals of philanthropy and engage them in active volunteerism and participatory grantmaking. This is done through Giveback clinics where the athletes act as coaches and mentors spreading the joys of giving their time, talent, and treasure. The outcome is the mentors encourage the next generation of philanthropists at their rudimentary levels.

Roughly 45 million children participate in sports in the U.S. annually and there are less than 500 youth philanthropy programs nationwide. By bringing diverse community members together through the sports they love, and by integrating a spirit of generosity with active volunteerism and participatory grantmaking, a new and sustainable ecosystem of philanthropic giving can be established. Sow Good Now’s model transforms the individual athlete by inspiring passion, providing philanthropic education, and developing leadership skills. Those who donate to the organization are collectively lifting youth voices and applying innovation to address social issues for a better tomorrow.

What responsibilities do you have in your role?

As the co-founder and president of a start-up impact organization, I wear a lot of hats. I am a program director, cheerleader, recruiter, educator, student, researcher, coach, fundraiser, communication specialist, evangelist, and operations specialist. However, my main responsibility is to empower young athletes to share their gifts with others in meaningful ways and grow philanthropy through the sports we love.

What part of your role is most enjoyable?

It thrills me when young people experience an “aha moment” and realize how powerful they are, as they start to fully recognize their potential to make a positive impact on the world. I am moved when our work changes the trajectory of an athlete’s life and the focus shifts from achievement to service. I am inspired when teams come together and collectively share their time, talent, treasures, and ties with others. Their joy inspires our volunteers to continue to achieve our mission.

What is the most impactful gift your organization has received?

At Sow Good Now, we believe every gift is impactful. In effective philanthropy, we need to work as a team, and we believe that the person who holds the key to the gym is equally as important as the person who builds it. Without the whole community’s commitment to service and generosity, we cannot maximize the good that is possible.

What are donors saying about why they choose to support your organization?

When we first started in 2018 and took to the fields, courts, and gyms to teach philanthropy, many donors and volunteers commented that the word “philanthropy” was too hard to use with young players. They suggested we replace it with “community service.” We held fast to our conviction that philanthropy is the love of mankind and that if that was too difficult for them, then maybe they were in the wrong place. Now we commonly hear comments such as “we need more philanthropy!”

How do planned gifts make a difference to your organization?

Since we are a fairly new entity, we are still building our efforts in integrating planned gifts into our fundraising, but we expect them to become a big part of our organization. By educating younger people in philanthropy, we hope to raise generations of givers who have ample time to learn about and understand the tools available to leaving a legacy. They will be better prepared to talk to their families, advisors, and planners about charitable strategies in the future.

How do you benefit from PGCGP membership?

The PGCGP membership provides the Sow Good Now leadership team with a great network of giving experts and a community of diverse philanthropists. We have met so many great people with whom I can share ideas and issues as they arise.

Learn more about Sow Good Now by visiting sowgoodnow.org.

President’s Message – June 2021

Anna Matheson — Wed, 09 Jun 2021 20:43:42 GMT

Written By: Delia Perez, CFRE

As we head into the summer season, we hope you can enjoy the good weather and engage in your favorite outdoor recreational pursuits with family and friends. We also urge you to take advantage of the PGCGP educational curriculum to improve your overall philanthropic results on behalf of the causes we serve.

As we play our collective role in getting things back to “normal” with vaccine rates increasing and COVID cases decreasing, we are optimistic that Philadelphia will keep easing indoor capacity restrictions, allowing us to resume in-person networking activities and learning opportunities in Center City. Until that time, please considering joining us for upcoming virtual educational sessionsto learn from our expert presenters.

I also encourage you to explore ways to get the most from your PGCGP membership:

Attend our annual premier educational event, the Planned Giving Day Conference, on October 27^th 2021 at the Union League in Philadelphia.

Register for the two-day Planned Giving Course in April 2022 as a good introduction to our field and the half-day summary program on October 26^th 2021.

Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your professional skills.

Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. We remain deeply grateful for our ongoing partnerships with our sponsors.

Have a healthy and safe summer!

Spotlight on Mentor John Schlesinger and Mentee Steve Ardinger

Anna Matheson — Wed, 09 Jun 2021 20:27:13 GMT

Written By: Jessica Brookstein, MBA, CAP®, Divisional Director of Gift Planning at The Salvation Army

The Planned Giving Council of Greater Philadelphia offers a Mentoring Program to further the Council’s mission to provide meaningful professional resources to our membership. Read how two of our members have benefitted from this mutually beneficial experience.

Mentor Background: John Schlesinger has more than 35 years of advancement experience, primarily in higher education, as well as healthcare, horticultural and human services organizations. His career has allowed him to develop a unique perspective into every aspect a fundraising program. In his tenure, he has directly served in every area of a traditional fundraising program including strategic planning, prospect research, annual giving programs, stewardship, major gifts, planned giving events and executive management. His focus in every program served has been building and enhancing relationships, promoting engagement and affinity to each organization’s mission and vision, and developing strategic approaches to encouraging growth and leadership support. His current credentials include the CFRE and CAP®. John is currently directing the planned giving program at Einstein Healthcare Network and has been a member of PGGCP since 1997.

Mentee Background: Steve Ardinger, CAP®, CLTC, has more 20 years’ experience as an Independent Financial Advisor specializing in retirement income planning, long-term care and philanthropic giving. As an independent advisor he built strong relationships with his clients based upon mutual respect and trust. In 2018, he witnessed the power of philanthropic giving in the months following the tragic loss of two close friends and decided to refocus his career. Steve is currently the divisional gift planner for The Salvation Army Eastern Pennsylvania & Delaware Division and has been a member of GPPGC since 2020.

What led you to sign up to be a Mentor/Mentee?

John: Participation in PGCGP committees has always been difficult for me to juggle with work, but I have always enjoyed helping another professional seeking to expand their understanding of our work and felt it would be the best way for me to give back to the organization as well as the profession. Throughout my career I have benefitted greatly from the advice and guidance of more seasoned professionals and know it is the best way to help someone else grow in their profession.

Steve: I have, in my past career as a financial planner, enjoyed helping other professionals expand their understanding of the work and responsibilities of the position. As I embarked on my path into gift planning/development, I felt that it would be the perfect opportunity to reach out and try to find a seasoned professional for the same type of help I had provided in the past. There is no better resource than someone that has already been there. I wanted to listen and learn as much as possible to help me in my transition.

What do you hope to get out of being a Mentor/Mentee?

John: Mostly the satisfaction of helping another professional expand their knowledge and understanding, as well as being a source of support at times when dealing with specific issues. It is also a great way to get to network and get to know others in nonprofit fund raising. Often, it will provide me with understanding new approaches to my work.

Steve: Knowledge and the support of a trusted professional to lean on if times get hard or I find myself in a situation with answers that are difficult to find. I also am looking at the role as a networking tool helpful to expand my contacts in the field.

What is one piece of advice you would give to new professionals entering this field?

John: I would say, be open, listen and learn about the mentee. Sometimes he or she knows more than they realize, (and) just needs encouragement in what they are doing already. Along with this, be mindful of where you have come from and how the well-placed advice of a colleague in the field has helped.

SA: FIND A MENTOR. Someone you can lean on, bend their ear when needed. No one wants to go it alone! Though I will openly admit I have underutilized my mentor over the past few months, I plan to take my own advice and build the relationship moving forward.

Mentors in PGCGP’s program are gift planning professionals who want to “give back” to the profession. To discover the options that are available to you, please email us at info@pgcgp.org.

Please note: to participate in this program, you must be a current member of our local council.

Gift Planning in A Small Shop

Anna Matheson — Wed, 09 Jun 2021 20:23:59 GMT

Written By: Susan Sharp, CFRE, Vice President for Philanthropy, Simpson Senior Services

I run a philanthropy department. And by department, I mean me and an administrative assistant! On any given day I could be asking for a complex gift or ordering balloons. Other days I work on board development or hunt down new toner (thanks, COVID). When I step back and reassess what the most important thing I do to support my organization’s mission, I always come back to the same answer… securing planned gifts. Sometimes the road to get there feels like it is straight uphill, and I wonder if I’m taking the right steps.

Our organization was founded and supported decades ago by those willing to invest in the Simpson mission through their estates; some modest amounts and a few that have provided significant support in the sustaining of our work. I would venture a guess to say that a few had specialty advisors and advanced knowledge themselves, but all led with their hearts to do good. Just plain good for a mission they supported and an organization they loved.

This leads me to my point; planned giving is not as complicated as we often make it out to be. Sure, specialty knowledge is necessary. But that type of knowledge is readily available even if you do not have it all together or if you have a small team. I have yet to find a financial advisor, a banking officer or attorney unwilling to help their client (or me!) with heart intentions.

Hearts are captured when we align mission with intention. My job is to tell the story and then tell it again to those that may align. Like the story of being able to keep a 104-year-old woman in her home even after she ran out of her own resources. Or the woman who made technology possible that can help reduce falls for seniors in our care. Both examples occurred recently because of planned giving. There are honestly too many stories to mention here but I find myself in a unique position to capture this knowledge – and to share it!

We all know that research has shown us that donors who give regularly (regardless of size of gift) over a longer period are the most likely to consider a planned gift. Find those people and tell the story of your organization! And then tell the stories again when you are asked to address a group or take a prospect to lunch or write a newsletter article. Tell them!

I hope that this encourages you today, especially if you are feeling overwhelmed or uncertain of where to focus your efforts. The truth is, I have never seen a strong foundation whose backbone did not come from planned giving. Now if you will excuse me, I think my toner is low…

PGCGP Member Profile: Nathana Jackson, Director of Gift Planning, University of Delaware

Anna Matheson — Wed, 09 Jun 2021 20:15:02 GMT

Nathana Jackson
Director of Gift Planning
University of Delaware (UD), Newark, DE
PGCGP member since 2017

How long have you been involved with gift planning?

Seven and a half years. I had worked in trust administration and estate settlement in the banking industry for six years. While pursuing a master’s degree in Administration of Human Services, I learned about fundraising and decided that’s what I wanted to pursue. I volunteered at a few non-profits to gain experience and began working at UD as a development coordinator for the Gift Planning and Corporate and Foundation Relations teams. That exposed me to gift planning by assisting the team of gift officers with their needs and administrative
work, so I transitioned to other side of trusts and estates from where I started.

What responsibilities do you have in your role?

In addition to managing prospects through qualification, cultivation, solicitation, and stewardship, I co-train our major gift officers on planned giving. I also partner with them on blended gifts and planned gifts they discover. Prior to COVID, I did a lot of in-person work educating our continuing education population – of which a large percentage are retired – about planned gifts through presentations, classroom visits, staffing info tables and other activities. I hope to resume that by next year.

What part of your role do you find most enjoyable?

My favorite part is meeting new prospects and learning their stories, their connection to UD and hearing about their time as a student and the path they took after graduation. I enjoy being able to come back and help them figure out what impact they want to make with their gifts. We have so many opportunities; it’s fun helping them narrow that down to decide what exactly they want to do.

What has been the most complex gift plan you’ve coordinated?

I was involved in working on estate where the deceased had named UD as executor and as one of the beneficiaries. He was from Bulgaria and some of the other beneficiaries were in Bulgaria. Documents had to be translated into another language because the other beneficiaries – including individuals we had to track down - were in Europe. It was pretty complicated and took years to finalize.

What are you hearing from donors at this point in time?

I’m still seeing “simple” planned gifts - bequests remain the most popular and gifts from IRAs are becoming more common. Most new estate gifts are bequests. With the pandemic, a lot of people are looking at estate plans and finding that bequest is the simple way to go. It does involve an attorney but if they’re making changes anyway, it’s easy to add charitable intentions. Adding UD as beneficiary to a retirement plan is also an easy option some donors find attractive.

What do you see in the future of gift planning?

As far as gifts, I think younger people are getting more involved in investing right now, especially with things like Robinhood, so we may start getting more gifts of securities. As that grows, that generation may end up including charities in their overall planning, so we need to continue to educate and cultivate. I also see more technology and digital outreach becoming standard. I know some churches are using sophisticated apps for donations since congregations may not be together in person.

How do you benefit from your PGCGP membership?

Attending things like Planned Giving Day and PGCGP’s other professional development opportunities are always helpful. I’m on the Planned Giving Day Committee and being part of that and learning how that is structured and everything going into it has been insightful. I also mentor someone through PGCGP’s mentorship program.

President’s Message - March 2021

Anna Matheson — Thu, 18 Mar 2021 14:20:55 GMT

Written By: Delia Perez, CFRE

While many of us may feel beaten down by the coronavirus pandemic and economic downturn that plagued the tumultuous Year of the Rat, we can take heart because February 12^th 2021 ushered in the Year of the Ox. According to Chinese astrology, our collective fortune is about to change – for the better – with a new year of compassion and healing, and the rollout of COVID-19 vaccine. Now more than ever, we look forward to new beginnings, transformational change and innovation.

We have much to do in this time of peril and possibility. Businesses closed and jobs were lost, and many of our colleagues, family and friends were furloughed or laid-off from the causes they serve. We need to thoughtfully listen to each other with empathy and understanding. We need to lend a hand with the same care and concern we would offer to the benefactors of the causes we serve. We are all in this together and our better angels have always prevailed.

It’s time to be inventive, intervene, get involved, reassess and reclaim what’s best for us both personally and professionally. The Ox year will push to improve life and emphasize how our diversity makes us stronger and better when we work together. In Chinese culture, oxen are symbols of wealth and prosperity, acquired through hard work, diligence, perseverance, integrity and fair play.

The new year represents a time to reflect and recalibrate, review your accomplishments and determine if you achieved your goals, fell short or exceeded your own expectations. Only you know for sure if you did your best.

We invite you to take advantage of the PGCGP educational curriculum to improve your results. We hope to return to our usual in-person meetings at the Racquet Club in Philadelphia later in the year. In the meantime, please considering joining us for our virtual educational sessions to learn from our expert presenters.

Exceeding your expectations? Consider presenting a topic relevant to planned giving at one of our educational programs.

Attend our annual premier educational event, the Planned Giving Day Conference, on October 27^th 2021 at the Union League in Philadelphia.

Register for the two-day Planned Giving Course in April 2022 as a good introduction to our field and the half-day summary program on October 26^th 2021.

Volunteer your time and expertise. Get involved with PGCGP committees to ensure the success of PGCGP program offerings while also strengthening your professional skills.

Get acquainted with our sponsors and take advantage of the quality services and products they provide to better serve our planned giving community. Thanks to our ongoing partnerships with our sponsors, we hope you enjoy the timely articles submitted from the Stelter Company, Pentera, and The American College, who are sharing their expertise in this issue.

PGCGP offers a mentoring program for newcomers in the planned giving field and assigns seasoned professionals to help grow a budding career. We offer multiple opportunities for volunteer assignments supporting our council activities and invite you to consider joining your colleagues in service for our profession. We need your help to support PGCGP initiatives. One of the benefits of volunteering with your colleagues is a great networking connection where you can discuss important facets of your work and exchange ideas to improve effectiveness and efficiency.

Make the most of your PGCGP membership and re-energize your work life this year. Wow your donors with excellent stewardship and let them know they are appreciated. Discuss the impact of their generosity, thank them often, ask their advice, and extend an invitation to visit without always soliciting donations. Phone and arrange a zoom visit with your donors and let them know they are important and matter to the mission of your organization. And when it’s safe to gather in person again, go visit your donors.

We hope the Year of the Ox will be one of your best years ever, and as they say for the Chinese New Year: "Gong xi fa cai," which means “wishing you great happiness and prosperity.”

Delia G. Perez, CFRE
President, PGCGP

Navigating Uncharted Waters with New Administration

Anna Matheson — Thu, 18 Mar 2021 14:17:50 GMT

Written by: Lynn Gaumer, JD, Senior Gift Planning Director, Stelter

Now with a Democratic White House and House of Representatives and an evenly divided Senate—Vice President Harris represents the tiebreaking vote—I believe we will have enough congressional support to see changes in the U.S. Tax Code during the Biden administration. But when? Let’s look at a little history.

Read more.

The New Gift Planning Standards in Context - An Introduction to the National Standards for Gift Planning Success (NSGPS)

Anna Matheson — Thu, 18 Mar 2021 14:00:31 GMT

Written By: Phil Cubeta and Laurie Morrow. Phil holds the Sallie B. and William B. Wallace Chair in Philanthropy at The American College of Financial Services, where he directs and teaches in the Chartered Advisor in Philanthropy® (CAP®) program. Dr. Laurie Morrow serves the CAP® program as an educational consultant and editor. She is also the editor of CAPShare.

The National Standards for Gift Planning Success (NSGPS) identify the elements essential to a successful, sustainable gift-planning program. The American College of Financial Services® presents a summary of these recommendations.

Read more.

Best Practices for Marketing to Planned Giving Donors During COVID-19

Anna Matheson — Thu, 18 Mar 2021 13:59:35 GMT

Written By: Claudine A. Donikian, President & CEO, Pentera, Inc.

Pentera's COVID-19 survey was conducted as a second phase of research—following a series of interviews that Ms. Donikian conducted with other industry experts beginning in Spring 2020 to discuss how they were adapting their planned giving programs to these unprecedented times. The survey findings include responses to questions about stewardship and marketing received from hundreds of planned giving departments around the nation.

Follow link to request complimentary download.

Gift Planning in A Small Shop

Anna Matheson — Thu, 18 Mar 2021 13:51:54 GMT

Written By: Kathleen Sanger, Director of Development, Home of the Sparrow

Small, front-line service organizations like Home of the Sparrow focus as many resources as possible on the client. Of our 10 full-time employees, five are solely dedicated to delivering the mission – programs and trauma-informed case management to help women and children in Chester County, PA, avoid homelessness. Our only source of income, minus some program fees, is fundraising – all $1.3M of it. With no endowment, we wake every July 1^st to a “zero” in balance sheet.

We know that building our planned giving programs is vital; it comes up all the time at meetings, amongst peers and from marketing emails that tell us we’d better get on the ball. Well, here’s what I know about the “ball” when you are in a small shop: You must put things into perspective.

First, you must accept that you are a department of one (or two if you’re lucky) who is responsible for writing grants, the annual appeal, events, fulfilling contracts for local government funding, stewarding donors, managing gift entry and acknowledgements, cleaning the bathroom (if it’s your Friday to do so), taking out the trash (every Friday) and answering the phone or door if no one else is available. You can only do so much and that is okay; let yourself off the hook and stop having nightmares.

Second, get everyone around you to stop having nightmares and panicking. My heart breaks for those of us (staff and volunteers) who were convinced that not only is planned giving REALLY complicated, you most certainly cannot begin until you have a brochure (don’t get me started on the brochure). This leads to months and months of writing and designing by committee (yikes) during which, the whole point is missed.

Isn’t planned giving just part of the natural course of building a relationship with a donor? It’s okay to be in a conversation with a donor and, because you sense it is the right thing to say, you ponder aloud, “Your love for our mission is extraordinary. I wonder if you have considered leaving Home of the Sparrow in your estate plans?” Last time I checked it was legal to utter these words even if you don’t have a brochure. At smaller shops, we need a new PG mantra: “It’s not rocket science – anyone can do it!” Run a query of all donors with 10, 15 or even 25 years of consecutive giving. Take 10 who gave in the last six months and send them a note or call them to get a relationship started or to deepen it.

Third, forgive ourselves for not being experts in estate planning. If a donor asks a how a CRT works and we’re not sure, reply: “I can help you achieve your philanthropic dreams with us, but when it comes to what planned giving vehicles are right for you, it’s best to chat with an expert.”

I’ve worked at large institutions where there was a staff attorney who could do it all – introduce the idea, help donors dream, and introduce the gift planning products that would create a win-win. In an ideal world, we’d all have an expert on staff. Since that’s not plausible, we take baby steps like adding language to our webpages and on pledge cards. We form a committee of those closest to us who may not be experts but want to ensure the future of our work. They create a name for the giving society and begin promoting the concept strategically. If a brochure emerges, well that’s just serendipity.

If you’d like to share your insight and experience with “small shop” planned giving in a future issue of our newsletter, please contact Megan Cantalupo at mccantal@udel.edu.

President’s Message – December 2020

Anna Matheson — Thu, 10 Dec 2020 17:45:09 GMT

Written By: Anat Becker, JD

We all know the phrase (from the book of Ecclesiastes in the Bible), "There is an appointed time for everything, and a time for every affair under the heavens." What a time these months have been: of learning to listen better and more deeply; of understanding what it truly means to be flexible and adaptive; of learning to be quiet and calm in the midst of chaos and uncertainty; of learning to be docile--teachable--and realizing that I know I don't know so much. For the fundraiser and those who help others to realize their philanthropic passions, more than ever, I hope we are learning to put our donors and those for whom we carry on our work in the center of all we do. This time will pass; a new time will come...

Christopher Jungers, CFRE, CAP
President, Association of Fundraising Professionals – Greater Philadelphia Chapter

Dear Friends,

My friend and fellow Planned Giving Council of Greater Philadelphia board member, Christopher Jungers, shared the reflection above with me. Christopher’s words resonated with my own experience during the pandemic and its aftermath in recent months.

In these turbulent times, the planned giving field can still offer donors ways to support the philanthropic community of greater Philadelphia. And PGCGP is here to continue and support your work through continuing education and networking opportunities.

I hope that you’ve enjoyed our recent series of lectures offered in lieu of Planned Giving Day. With a wide array of offerings – from an inspiring presentation about philanthropy and diversity, to efforts to streamline our work with retirement gifts, to taking stock of the health of your charitable gift annuity program – just to name a few. If you had registered and missed some of these excellent sessions, please be sure to review the recordings.

Please be sure to sign up for Jon Tidd’s presentation on January 28, as well as Claudine Pentera’s presentation on March 26. Both are excellent speakers and their insights will be especially welcome as we continue to navigate new ways and approaches to promoting philanthropy.

This will be my last letter as president of PGCGP as my tenure comes to an end next month. It’s been a pleasure to learn with you and I look forward to seeing you all in person very soon.

With my best wishes for a safe and healthy holiday season and a very happy 2021.

Doubling Down on Stewardship: One Key to Success in Planned Giving

Anna Matheson — Thu, 10 Dec 2020 17:19:54 GMT

Written by: L. Scott Schultz, President, Schultz & Williams

One thing has become clear during these trying times is that donors want to help. Planned gifts most often come from loyal donors—not necessarily big donors. That means your most important task is to pay attention to donors in a way that inspires and justifies their loyalty.

If anyone tries to tell you that we’ve been through this before, don’t believe them. That is, don’t believe that the crises all of us are facing these days are the same as those we’ve weathered in the past. The present layers of stress and uncertainty are almost too many to count, from the pandemic and the deeply damaging recession we are enduring, to the historic struggle against racism and the political turmoil we are experiencing, to the impacts of climate change we are witnessing—the hurricanes and wildfires each more savage than the last. Trying times, to say the least.

The good news for those of us in the nonprofit world is that our donors want to help. They want to support the organizations they’ve always believed in, and they want to fund those that are successfully meeting pressing needs. This includes many donors who may be promising candidates to make planned gifts.

In fact, there are certain aspects of the present moment that favor planned giving. Having seen that unexpected crises can suddenly pose an existential threat to the organizations they care about, more donors are now open to the idea of supporting an endowment or another gift that is clearly focused on your organization’s long-term sustainability.

This then, can be a time of opportunity. As someone with a perspective spanning four decades in fundraising, I believe the key to seizing that opportunity lies in effective stewardship. It’s all about making sure you don’t lose donors during this time of crisis and ensuring that you are doing everything you can to actually strengthen your level of connection and engagement.

As I am fond of reminding my colleagues, donors are like grandparents: They want to know how you are doing. They want to know you care. And the worst thing you can do is have them feeling left out. An intentional, sustained program of stewardship is your way of responding to these feelings.

Remember, planned gifts most often come from loyal donors—not necessarily big donors. That means your most important task is to pay attention to donors in a way that inspires and justifies their loyalty.

So how do you put your commitment to stewardship into action? I have three pieces of advice to share.

1. Make your plan for donor engagement; and follow it — Any priority as important as stewardship is at this moment deserves careful forethought. Start by focusing on your donor records. Make sure your data is good, and take the time to do your homework, reviewing your prospect pool thoroughly. The more you know about the individuals you are seeking to cultivate, the more personal and individualized your approach can be. You should also look to identify donors who are new to your organization who have stepped forward in response to the crisis. Remember, we are looking to acquire donors not gifts. While the donor’s motivation for giving may have been transactional, an effective stewardship effort can create a strong planned giving prospect.

Next, think about your points of contact. How many can you manage and how can you focus your limited time most productively? My advice here is that it’s generally smarter to choose depth over reach—in other words, plan for more frequent and meaningful contacts with a smaller number of high-priority prospects than trying to engage with everyone. Remember that to be effective, your stewardship will need to be sustained, and biting off too large a prospect audience makes it less likely that it can be.

2. Revisit and refine your messaging — Your organization’s message to donors must always begin with your mission and the reasons it matters. However, some of those reasons may be different today than they were a year ago. It’s important to explain how, connecting your mission to this moment. It’s also important to share updates on how you’re doing, to explain how the crisis may have changed your organization, and to communicate the solutions you are putting in action.

As you do so, I would encourage you, more than ever before, to adopt an attitude of transparency. This is no time for spin (if there ever was one). It is a time for honest and open concern and sharing. The starting point for our connection with donors is very basic; it comes from the fact that in these recent months, we have all found ourselves newly vulnerable and are eager for any chance to help and support each other.

3. Choose multiple channels of communication — To get and keep donors’ attention and nurture a meaningful conversation with them over time, you can’t rely on any one form of contact. In fact, you need to do exactly the opposite, tapping the full range of outreach channels available, from mass mail and email to hand-written notes, personal calls, and Zooms. There is no single medium that is right for this moment; instead, you should look to combine tried and true old-school methods with the newest ideas out there. As part of the mix, I strongly suggest exploring video. In these days since in-person encounters have grown so difficult and rare, simple, sincere video messages, even recorded on smart phones, have shown their power to connect with people.

One last key point: your stewardship communications need to be two-way. Donors not only need to hear from you, but to know that you are hearing them.

In closing, I’d like to share one piece of advice that transcends the tactical steps I have recommended. It is to remember the essential importance of hope. Donors may love your organization and believe in your cause. However, they won’t give in a significant way until you’ve made them feel secure about the future. This, of course, is even more true when it comes to planned gifts than other forms of support. Planned gifts are the ultimate long-term investment.

This means that in our stewardship, we need to work intentionally to envision better days to come. We need to think about the part our organizations can play in getting there. We need to focus on positive outcomes.

I don’t often find myself quoting Napoleon, but on this point he was correct. “A leader,” he said, “is a dealer in hope.” Right now, we need to pitch in to lead the great nonprofits that we all count on back to a point of strength and stability, and planned giving will be essential to our success.

President’s Message – August 2020

Anna Matheson — Wed, 12 Aug 2020 20:30:48 GMT

Written by: Anat Becker, JD

Dear Friends,

I hope you are safe and well. We've missed seeing you at the educational events of the Planned Giving Council of Greater Philadelphia, and we were glad that so many of you joined us online in March and June. September is right around the corner, and with it our traditional kick-off to Fall programming. You will see that we've adapted our programs and courses to today's realities.

The PGCGP has a robust lineup of programs scheduled for the Fall, including a Planned Giving Day keynote presentation on Diversity and Philanthropy. Please see a summary of this extremely important and timely session directly below. We hope that these educational programs will be helpful to your work in the greater Philadelphia philanthropic community.

On September 11 we will hold a webinar featuring Russell James, J.D., Ph.D., CFP®. Russell is a professor in the Department of Personal Financial Planning at Texas Tech University where he directs the on-campus and online graduate program in Charitable Financial Planning (planned giving). Russell will review 100 years of data about charitable bequests.

On September 24 and 25 the Planned Giving Course will take place online. This course is designed for new and emerging planned giving professionals and development officers who want to add planned giving conversations into their interactions with donors, and wealth advisors and financial professionals who seek to increase their understanding of charitable planning strategies.

Our Planned Giving Day Series is arriving Wednesday, October 14, with two educational sessions scheduled every Wednesday through November 18. While we'll miss seeing everyone at the Union League, we are pleased to offer pertinent topics by renowned speakers.

Finally, another educational program will take place on December 3. Additional information will be shared closer to that date.

I invite you to enjoy these topics and to sign up for these programs at your earliest convenience. Registration is available at pgcgp.org and via emails that are ongoing. I also encourage you to join one of our many committees that encompass membership, programming, sponsorships and much more.

Best wishes to you all.

Habits to Keep. And Let Go. After Lockdown.

Anna Matheson — Wed, 12 Aug 2020 20:26:03 GMT

Written by: Viken Mikaelian, CEO, PlannedGiving.Com

A sad moment during this pandemic was my mother’s death. Because of the lockdown and travel restrictions, I could not be with her during her final days (she lived in Nevada). Although I’m told she passed in peace, which was a blessing, it doesn’t take away the sting — and I know there’s many people right now who can relate.

The pandemic has affected each of us in different ways, and we all have stories to share.

But if you know me, you know it’s not in my nature to sit around and wring my hands over what was, or even what might be. I choose to focus on the positives during tough times. So, with that in mind, I’ve been treating the pandemic as an opportunity for personal development: The lockdown has inspired me to experiment with new habits and new lifestyles. Some of them I’ll keep. Others … not so much.

For instance:

The Good

I’ve been getting in touch with clients just to say “hi!” (you should do that, too — call or write to a donor daily).

I’ve been brainstorming with staff to develop new ways for clients to market their planned giving programs (you should be brainstorming ways to reach prospects).

I updated my estate plans (you should probably do that, too).

I’ve been working seven days a week, and yet still setting aside time for my wife. I cherish our happy hour at 7 PM every night on the deck (OK, truth be told I was usually working seven days a week before the pandemic, so not much of a change there. The point is, it’s time to double down, not hurry up and wait).

The Bad

I’m only shaving once a week.

I’ve been letting my hair grow.

I’ve cut down on exercise.

The Silly

I’ve become a scofflaw; a true rebel without a cause: Due to lack of traffic, I often take a right on a “No Turn On Red” (and then suffer Driver’s Remorse that evening…).

I’ve been considering teaching Chloe, our Yorkie, how to drive. What could possibly go wrong?

Email us some of your good, bad and silly habits. And be brutally honest.

I’ll respond. Honest.

Covid-19's Silver Lining: Surge in Opportunities for Planned Giving

Anna Matheson — Wed, 12 Aug 2020 19:54:04 GMT

Written by: Aruna Pappu, LLM-Tax, J.D., MSTax, Director of Development, Gift Planning, Drexel University

As this unprecedented COVID-19 crisis continues, more and more Americans are facing uncertain futures. In the past few months, an interesting trend has been evolving from this uncertainty: Attorneys across the country are being besieged by clients requesting new Wills and Estate Planning Documents. COVID-19, it appears, has been a resounding wake-up call to many who have avoided facing these important personal and family decisions in the past. As Mary Kate D’Sousa, a veteran estate lawyer and co-founder of Gentreo observed, “[A]s awful as the pandemic is, at least it will enable people to take action they need to protect their families and loved ones….This has moved from the ‘to-do-list’ to ‘I really have to get that done.”

So who are these folks now clamouring for their Wills to be done? Attorneys are reporting that these new clients represent all ages and segments of society, rich and poor, old and relatively young. It appears that what’s happening in lawyers’ offices now reflects the “Best Practices” promulgated in the industry for years: Namely that Wills and Estate Planning Documents are beneficial to all individuals, regardless of financial standing or age. Now more than ever, Americans across the board are poised to draft/update their Wills, Powers of Attorney, Healthcare Surrogates, Living Wills and End of Life Directives.

My fellow PGCGPers, by now you should be hearing the not-so-faint strains of harps and the pot o’ gold image should be coming into sharp focus. As more and more Americans are updating their Wills and planning documents, they will inevitably also be making decisions about their Charitable Giving. Our Prospective Donors are primed to GIVE NOW, so this is a HUGE opportunity for us.

The obvious question at this point is “HOW?” HOW do we undertake meaningful discussions with our Prospects during these socially distant times and still manage to move the Gifting process forward? Although the “Best Practices” for this aspect of our profession are new and continually evolving, it is widely recommended that Charitable Gift Planners make the following modifications to their Gifting strategies:

Delay IN-PERSON meetings with older Donors. Instead, use tools such as Zoom meetings, FaceTime calls, etc. to schedule VIRTUAL Visits with older Donors. This is a useful method to remain in contact with Prospects and an effective way to keep the Gift Planning discussion active during these times of socially distancing;
Remind Donors about the benefits of CGAs. Take this opportunity to assure Donors that their annual CGA income will NOT be affected by Market volatility;
Educate Donors about the SECURE Act. Educate Donors about the SECURE Act’s new rules regarding Retirement Accounts and Qualified Charitable Distributions (QCDs), also known as Charitable IRA Rollovers. Clarify that the SECURE Act affects Donors who own IRAs, 401(k)s or any Qualified Retirement Plan. Further, the demise of the “Stretch IRA” will likely motivate Donors with large IRAs to Gift a larger percentage, or possibly all, to charity;
Encourage Donors to consider other deferred Gifts. For example, discuss the benefits of Gifts from Wills, Trusts, Life Insurance or Payment/Transfer on Death designations – since these do not require a current transfer of assets, Donors may find them more appealing;
DISCOURAGE Gifts of DEPRECIATED Capital Assets. Explain to Donors that, under the current Market downturn, depreciated capital assets such as securities or real estate, should not be donated. Encourage Donors to Gift cash instead.

With the aid of available technology, these recommendations seek to help us “pivot” to more “Virtual” interactions with our prospective Donors – at least for the foreseeable future. Remember my friends, we’re all in this together. So let’s all do our best to use this “Silver Lining” to Planned Giving’s advantage!

Pairing Passion with Philanthropy: The Marzan Brothers – Running with FDU

Anna Matheson — Wed, 12 Aug 2020 19:27:53 GMT

Written by: Delia Perez, CFRE, Director of Planned Giving, Fairleigh Dickinson University

As gift planning officers, we focus on relationship building with our benefactors to ultimately connect their passion with our nonprofit’s needs. As we get to know and build trust and rapport with our donors, we come to understand what they value and want to achieve with their philanthropic investment. The Marzan brothers and their love of running led them to Fairleigh Dickinson University and ultimately, the creation of legacy gifts for scholarships to honor the memory of their FDU mentors.

Paul (left) and Peter (right) Marzan run into FDU cross country stardom in 1977.

Twin brothers, Peter and Paul Marzan, unexpectedly found their way to Fairleigh Dickinson University, and it all started with their love of running. They grew up in Park Ridge, N.J., where they attended elementary school and graduated from Park Ridge High School in 1976. Their mother, Geraldine, worked hard to raise her boys on her salary as a cashier in a local supermarket and knew that a college education was far beyond their means. She encouraged them to study hard and get good grades.

The Marzan brothers were outstanding athletes at Park Ridge High School and their track records caught the eye of a volunteer ‘talent scout,’ Elia Stratis, who ultimately directed them to FDU. Elia, BS in accounting (’67), MBA (’76), was a member of the FDU Board of Trustees, had served as president of the FDU Board of Governors, and was an avid soccer player.

Paul says, “We were contacted by Elia who was working with FDU’s Athletic Department. We didn’t respond right away, so Elia kept calling us throughout the spring and summer of 1976. He had a video of Peter and I winning track and cross country events. He wanted to meet us and our Mom, and we invited him to our home. Elia arrived with a fruit basket for us and discussed FDU athletics, and the rest is history.”

According to Peter, “Elia was shopping for talent to help the assistant athletic director and coach, Walter Marusyn, build better soccer, cross country and track teams for the University. He made it his personal quest to recruit exceptional runners for FDU’s athletic teams.” After that conversation, Peter and Paul were offered scholarships and enrolled at FDU for the 1976 fall semester. Peter says, “Paul was the top recruit that year and the scholarships made a college education possible for us. Mom was thrilled beyond words and always left two dollars on the kitchen table for us to take to FDU each day. Our teammates told us that Elia showed up in their living rooms with fruit baskets too and also encouraged them to consider FDU athletics. His strategy worked.”

During their running days at FDU, Peter and Paul, and their teammates, made Coach Walter Marusyn very proud, especially with the record-setting performance of the 1977 cross country team. In 1978, Paul was the Mid-Atlantic Region nationally ranked team’s MVP (most valuable player) in cross country and co-captain of FDU’s cross country team in 1979. Through it all, they remained grateful for their track and cross country athletic scholarships that funded their FDU education.

Ever the entrepreneur, Elia left a prominent accounting firm and founded his own firm, Campos & Stratis, in 1969. He was a pioneer in the field of forensic accounting. During their four years at FDU, Peter and Paul worked as summer interns with Elia, who also mentored their educational, athletic and early professional lives.

Peter earned his BS (’80) in marketing and was hired as an internal auditor for Butler International. He also enrolled in FDU’s MBA program and in March 1985, Elia hired him to work with his firm. Peter completed his MBA (’86) in accounting and passed the CPA exam that same year. He continued to work at Campos & Stratis as a senior auditor until Elia’s unexpected passing in December 1988.

In March 1989, Peter accepted a position at Evonik Corporation and became an accomplished lead buyer for 25 rail-to-truck transfer terminals, a bulk-truck transportation program, and a 40-site 3-PL (third party logistics) warehouse network. In July 2014, he was promoted to Category Manager within the logistics department at Evonik Corporation, until his retirement in January 2016. Peter now volunteers with the Humane Society of Broward County, FL., invests in real estate and start-up biotech companies, and is still running.

Similarly, Paul earned his BS (’80) in marketing. He worked with the marketing department at Mikasa China & Glass for four years and then advanced to its crystal inventory control team for eleven years. In 1995, Paul began his new role as a logistics manager with Waterford/Wedgwood USA in charge of three of the nine departments at the main warehouse. Starting in 2000, he oversaw the design and opening of a new satellite distribution center for Wedgwood USA in Cranbury, N.J., and served as one of six project managers implementing its bar code driven warehouse management system.

In 2004, Paul left corporate life behind as his entrepreneurial spirit urged him to start his own landscaping business. At the same time, he also began his own real estate investment company, purchasing undervalued residential real estate, rehabilitating the properties, and marketing these as rental properties. He now considers himself ‘semi-retired’ as he successfully manages his portfolio of residential rental properties located in Hamilton Township and Trenton, N.J., and New York City. And just like his brother, Paul is still running.

In retrospect, the Marzan brothers credit Elia Stratis as their insightful “angel investor,” along with Coach Walter Marusyn, who recognized their talent and potential at FDU. Their FDU education and experience provided a pathway to success, fostered enduring friendships with members of their cross country team, and changed their lives forever.

The Marzan brothers believe in giving back and making a difference in the lives of others. Peter says, “As we get older, we feel more of a responsibility to give back. Philanthropy and charity to others take on a higher priority. We didn’t have much when we were young and now we want to open doors for other students to have a chance at FDU too.” Paul agrees and says, “We went to a school that did its best for us and now it’s time to give back. FDU is a good place to put your money to work helping students achieve a great education.”

Peter and Paul truly appreciate their FDU education and experience. Their estate plans include legacy gifts to further the impact of existing scholarships honoring the memory of their mentors, Elia Stratis and Walter Marusyn. Now it’s their turn to open doors for the next generation of student athletes who are ready to run with FDU.

Peter (left) and Paul (right) Marzan with Delia G. Perez, CFRE, FDU Director of Planned, in Hamilton Township, NJ (June 22, 2019)

A Flip Trust Story

Anna Matheson — Wed, 12 Aug 2020 18:56:09 GMT

Written By: David L. Eldridge, Ph.D., Associate Director of Individual Giving, Swarthmore College, and Carol Blakely Buchser, M.S., Swarthmore College Class of 1967 (in consultation with Renée Atkinson, Director of Gift Planning, Swarthmore College)

The philanthropic partnerships we form via planned gift discussions are grounded in the sensitive topic of mortality as we plan a donor’s final gift. These discussions also involve the complexity of matching donors with a myriad of possible planned gift structures with varied tax and financial implications and requirements. In this case,the creation of Carol’s flip trust accelerated a pre-existing bequest of real estate that she had established years before we began our work together. The transformation from a revocable bequest to an irrevocable life income gift nearly doubled Carol’s impact on Swarthmore’s Changing Lives, Changing the World campaign, expanded her class scholarship’s impact, and added to Carol’s delight in giving. Swarthmore’s donor-centric approach prepared David to follow Carol’s lead from our first meeting.

David: When we first met, you were so excited to show me how much your bequeathed property had increased in value! Listening to you talk about how your cancer experience inspired that gift demonstrated deep trust and motivated me to discover ways to turn the additional equity into philanthropy.

Carol: Attending Swarthmore changed my life in so many ways. When I contracted thyroid cancer in 2014, I set up a Living Trust and bequeathed the condominium I purchased in 1977 to Swarthmore. I am thrilled that the condo valuation has increased dramatically over 43 years.

David: I had no idea if it was possible to convert the added equity of Carol’s property into an expanded gift. After some consultation with colleagues, we discovered a solution: a flip trust! You were excited about the strategy, but you had a caveat.

Carol: I am devoted to my long-term tenant, who moved into the property in 2012. She is retired and lives alone but has two grandchildren living nearby whom she cares for. I felt strongly that it would be mean-spirited to inform the tenant that I was giving her a month’s notice to move out.

David: We then wrestled at the office with a new question: would the tenant’s ending the lease constitute a qualified flip event? Some of our external advisors furnished an answer. Since Carol would sell the house after her tenant leaves, we could use the standard flip event of the property sale.

Carol: I was thrilled with David’s news: my tenant stays in the condo until choosing to vacate. It’s a win-win situation! My tenant remains in place as long as she wants, and I get to see how Swarthmore benefits from this endowment, continuing its mission of changing lives, changing the world.

David: We worked hard together with a number of my colleagues and the vendor that manages our trust investments to establish Carol’s trusteeship and to make sure that everyone shared an understanding of how Carol’s flip trust operates. As the current trustee, Carol will continue to receive rent and will pay all property expenses, including those accrued at sale (taxes, advisement, etc.). Swarthmore will then assume trusteeship over the sale proceeds and distribute quarterly trust revenue to Carol.

Carol: The process of setting up the flip trust was a smooth one. I received excellent guidance from the Swarthmore team and the trust investments vendor. I consulted with my trust attorney, and we were able to get all documents completed in short order. I would recommend a flip trust solution.

Planned giving is best conceived as a creative, solution-generating collaboration among donors, gift officers, and external advisors (Carol and David’s team comprised over 15 people and four organizations).

President's Message - May 2020

Anna Matheson — Thu, 28 May 2020 13:56:13 GMT

Written by: Anat Becker, JD

Dear Colleagues,

The gift planning field is ever changing. We regularly adapt to new laws, regulations and market conditions. These days we also have to consider a pandemic to which our legacy donors are particularly vulnerable both physically and financially.

How do we talk to our most loyal supporters in a sensitive way while conveying our philanthropic mission and good work? In addition to tact and a thorough understanding of our respective missions we also educate ourselves about pertinent changes in law, taxes and even our own organizational operations.

Please join us on June 4th for a presentation by Laura Solomon, Esq., who also penned an article below. Laura will address how the CARES Act affects charities specifically.

On June 18th Ronald Brown will talk about charitable gift annuities and their long history in Philly. CGAs, which offer fixed income for life, may be especially appealing to your donors now. But they may also pose a risk to your organizations, which back the annuities with their full faith and credit, considering sharp market fluctuations.

The Planned Giving Council of Greater Philadelphia will continue to provide resources as we navigate this new reality. Stay tuned for additional programs in the fall. We certainly hope to see you in person. But if we cannot, we will adapt.

Best wishes to you all.

COVID-19 and Tax-Free Qualified Disaster Relief Payments

Anna Matheson — Thu, 28 May 2020 13:51:37 GMT

Written by: Laura N. Solomon, Esq., Founder of Laura Solomon & Associates

On March 13, President Trump declared the COVID-19 pandemic to be a “qualified disaster” under the under the Robert T. Stafford Disaster Relief and Emergency Assistance Act. This designation means that employers and charities may make tax-free “qualified disaster relief payments” or reimbursements to employees and other individuals who have been affected by COVID-19.

Qualified relief payments can include:

Reasonable and necessary personal, family, living, or funeral expenses incurred as a result of COVID-19
Reasonable and necessary expenses incurred for the repair or rehabilitation of a personal residence, or repair or replacement of its contents, to the extent that the need is attributable to COVID-19
Compensation for the death or personal injuries incurred as a result of COVID-19, by a company engaged in the furnishing, sale, or transportation as a common carrier
Payments to promote the general welfare or in connection with COVID-19, if paid by a federal, state, or local government, or agency or instrumentality

These payments are not considered income to the recipient, need not be reported on a Form W-2 or 1099, and are fully deductible as business expenses of the employer. Employers seeking charitable contribution deductions for their relief payments may also use charitable organizations and even donor-advised funds, for this purpose.

Charitable organizations can also make income tax-free qualified disaster relief payments, including payments to their employees if the payments are:

To a large (e.g. community) or indefinite (e.g. current and future employees) group affected by COVID-19, rather than a specific group of individuals, and
Based on an objective assessment of need.

The IRS recommends that charitable organizations making qualified disaster relief payments maintain a qualified disaster relief policy or other records to show that the organization’s payments further the organization’s charitable purposes and that the victims served are needy or distressed. Such documentation should include:

A complete description of the assistance provided
Costs associated with providing the assistance
The purpose for which the aid was given
The charitable organization’s objective criteria for disbursing assistance under each program
How the recipients were selected
The name, address, and amount distributed to each recipient
Any relationship between a recipient and officers, directors, or key employees of, or substantial contributors to, the charitable organization
The composition of the selection committee approving the assistance.

For additional guidance on qualified disaster relief payments, see IRS Publication 3833.

Please let us know if you have questions or require assistance as you navigate qualified disaster relief payments or any other COVID-19 related legislation. We will continue to highlight new legislation and other opportunities to support and provide relief to those impacted by COVID-19.

You can contact us at (610) 645-0992 or on our website www.laurasolomonesq.com.

Click here for Laura Solomon’s Lunch and Learn program on June 4^th.

Philadelphia’s Leadership in American Charitable Gift Planning

Anna Matheson — Thu, 28 May 2020 13:48:22 GMT

Written by: Ronald A. Brown, Author, “A History of Charitable Gift Planning” (Amazon 2017)

I am excited to bring this presentation to Philadelphia, home for so much American history! It is not surprising that your fair city is important in shaping gift planning today.

This will not be like any other webinar. A few years ago, I realized something is missing in the way America trains its charitable gift planners. Something important.

Where do gift planners turn for knowledge about our rich history? Seminars rarely venture beyond the last few years. No one else is teaching or writing about the fundamentally important charitable bequests, trusts, annuities, and gifts of complex assets by colonists and by citizens of the newborn United States. Even recent events, like the national crisis that led to the Philanthropy Protection Act of 1995, have disappeared from our agendas.

I lead a campaign to own what came before us. The goal of my campaign is to enable you to recognize new facets of yourself through true stories and well-documented historical facts. Enlightened gift planners have clearer vision and are empowered to recover our proud American heritage.

My campaign is based on thousands of hours of scholarly research and writing. I make the results available through my book A History of Charitable Gift Planning (Amazon 2017), my free website at www.giftplanninghistory.org and my presentations for planned giving councils and conferences across America.

On June 18 my session for PGCGP has four chapters.

1) We begin the story of charitable bequests and trusts where America began. That is the best way to understand what comes later. Our early history is not told this way anywhere else. You don’t want to miss it!

2) You will see the important roles Philadelphia plays in the history of gift planning. Some of these roles include:

Bequests, trusts, and gifts of complex assets provided vital support for the Pennsylvania Hospital, founded in 1751 by Dr. Thomas Bond and Benjamin Franklin.

America’s first known gift annuity in 1831 was funded by John Trumbull’s best paintings of the American Revolution, including a 1776 scene in Independence Hall and a portrait of Philadelphia hero Dr. Benjamin Rush.

Stephen Girard’s bequest to found Girard College, the largest gift to that point in American history, was challenged by greedy distant relatives. A Supreme Court decision in Vidal v. Girard’s Executors (1844) changed national policy on charitable trusts.

A Philadelphia actuary named George Augustus Huggins introduced data-based decision making into American fundraising at the first ACGA conference in 1927. Huggins created a risk-management system for gift annuity programs based on business practices of life insurance and commercial annuity firms. His actuarial model is now enshrined in federal law governing all life-income gifts.

3) We revisit the crisis created by a class-action lawsuit that threatened 1,900 charities with triple damages, and that led to the Philanthropy Protection Act of 1995. This far-reaching law affects the work of gift planners and investment firms every day.

4) We end with tax reforms in 1969 and 1986 that caused a great wave of planned gifts but opened a door to self-dealing abuses. A group of volunteers, including me, responded by founding the National Committee on Planned Giving, now known as the National Association of Charitable Gift Planners.

What will you gain from participating in this unique webinar? You will see yourself and your work in a fresh new light. A world of gift planning stories and ideas will be opened for you. I can’t wait to get started!

Click here to register for the June 18^th webinar.

Don’t Make Decisions for your Donors

Anna Matheson — Thu, 28 May 2020 13:45:47 GMT

Written by: Joseph Tumolo, CAP®, CEO, Gift Planning Development, LLC

The hot topic on all the social media posts, emails, and zoom webinars center around fundraising during a pandemic. Do we call donors? What do we talk about? Do we ask them for a gift? Every one of our donors are in a different place financially, in their life stage, and their health status. How can we make a blanket decision regarding our donor’s interest and ability in making a gift? We can’t. There are plenty of donors making large current and deferred gifts during the pandemic. So why take away their right to make a difference and have an impact on the people we serve?

Don’t make decisions for your donors. It’s my favorite phrase to use with my clients and in my work. How many times do we decide on behalf of someone what we think they will prefer without asking them? Here are a few examples I have heard recently; “A donor just made a large major gift a few months ago, we can’t possibly talk to them about a gift from their assets”. “We upset the donor by misspelling their name in the annual report last week. We can’t possibly talk to them about doing more at this time”. And of course, “we are in a major pandemic, the economy is so uncertain, we can’t possibly talk to our donors about making major gifts”. Sometimes our assumptions are more subtle, and we don’t realize we are doing it. Here is one I caught myself making recently “this person has never made a gift; how could they possibly be open to a conversation about a planned gift”? Turns out the person was a retired, long time employee of the organization and in fact, had provided for the organization in their estate plans already. We most likely never would have known that (during her lifetime).

I am not suggesting that we ignore the reality of what is going on or be apathetic towards what our donors are going through. I am suggesting that we let our donors decide what is best for them. The easiest way to continue to have fundraising conversations with donors is to ask their permission to have a conversation. Take their temperature, ask them if it is appropriate for you to bring up the conversation about them making a gift. I will often say to a donor something like “I know things are very uncertain right now and I was not sure if I should bring up the gift conversation with you, but I do not want to make that decision for you. Is it appropriate for us to have the conversation”?

Stop making decisions for your donors. Present the opportunity for them to decide. This applies to all aspects of your interactions with your donors. Ask them how they would like to be cultivated, asked, and stewarded for their gifts. It will separate you and your organization from the competition.

For Maintaining a Vibrant Planned Giving Program, the “Old” Norms are Perfectly Fine

Anna Matheson — Thu, 28 May 2020 13:42:15 GMT

Written by: Lynn Johnson-Porter, VP Philanthropy & Mission Support, HumanGood

The last few months certainly have forced many of us to reframe how we engage our most loyal benefactors.

Regularly, I reach out to one particular resident at our largest Life Plan community to hear about her experiences as she navigates recommendations to “shelter in place” which ultimately disconnect her from the socially enriching experiences that have traditionally afforded her so much pleasure. Through it all, this resident exemplifies the spirit of philanthropy by affirming her commitment to annual donations, annual major gifts and an estate donation to honor the memory of her husband.

Throughout this unprecedented time, she has remained optimistic, often upholding her pledge to “give back”, primarily in tribute to the unselfish actions of front-line staff who care for her and in tribute to the members of her extended family, who have given her happy memories for nearly 15 years.

These days, many of us continue to field advice about how best to navigate the “new normal.” Working from home, decreased personal interactions with benefactors, teleconferencing, etc., continue to transform the manner in which we conduct donor relations. Nonetheless, my experiences in recent months remind me that when motivating prospects and donors toward Planned Giving opportunities, the “old norms” are perfectly fine.

Philanthropy and Planned Giving, especially, aren’t solely about the achievement of goals. Instead, we need to sustain those fundamental practices that motivate others toward transformational gifts.

As this crisis causes us to pause and evaluate strategies toward the attainment of goals, remember that basic fundraising principles still have tremendous value.

Moving forward, let’s consider infusing these four “C” s into our programming:

1. Connect: Personal phone calls are one of the most impactful ways to foster relationships with donors. Many benefactors, particularly seniors, truly appreciate such gestures as they may be isolated from so many who mean most to them.
2. Create New Planned Giving Opportunities: Uncover ways to deepen relationships with major gift benefactors who have not yet made deferred commitments. This crisis is prompting many visionary philanthropists to give careful thought to ways to make a meaningful impact upon the lives of others long into the future.
3. Communicate: Design a series of touch points from now until the conclusion of 2020 for your benefactors and prospects, including emails and direct mail, to reinforce your mission and express appreciation for their decision to include your organization among their philanthropic priorities. Make certain to share stories about the front-line heroes and heroines across your organization, whose dedication to service fosters the well-being on myriad levels. Such messaging will serve you well in 2021 and beyond.
4. Celebrate: A stewardship event to demonstrate appreciation to your most loyal benefactors—when this crisis is behind us-- will be a worthwhile investment to not only acknowledge generosity, but uncover sentiments about giving at all levels. In addition to fostering good will, you will gain valuable insight into the inclinations of those who have supported your organization in the past-- and hold promise for its future.

SSGA CAM Market Commentary: Pandemic Fallout Roils Capital Markets

Anna Matheson — Thu, 28 May 2020 13:23:39 GMT

Click here to read the entire Q1 commentary provided by State Street Global Advisors, a Gold Sponsor of PGCGP.

President's Message - March 2020

Anna Matheson — Tue, 17 Mar 2020 00:16:46 GMT

Written by: Anat Becker, JD

Dear Colleagues,

Welcome to another issue of the Planned Giving Council of Greater Philadelphia e-newsletter. We have several excellent articles covering legislative, technical and ethical topics that are especially pertinent to our field at the moment. David Toll, Esq., covers the SECURE Act’s implications for our donors. You will find great pieces by Bob Fogal, Aruna Pappu, and Mark Smith that are timely and helpful.

When I initially wrote this letter, I was eager to share with you a full slate of spring programming, including our education program, originally scheduled for March 27^th, and the Planned Giving Course, originally scheduled for April 2^nd and 3^rd.

Due to concerns surrounding the Coronavirus (COVID-19), our education programs will take place in the late fall on Thursday, December 3^rd. We hope that the education programs currently planned for June 4^th will take place as scheduled. Of course, we will keep you posted.

Similarly, the Planned Giving Course has been rescheduled to September 24^th and 25^th and I am pleased to share the following updates to the Planned Giving Course:

*The Course will take place on two consecutive days in the fall.

*We have updated the course. In addition to offering current technical and legal information, we will discuss practical ways for planned giving officers to approach prospective donors. Participants will complete the Course with concrete solicitation techniques.

*We will host a reception following the first day's sessions for the instructors and participants, providing additional opportunities to network and socialize.

*The Course offers continuing education credit for CFRE, CLE and PACE.

To register for the Course, please click here.

With best wishes for a healthy spring!

Discovering and Qualifying Assets for Charitable Gifts

Anna Matheson — Tue, 17 Mar 2020 00:08:49 GMT

Written by: Mark Smith, Relationship Manager, TIAA Kaspick

Click here to read about uncovering assets other than cash that can become viable gifts for your organization. Article used with permission.

The Tale of Two Donors: Timing is Everything When It Comes to Donating Appreciated Assets

Anna Matheson — Tue, 17 Mar 2020 00:07:22 GMT

Written by: Aruna K. Pappu, LLM-Tax, JD, MSTax

To those of us in the Planned Giving (PG) Community, the multiple benefits resulting from the donation of appreciated assets to a charity is far from a novel concept. As a matter of fact, most of us would consider this strategy a classic “oldie but goodie.” EVERYONE knows this is a downright “no brainer”, right?

Well, as was made quite clear to me recently, apparently not. Let me explain: I was recently involved with two donor scenarios. Both donors had independently approached my institution seeking to donate multi-million-dollar long-term concentrated positions of appreciated stock. The important distinction, however, was the timing of these respective calls. Specifically, Donor #1 contacted us BEFORE the anticipated sale of his appreciated stock; while Donor #2 called us three weeks AFTER he had completed his stock sale. (You know where this is going…)

With respect to Donor #1, we were able to advise that the more beneficial approach for all concerned would be for him NOT to sell his appreciated stock, but rather to donate these assets directly to our organization. We explained to Donor #1 that by making such a “Gift-In-Kind” of his appreciated assets, the tax benefit he received would be two-fold: (1) during the year of donation he would get the full FMV income tax deduction (up to a maximum of 30% of his AGI); AND (2) he would avoid paying any capital gains tax on the built-in stock appreciation value (i.e., the FMV less his cost basis). We also made clear to Donor #1 that we, as the recipient charity, would not be subject to any income or capital gains tax on the amount he gifted to us. Thus, by making a charitable gift of the appreciated stock to our organization, Donor #1 would be able to make a very generous charitable donation while generating significant tax benefits for himself. As you can imagine, Donor #1 was thrilled with this news and our organization was able to secure a very substantial charitable gift. A classic “Win-Win” all around.

In contrast, since Donor #2 had already sold his appreciated stock by the time he contacted our office, we were unable to offer him the sort of timely and beneficial advice we offered to Donor #1 above. Sadly, we had to inform Donor #2 that he would be subject to income taxes on the sale of his $11 million in stock as well as capital gains taxes on the built-in appreciation value. He was unaware of these tax implications -- his contemplated Big Gift to our organization unintentionally turned into the “Big Gift That Got Away.” A Big Ouch for all concerned. We tactfully admonished him for not contacting us before he embarked on this stock sale.

So my friends, the moral of this story is simple: We must impress on all donors and prospects how imperative it is to involve your planned giving team in the charitable giving discussions as early as possible. Timing, as they say, is EVERYTHING!

How’m I Gonna Get This Done?

Anna Matheson — Tue, 17 Mar 2020 00:04:45 GMT

Written by: Bob Fogal, PhD, ACFRE, CAP

In a previous column on personality styles, I wrote (and it’s still a good introduction to the theme!):

A challenge that all fundraising professionals face is how to engage donors and volunteers—and colleagues—whose personalities differ from our own.

Observing that “people differ” is a mundane statement. Such statements commonly show up, though, in discussions about others whom we consider a source of difficulty for us—those we might call “problem people.” When we elevate such observations to include social or demographic groups, all kinds of biases and prejudices can surface that are not positive attributes in our profession.

Self-awareness is essential for the self-management required to manage ourselves professionally. As we each become clearer about what “makes me tick,” we can identify much more easily how others differ from us in personality and style. I have found that a theory called personality type, as defined and developed by Carl Jung a century ago, is still a good tool for enhancing our interpersonal communication and reducing unconscious characteristics of our personalities.

One key component of psychological type is how we perceive the world and take in information. (This is what the previous column addressed.)

Another key component involves our priorities in making decisions and how we interact with the outer world—in other words, how we use what we have learned. Jung called these mental functions “thinking” and “feeling.” The terms aren’t the best, since we all think and we all have feelings. But in 100 years no one has come up with any better terminology, so we’ll stick with it for now.

Those who prefer to use the thinking function enjoy abstract analysis and objective truth. A favorite analytical tool is exploring data-driven pros and cons. They believe the best decisions remove personal concerns from the process—and getting on with the work. Well-organized information and projects appeal. And it’s not unusual that they have a high level of confidence in their logic.

In contrast, people who prefer using the feeling function will usually consider how ideas, information and opinions impact people. They make decisions based on how they understand the needs and emotions of the persons involved. Personal values have priority—both their own and others’. If it’s necessary to slow down a task to establish or maintain interpersonal harmony, they will.

Interacting with someone whose decision-making function differs from our own is challenging. Most of us need a lot of practice to do so. We’re unlikely to encounter overt challenges from donors or prospects when their preference differs from ours—especially from the feeling preference folks! (The thinking preference people will just consider your conversation a waste of time, keeping them from other tasks.) Their default position will simply be lack of interest because we aren’t communicating in their dialect.

A staff colleague, however, might be different, since we are more likely to deal with positions and decisions that others may want to defend. Extreme defensiveness usually correlates with rigid decision-making, which makes success less likely for everyone.

So, the data- and task-driven, analytical gift officers need to learn how to relate to people’s personal values and needs. And the interpersonally- and values-oriented gift officers will benefit from learning how to connect with analytically- and task-oriented individuals.

The observations in these columns barely scratch the surface in applying psychological type to philanthropic management. Let me know (bobfogal31@gmail.com) if you have questions or comments.

The SECURE Act: What Does It Mean for Your Donors’ IRAs?

Denise Downing — Wed, 22 Jan 2020 13:08:10 GMT

Written by: David J Toll, JD, MBA

Today, the traditional pension funds our parents had have become a thing of the past and most people will rely on Individual Retirement Accounts (IRAs) or 401(k) plans to take them through their “golden years.” With a goal of enhancing retirement security for a growing population that’s living longer than ever before, last month Congress passed the first major piece of retirement legislation in more than a decade. The Setting Every Community Up for Retirement Enhancement (SECURE) Act took about three years to come to fruition and, despite being stalled along the way, has enjoyed consistent bipartisan support.

The SECURE Act, which took effect on January 1, 2020, does several things that will affect donors’ ability to save money for retirement and influence how they use the funds over time. Two of these changes may also have a significant impact on their charitable giving:

The required minimum distribution (“RMD”) age for retirement accounts increased from 70 1/2 to 72 years old, but the age an IRA owner can make a qualified charitable distribution (QCD) remains at 70½.
The SECURE Act modifies the stretch IRA provisions. Until now, a beneficiary could stretch distributions over their lifetime (or the remaining life expectancy of the deceased IRA creator). The new 10-year limit increases the income tax impact to the beneficiaries, which ultimately supports the argument that it is better to name a charity as the beneficiary.

Change in age for mandatory Required Minimum Distributions (RMDs)

The SECURE Act increases the age at which retirees must begin taking RMDs from 70½ to 72, allowing investors to save longer before having to take withdrawals. (This change applies to individuals born after June 30, 1949; individuals born on or before June 30, 1949 are still required to begin taking RMDs at age 70-1/2.) This change now allows retirement funds to grow for an extra year and a half before participants must begin receiving distributions.

No change in age for Qualified Charitable Distributions (QCDs)

Even though the age requirement for taking mandatory RMDs has increased, donors can still make QCDs of up to $100,000 per year directly from their IRA(s) beginning at age 70 ½ without having to include the RMD in your taxable income for the year as long as they are no longer contributing to their IRAs. If a donor is still contributing to the IRA, it’s important to know that the amounts they contribute after reaching age 70½ will reduce, dollar-for-dollar, the amount of a QCD that can be excluded from their taxable income. Although the SECURE ACT does have rules to coordinate the new IRA rules with QCDs, this may cause some confusion among donors; it is anticipated that the IRS will offer guidance soon.

For example: if the donor of a $50,000 QCD has contributed $20,000 to her IRA since turning 70½, only $30,000 of the QCD will be excludable from her taxable income. (The donor will be able to itemize the other $20,000 as a charitable deduction, which may offset the additional taxable income.) If the donor makes no further IRA contributions and makes another $50,000 QCD in a subsequent year, all $50,000 of that distribution will be excludable from her taxable income.

Inherited IRA distributions must now be taken within 10 years

Previously, if an individual inherited an IRA, they could "stretch" their IRA distributions over a long period of time, deferring income tax and permitting the account balance to compound income tax free. More specifically, following the death of the IRA owner, the retirement benefits passing to a designated beneficiary were paid out over the lifetime of the beneficiary, resulting in a significant tax benefit for beneficiaries who were much younger than the IRA owner, such as a grandchild. The RMDs were calculated based on life expectancy of the grandchild (or other young heir) so after the death of the plan owner, the plan assets would be paid out over that beneficiary’s life expectancy. That deferral (and the accompanying income tax benefit) made many IRA owners comfortable bequeathing a large IRA balance outright.

The SECURE Act has changed that. Now, for IRAs inherited from original owners who have passed away on or after January 1, 2020, the new law requires many beneficiaries to withdraw all of the assets within 10 years after the death of the account holder. No withdrawals have to be made during the 10-year period, but at the end of 10-years from the date of the plan holder’s death, the entire balance in the plan must be withdrawn.

Exceptions to the 10-year rule include: assets left to a surviving spouse, a disabled or chronically ill beneficiary, or beneficiaries who are less than 10 years younger than the original IRA owner. In these cases, the beneficiary is allowed to take distributions under the old rules. Minor children are also considered an exception to the 10-year rule; however, when the minor reaches age 18, the 10-year rule will clock will begin ticking and the plan assets will have to be paid out by year 10, when they reach age 28.

What if an IRA was inherited before 2020? Since, the SECURE Act only applies to retirement plan assets that are inherited after January 1, 2020, the complex distribution rules that existed under prior law will continue to apply to many heirs.

A new opportunity for strategic charitable giving

For charitably minded people who don’t necessarily want their non-spousal beneficiaries to receive their entire IRA proceeds within 10 years, a testamentary life income gift, such as a charitable remainder trust (CRT), may offer a creative solution:

The IRA owner can designate a CRT as the beneficiary of the account and the IRA proceeds will then be used to fund a life income vehicle that will provide income for loved ones, either for their lifetime(s) or for a set term of years, and typically generally with a minimum 5% payout (each payment would carry out a portion of the income). At the end of the term, the remaining assets will go to one or more charitable organizations chosen by the original IRA accountholder. This strategy combines tax-free growth, maximum income, protection of the trust principal and future support of a favorite charitable cause. For individuals who want to protect and help loved ones, the IRA-to-testamentary-CRT solution offers enormous benefits and might accomplish something similar to the intended deferral before the SECURE Act.
Under the rules for CRTs, a minimum of 10% of the assets must go to charity at the end of the CRT’s term. To further provide for heirs and replace those assets, the IRA owner might also purchase a life insurance policy in an amount equal to what is estimated to go to charity and, to avoid any potential estate taxes, establish an insurance trust to hold the proceeds. This strategy is similar to a planning concept sometimes known as “a wealth replacement trust” but applied here in a post-SECURE Act context.

Next Step:

These changes are just a few of those resulting from enactment of the SECURE Act. Take this opportunity to educate your donors about the benefits of using a testamentary CRT or other life income gift to replicate the stretch IRA for their families. As with any piece of new legislation, it is important to encourage your donors to work with their tax professionals and advisors to define and prioritize their personal objectives an explore the best solutions and strategies for them.

President's Message - September 2019

Anna Matheson — Thu, 26 Sep 2019 15:33:09 GMT

Written by: Anat Becker, JD

Dear Friends,

Earlier this month I had the pleasure of attending our educational program at the historic Racquet Club in Philadelphia. Sometimes I take it for granted that our Council members get to meet in iconic Philadelphia locations. One of our speakers, Patrick Schmitt, traveled from NYC for the day, and was clearly impressed with the elegant club and the ambiance that we all appreciate while we learn, network, and enjoy the sumptuous luncheon. Patrick, co-founder of FreeWill, an innovative new social venture, spoke about the latest research into digital fund raising, specifically for planned gifts. Some of the information confirmed our experience: childless donors make for good planned gift prospects. But some of the other findings of FreeWill could help us all amplify the impact of digital fundraising. I was pleased to hear that donors were much more likely to share the size of their deferred gift if they learned that the information could help their relationship officer. Also, while we know that donors increasingly name a percentage amount (rather than a specific figure) in their estate or retirement plans, the benefit of percentage gifts to organizations was dramatic. Percentage designations surpassed dollar designations by 120%!

To hear about Patrick’s insights on maximizing qualified charitable distributions to your organization, please come to Planned Giving Day on October 30 for another excellent presentation, among numerous others. The offerings this year continue to be relevant, helpful and practical for our daily work.

Another terrific presentation was made by Lynn Malzone Ierardi, JD, who is the current Chair of the National Association of Charitable Gift Planners. Lynn talked about her recent book, Storytelling, The Secret Sauce of Fundraising Success. Listening to, and telling, stories can increase both giving and our own professional growth.

Looking forward to seeing you on October 30 at the Union League.

That’s Not What I Meant

Anna Matheson — Thu, 26 Sep 2019 15:28:28 GMT

Written by: Bob Fogal, PhD, ACFRE, CAP

A challenge that all fundraising professionals face is how to engage donors and volunteers—and colleagues—whose personalities differ from our own.

Self awareness is essential for the self-management required to manage ourselves professionally. As we each become clearer about what “makes me tick,” we can identify much more easily how others differ from us in personality and style. I have found that a theory called personality type, as defined and developed by Carl Jung a century ago, is still a good tool for enhancing our interpersonal communication and reducing unconscious characteristics of our personalities.

One key component of psychological type is how we perceive the world and take in information. We (and our volunteers, donors and colleagues) take in an almost infinite amount of information each day. Jung called the mental functions that we use to so this “sensing” and “intuiting.”

Individuals who learn primarily with sensing prefer to focus on individual facts and details. They prefer information and tasks that are organized and presented in an orderly manner. And they are likely to become impatient with complicated and future-oriented explanations and tasks that take a long time.

When we explore a deferred gift with a sensing prospect, therefore, we need to talk very specifically about what their gift will accomplish, sharing information in a well-organized way. The relative simplicity of charitable gift annuities appeals to sensing preference people.

Persons who absorb information with intuition focus on what facts mean and how they fit together. The want information to be introduced with the “big picture” before getting to the details—if you get to the details at all. They really like moving from one big idea to another, and may become impatient if they have to pay close attention to too many details along the way.

Gift officers who prefer sensing will relate easily to others who also learn through sensing. They will have to stretch their capacity, though, to talk “big picture” with intuitive learners. We accomplish this by practicing how to talk in more future-oriented and expansive ways.

Conversely, intuitive gift officers will talk big picture easily with intuitive prospects, but will have to slow down their brains to pay attention to details and communicate them to others.

In both cases, gift officers will benefit from preparing and rehearsing how to express ourselves when talking with someone who has a preference different from our own. This will test how well what we’re saying and how we’re saying it connects with someone whose preferences contrast with ours.

In a future column, I will discuss further how our preferences impact our interpersonal communication and the decision-making process.

Why the Smaller Nonprofit Should Enter The Planned Giving Game

Anna Matheson — Thu, 26 Sep 2019 15:09:49 GMT

Written by: Viken Mikaelian, CEO, PlannedGiving.com

Now more than ever, it is critical for smaller nonprofits to establish a planned giving program. If you’re not going after planned gifts, the nonprofit next door is. And since planned gifts are gifts from the heart, they inspire more cash gifts, too — which means you’re really losing out.

Consider this: Savvy donors consider a planned giving program evidence that a nonprofit has a sensible plan for the future. What’s more, the “big” nonprofits realize this, and they’re using it (as they should!) to their advantage. If you don’t get on the boat now, you run the risk of being left behind — like a mom-and-pop corner store after Walmart moves in to the neighborhood.

If you’re consistently saying “I don’t have the time” you’re just making excuses. A simple planned giving program is easy to set up, easy to market, and easy to maintain.

Here are 9 other evidence-based reasons to establish a planned giving program:

The largest intergenerational money transfer in history is happening now. This asset transfer is the perfect time for a planned giving program — just think of the tax deductions would-be donors are desperately trying to find!

The average planned gift is 200 to 300 times larger than a donor’s largest annual gift.

The average planned gift is between $35,000 and $70,000 (Still want to focus on getting a $20 annual gift?).

Even during economic downturns, planned gifts have consistently risen.

Just 5% of this nation’s wealth is in cash. The rest is in easy to give assets like stocks, etc.

An established planned giving program costs about .3 to .15 cents for every $1 raised.

Those who work in the planned giving field earn 150% to 200% more than those in the annual giving field.

Anyone can make a planned gift — it’s not just for the wealthy. In fact, bequests are the main gift of the middle class.

You don’t need to be a tax law expert — you just need people skills.

Bequests — The Gifts that Keep on Giving

Now let’s back up: A simple planned giving program is easy to set up, easy to market, and easy to maintain. If you do nothing else, set up a bequest program. The majority of all planned gifts are in the form of a bequest. It’s the easiest planned gift to make — it’s either written into a will, or added through a codicil. In 2017, as reported by Charity Navigator, giving by bequest increased by 2.3% to $35.70 billion.

Setting up a bequest program is easy.

Marketing your bequest program is easy, too: Include it on your website, mention it in donor communications (you can even include a link in your email signature), and send out postcards a few times a year. Have a vendor create a simple bequest brochure.

Maintaining your program is even easier: Keep your materials up to date, and send out regular postcards/donor communications — oh, and watch your endowment grow!

Do it today. Your board will be happy, and you might even get a raise!

Success@PlannedGiving.Com

With Fundraisers Abandoning Ship, Is Now The Time to Outsource?

Anna Matheson — Thu, 26 Sep 2019 15:06:28 GMT

Written by: Matt Keller, Director of Marketing, RenPSG

The Chronicle of Philanthropy released the results of a recent study they conducted in partnership with Harris Poll and the Association of Fundraising Professionals that said 51% of fundraisers in the United States plan to change jobs by 2021. That’s a concerning statistic for many nonprofit organizations. Fundraising professionals cite not enough staff, not enough resources, lack of organizational structure, low income potential, and unrealistic goals as reasons for the shift in career path.

That stat, if it becomes a reality, could send shockwaves through the nonprofit world. How are charitable organizations going to maintain their fundraising efforts while losing half of their fundraising power? What will they do with when the institutional knowledge walks out their doors? It could take years to develop the relationships needed to solicit a major gift. And the connection that major gift donors make with fundraisers after the gift is made is one that could pay dividends in the future. The smart play is to launch a retention strategy now to prevent a catastrophic event two years down the road.

Anyone who has worked in or with the nonprofit industry knows that few other sectors are stretched as thin. Each department is asked to do more with less in an effort to bring down overhead and direct more of the funds raised to the mission of the charity. Along with 93% of the respondents to the survey citing their belief in the mission of the organization as a reason to stay, 78% of those polled said they wished they had more time to spend with donors. But fundraisers are pulled in many directions and spreading a smaller gift officer team across a larger portfolio of potential donors means less time with each. That’s a perfect recipe for burnout.

Nonprofit employers often offer additional time off, better medical leave and a flexible work environment to make up for lower compensation. But what if there was a way to raise compensation, reduce the amount of overhead the company spends on back office tasks all while retaining the valuable relationships that gift officers have worked so hard to grow? This is where a company like RenPSG can help.

Outsourcing your back-office administration is a great solution for many nonprofits, but finding a single place to outsource everything can be tricky. Since 1987, RenPSG has been the trusted partner for charitable gift solutions and has a staff with the skills and experience to manage it all. RenPSG’s gift administration services include, tax preparation and reporting, annual reports, accounting and sub-accounting services, grant and contribution processing and more. Letting RenPSG’s professionals manage the back office will allow nonprofits to reallocate resources (human, capital, and expense) to focus on what they do best – fundraising!

Contact RenPSG today and retain your fundraisers tomorrow. Give us a call at 800.843.0050 or send us an email at consulting@reninc.comand let’s work together to find a strategy for your nonprofit organization.

Data Driven Discussions Around Planned Giving

Anna Matheson — Tue, 25 Jun 2019 17:20:20 GMT

Written by: Eric R. Almonte, JD, Associate Vice President of Major Gifts at Saint Joseph’s University

Asking donors questions and using data are important elements in successful fundraising. I once asked a consistent annual fund donor, who had given for over 25 years, if he considered leaving a gift to the university in his estate plans. He quickly responded, “No! In fact, if we do this right, my wife and I won’t leave anything for our children or you guys.” He said this firmly, and continued sipping his coffee.

This gentleman was an unwavering annual fund donor and typically gave $100. I would visit him once a year. I knew he was not a major gift prospect, but I thought he had potential to be a good planned giving prospect.

Fast forward a few years later, I was visiting him and his wife in Florida after they retired and had moved down there to enjoy the warm weather. During the visit, I thanked them both for their loyal support. I shared some updates and let them know that we would be having a Planned Giving Society event next year and that I would invite them to the luncheon. The luncheon was an opportunity for our Vice President of Planned Giving to provide an update on the university. They both attended the luncheon, connected with fellow alumni and had a lovely time. During the event there was never a hard sell on planned giving, rather resource sharing on ways to give. At the end of the luncheon, there was a table with information about our planned giving program.

A few weeks later, I got a call from the donor thanking me for inviting them to the event. He said he also called to talk about their estate and that they had some ideas. He proceeded to say they wanted to leave 5% of their estate to the university’s college of business and that they were also interested in learning more about charitable gift annuities (CGAs). After consulting and collaborating with my colleague in the Office of Planned Giving, we were able to secure a six-figure commitment from their estate and a six-figure CGA.

Ultimately, the reason we ask is to listen and cultivate, because we never know what our donor’s intentions are until we are able to have conversations about their philanthropy. Additionally, we never know what might inspire a donor to give. Looking back, when I first asked about estate planning, they weren’t ready to commit to a planned giving conversation. However, after more cultivation and better engagement, they were inclined to have a conversation about planned giving.

I enjoy sharing this story because it demonstrates the importance of not only asking whether we are in their estate plans or not, but also, among other things, the importance of using data to help us on visits. Knowing that they were consistent annual fund donors, enabled us to discuss the topic of planned giving. The challenge was understanding that they also needed more cultivation to close these gifts.

Three Steps to Effective Gift Planning Conversations

Anna Matheson — Tue, 25 Jun 2019 17:19:56 GMT

Written by: R. Daniel Shephard, CFRE, Principal, Frontline Fundraiser Training and Consulting

The work of charitable gift planning can be quick when the donor calls to request information on a certain way to make a gift. Far more often you will need to work to discover that a certain gift strategy/asset might appeal to someone with whom you’re working. That makes it important, once you decide to introduce a specific way to give, that you maximize your chances for success.

Your challenge is to do that in a way that’s intellectually accessible and emotionally appealing – to the donor. A too-early transition from a conversational approach to legal/technical language is counter-productive to your goal.

I learned this approach during a failed attempt at introducing a Charitable Gift Annuity (CGA) to the perfect prospect. She was 82 and in good health, she had assets in her retirement portfolio producing a low income stream, and she needed to increase income. I suggested that I tell her about a Charitable Gift Annuity. She replied, “An annuity? Isn’t that like insurance? Oh, I’m not interested in that.” That was the entire conversation.

Consider these three steps when you’re ready to introduce your thoughtfully-chosen gift idea.

1. ANNOUNCE Your Agenda

“I want to talk with you about a gift plan that provides you several benefits.” Name them; get your donor’s attention and emotional buy-in. Let’s pick a Charitable Gift Annity for this example:

“It’s a gift plan that will increase your income.”
“It will provide a charitable income tax deduction for part of the gift.”
“Your income payment will always stay the same.”
“AND it allows you to make the gift we have been discussing”

Ask – “May I explain how this works for you?”

2. DESCRIBE the gift plan.

Now you can explain, still using conversational language, how the plan works. Stay focused on how it benefits the donor. Resist the inclination to name the gift plan too soon. Once you say, “Let me tell you how a charitable gift annuity works,” you’re at risk of the donor honing in on the word “annuity” and drawing conclusions before you have the chance to explain how this gift strategy works.

Instead, reiterate the donor benefits while pointing to pertinent parts of your printed materials. Let’s use our CGA illustration example to connect benefits for your donor to details of how the gift works. Work through the gift illustration you brought to the meeting as you plan how to go through its pages in conversational language. Referring to the donor benefits mentioned above:

“It’s a gift plan that will increase your income.” Now guide your donor through the pertinent page in your printed illustration to show how this works.
“Your income payment will always stay the same.” Now guide your donor through the pertinent page in your printed illustration.
“It will provide a charitable income tax deduction for part of the gift.” Now guide your donor through the pertinent page in your printed illustration.
“AND it allows you to make the gift we have been discussing.” Now guide your donor through the pertinent page in your printed illustration.

3. INVITE questions & discussion

Once you have gotten your donor’s attention s/he will be more inclined to learn the details. In fact, you should look at Step 3 as a through-line. Invite questions and discussion throughout the conversation.

Short summation: emotionally appealing and intellectually accessible – to the donor.

Planned Giving Marketing Can Save the World

Anna Matheson — Tue, 25 Jun 2019 17:18:39 GMT

Written by: Tom Yates, Executive Director of Gift Planning, Temple University

I recently took the Amtrak from 30^th Street Station to Washington, DC for the National Capital Gift Planning Council’s annual Planned Giving Day conference. Many NCGPC members come from large national cause organizations based in the nation’s capital, and these organizations have huge fundraising budgets and spend a lot on planned giving marketing.

Partially because of those big budgets, there was no shortage of marketing firms looking for new business at the conference. And that’s what also drew me – national organizations and the agencies that serve them tend to be innovative in their planned giving marketing approaches. What fuels that innovation is a willingness to try new things, which requires a willingness to spend money.

The Nature Conservancy is an example of this. Its devotion to planned giving program building goes back decades. It’s all paying off for the Nature Conservancy and then some now: it receives more than $100 million in realized estate gifts annually. Yes, that’s right, every year. That level of cash in the door each year can go a long way in helping to save the planet.

Sure, it’s the Nature Conservancy, few non-profits in the world raise more money. It’s not even fair to compare any of our efforts with such a behemoth. And one could argue that since the Nature Conservancy has more than a million members it would have received $100 million plus in estate realized gifts every year anyway, regardless of all that planned giving marketing and program building over the years.

Maybe. I doubt it though. The Nature Conservancy’s ratio of realized estate dollars to number of solicitable donors in its database is several orders of magnitude larger than what almost all of our organizations can muster. It didn’t get there by accident. A lot of thought and work went into it. Investments were made.

But how could our organizations invest so much in planned giving? We have to keep our annual giving machine pumping out the mail appeals, we have our army of major gift officers to pay and train, we have to keep churning out and budgeting for the fundraising galas and 5K runs. We have to “hit goal” this year, right?

Don’t be fooled, this is not a false dilemma. Investments in our planned giving programs should be on par with those of our other fundraising programs. After all, look how well it’s worked out for the Nature Conservancy. Sadly, it’s rarely the case. Whether its organizational leaders, fundraising leaders, or both, not many want to approve spending increases that may only pay off for their successors years from now. But is that best for the organization?

So, let’s not allow the doubters deter us. Do your organization a huge favor and be like the Nature Conservancy: prioritize planned giving. Ask for a bigger planned giving marketing budget. And the next year ask for even more money. You just might save the world too.

The First Suspension Bridge Started with a Kite

Anna Matheson — Tue, 25 Jun 2019 17:17:22 GMT

Written by: Viken Mikaelian, CEO, PlannedGiving.com

There’s a lesson that fundraisers can learn from the history of Niagara Falls — specifically, about a suspension bridge that, from 1855 to 1897, connected the United States to Canada over the roaring waters. Here’s the story how it was built.

Engineering Challenge

The Niagara River, which drains Lake Erie into Lake Ontario, is 800 feet wide at the falls. The sheer cliffs that make up either side of the Whirlpool Gorge are 225 feet high. In the 19th Century, there was no technology available to easily span that gap and begin construction of a bridge.

Engineers proposed using a rocket, or a shell fired by a cannon, to carry a line across the gorge, but neither idea offered a very probable solution.

A Marketing Twist: Hire a Kid with a Kite

Enter local ironworker Theodore G. Hulett, who told the engineers to go fly a kite — or rather, have a child fly one and offer a prize for the first kite to make it to the other side of the gorge.

This Was Brilliant Marketing ...

With $5 on the line — a splendid and princely sum in those days — 16-year-old Homan Walsh beat out the scores of other kids from nearby towns who participated. He managed to get his kite across that 800-foot gap, where its line was then tied off.

What's the Big Deal?

Engineers used the kite string as a pilot line to pull a stronger rope from the Canadian side back to the American side. That was used to pull an even thicker, stronger rope back to Canada. After several of these exchanges, a rope strong enough to carry a cable was finally in place. The cable was pulled across — and that provided the starting point for the foundation of the bridge.

“Building the Bridge to an Endowment”

How does this relate to planned giving? Because a simple, single kite with a single small thread (i.e., your first baby step) became the catalyst for a massive construction project that led to the bridge (i.e., your endowment).

It is amazing how many answers lie in simple solutions. Right in front of us.

So many fundraisers are “stunned” when they have to face the startup of a planned giving program — they envision it being a massive project and just do not know where to begin. Yet by following the same principle as the one used to build the suspension bridge, one can easily start a planned giving program with a few simple steps.

Some of the best minds in the planned giving world are involved in the Planned Giving Council of Greater Philadelphia (and one is me). Take the first step by utilizing your resources!

Our True Calling is A Gift

Anna Matheson — Tue, 25 Jun 2019 17:16:12 GMT

Written by: Delia Perez, Director of Planned Giving, Fairleigh Dickinson University

Rev. Thomas L. Shanklin fondly reminisces about his FDU education at Wroxton College during the spring of 1967 in Oxfordshire, England. “Wroxton was my most significant life-changing experience. It challenged me and sparked my curiosity to find my true calling in life,” says Tom.

He is a first generation American, born to Harold and Anna Shanklin. Harold, born in 1896, was descended from Loyalists to the Crown of England, who immigrated to Canada in 1783. Anna, born in Germany in 1907, was sent at age 15 to Hoboken, N.J., to send money home after World War I. Harold and Anna met in Hoboken, and married in March 1928 in Detroit. They relocated to Basking Ridge, N.J., where on November 11, 1944, they welcomed their third child, Tom.

Although his parents had only an eighth-grade education, they were avid readers and lifelong learners. They encouraged Tom to read everything and strive to use his abilities to be his best. Tom graduated from Ridge High School in Basking Ridge, N.J., in 1962. His IQ test results scored him in the top 5% of the country, but he was told his overall grades didn’t qualify him to pursue a college education.

However, in the summer of 1963, Tom decided to enroll in evening classes at Fairleigh Dickinson University. He worked days in a family-owned industrial hardware business in Hanover, N.J. He studied business but was bored with the material. His grades reflected his lack of interest. He decided he did not want to work for big companies like IBM or Exxon.

Instead, Tom became more involved in his church and studied pipe-organ under the guidance of an insightful teacher who mentored and affirmed his value within the community. The experience created a strong church affinity for him and further increased his interest in church history and theology.

Tom’s 1967 Wroxton experience greatly contributed to his pursuit of education and challenged him to look at the world differently. Under the tutelage of FDU Professor Walter Savage, and his wife, Patty, and his Wroxton classmates, Tom says, “It awakened me to a world of possibilities.” The Savages not only taught the students, but also mentored and encouraged them to learn and have fun. Wroxton piqued his interest in history, fostered enduring friendships, and changed his life forever.

In retrospect, Tom refers to Wroxton as his “capstone experience” that was both life affirming and confidence building as he successfully managed his first time away from home traveling alone to England. After finishing his Wroxton semester, Tom opted to explore Europe alone on just $5 a day throughout the summer of 1967. He returned home to finish his studies at FDU.

Tom graduated from Fairleigh Dickinson University in 1968 with a B.S. in Business Management and Marketing. He changed his academic focus to theology and graduated from Drew University’s Theological School with a Master of Divinity in 1972 and a Master of Sacred Theology in 1974. He continued his studies, pursuing a Ph.D. in Theology and History. His specialized field of study is Theology and Methodist History.

During the summers of 1968 to 1970, he worked with the Boy Scouts of America as the Protestant Chaplain at Horseshoe Scout Reservation in Rising Sun, MD. From 1970 to 1971, he served as Chaplain Intern with the Wesley Foundation at the University of Houston in Texas. In the summer of 1971, he served as the Coordinating Protestant Chaplain at Philmont Scout Ranch in Cimarron, N.M., the largest scout facility in the world comprising 210 square miles and hosting up to 20,000 Boy Scouts each summer.

Tom is an ordained minister of the United Methodist Church. He has served as pastor of churches in Kansas, New Jersey, Vermont and New Hampshire. He was ordained Deacon in the New York Conference of the United Methodist Church, having been recommended for ministry by the congregation of John Street United Methodist Church, New York City, the oldest Methodist Congregation in America founded in 1766. He was ordained Elder at First United Methodist Church in Wichita, Kansas in 1975.

Tom lives his true calling and pastors a value-driven life within his church family. He taught at Nathaniel Hawthorne College in Antrim, N.H.; has been a member of the American Guild of Organists; and served as founder and president of the Brattleboro Area Drop-In Center, Inc. in Vermont.

He credits his FDU business marketing studies to help promote his creative work. He has written extensively on Biblical themes and Methodist History publishing books of devotionals and stories. His articles have appeared in a variety of periodicals and he also published two books about Wroxton. His new joy is writing murder mysteries about “characters” he has known. Tom makes his home in New Hampshire and Florida where he pursues his passion for writing, photography, choral singing, pipe-organ playing, theatre arts, travel, and much more.

Tom believes in the importance of making a difference in the lives of others. He encourages everyone to “stay curious, read a lot, walk, laugh often, and play in the dirt.” Given the current world situation, Tom says, “People are desperate for love and kindness, and want to discuss the Divine and thoughts about life and after life. A legacy of living everyday sharing small acts of kindness helps us to fully connect and converse and come to better understand each other while having the courage to be open minded and willing to share, and not limit life to just staring at a cell phone.”

With deep appreciation for his life-affirming experience at Wroxton, Tom included FDU’s Wroxton College in his estate plan. Tom says, “I am grateful for FDU’s founder and first President, Peter Sammartino, Walter and Patty Savage, my classmates and others who made my Wroxton experience possible. My legacy gift for Wroxton College will help support and enhance this wonderful treasure, and hopefully, also inspire future Wroxton students to discover their own true calling in life.”

Tom Shanklin shown carrying the FDU Wroxton flag for the Shakespeare Birthday Celebration Parade with his Wroxton classmates in the spring of 1967.

PGCGP Mentoring Spotlight

Anna Matheson — Tue, 25 Jun 2019 17:15:49 GMT

Written by: Beth Harper Briglia, CAP & CPA, Vice President, Philanthropy Services

We often look closely at funds expended on memberships in professional organizations. Like me, you probably belong to several associations, and have to justify the cost to belong to those organizations. I have no trouble justifying my membership in the Planned Giving Council of Greater Philadelphia. Why?

PGCGP provided me with the mentorship that I needed when I entered the world of planned giving. A mentor is an advisor who can guide you to greater knowledge in a field. Trained as a CPA, I had years of professional experience. However, I had never engaged in philanthropic planning. PGCGP provided me the education to be successful. More importantly, I found colleagues who have offered their expertise and guidance as I have matured in my philanthropic advisory role. I am proud to call these colleagues my mentors.

Encouraged to join PGCGP by a colleague, I was welcomed into the ranks of those who at that time had much more expertise than I in this field. Volunteering on the Planned Giving Day Committee gave me the opportunity to meet experts in a field that often seems complex and confusing. My colleagues have introduced me to professional experts and information sources; urged me to obtain my CAP certification; speak at and participate in professional events and to serve as a mentor.

As a mentor, I enjoy the opportunity to give back to an organization and colleagues that have given much to me. One such colleague is Shelley Speirs who shares her story below.

Written by: Shelley Speirs, MBA, Director of Major and Planned Gifts, East Stroudsburg University Foundation

I was first introduced to the Planned Giving Council of Greater Philadelphia (PGCGP) by a colleague who invited me to a seminar as her guest. The experience was very informative and offered a deeper level of understanding of philanthropic planning and planned gifts. Speaker presentations and collegial conversations at subsequent events were equally stimulating and inspired me to become a member.

As a benefit of joining PGCGP, I was able to request a mentor and was matched to Beth Harper Briglia. Beth has been helpful in answering questions, providing advice, sharing materials, and suggesting opportunities to engage with PGCGP. By way of Beth, I became involved with the 2018 Planned Giving Day committee. Since then, I was nominated to serve on the PGCGP Board. I graciously accepted and began my service in January 2019. In April, I participated in the PG Course and have also committed to assist with next year’s programming.

I can honestly say, the benefits of my PGCGP Membership and the Mentor Program have exceeded my expectations. I have been able to sharpen my skills in planned giving, remain current on industry news and trends, learn from field experts, create a network of professional colleagues, and provide service back to the organization.

I look forward to becoming a mentor in the future and guiding others as Beth Harper Briglia and the Council have done for me. My thanks to Beth and the PGCGP Board for their support. I strongly encourage you to consider a membership to PGCGP, get involved, attend events, serve on a committee, request a mentor, or be one!

President's Message - March 2019

Denise Downing — Tue, 19 Mar 2019 12:56:53 GMT

Written by: Anat Becker, JD

What I appreciate most about our area of expertise, gift planning, is the dynamic nature of the field and the ongoing learning that is fundamental to it. Our personal connections with our constituents are meaningful: listening, supporting and imparting the power of philanthropy to them. Our technical skills require an understanding of estate planning as well as legal and regulatory developments, ensuring that we continuously seek professional education.

This year is especially interesting, and challenging. We can finally see how the 2017 Tax Cuts and Jobs Act affected philanthropic giving and what strategies we can bring back to our organizations. New proposed regulations for gifts of tangible personal property could affect gifts of art and other collectibles. Exciting, but also requiring our attention and new learning opportunities.

This is where I hope you come to partner with the Planned Giving Council of Greater Philadelphia. Our network of professionals includes gift planners, major gifts officers, annual giving officers, consultants and vendors of essential services. Our meetings provide excellent educational forums and interaction with fellow practitioners who can provide perspective and advice on implementation. Whether it is a strategy of encouraging your donors to bundle gifts in order to maximize tax benefits, or helping them attain their ethical legacy -- together we share our success stories and best practices.

Please be sure to look at our new and expanded web site and follow the PGCGP on social media. Below you will read more about that. But most importantly, please join us at our various events and programs.

On March 22nd, we will host a variety of roundtables in the morning, encouraging conversations and an exchange of ideas. A real estate panel will follow during lunch. Please join us at the beautiful Racquet Club.
On April 5 and 12, the Planned Giving Course will once again offer thorough and timely instruction on the elements of gift planning. This year we offer the PG Course at Villanova University with ample parking and easy access from the Blue Route. Please encourage your colleagues who are not yet members of the Council to consider attending this program. It is especially appropriate for fundraisers who are relatively new to the field (as well as for those who are looking to refresh their skill set).
And looking ahead, we are in the midst of planning our next Planned Giving Day on October 30th at the iconic Union League.

I look forward to seeing you soon.

Anat Becker, JD
President, Planned Giving Council of Greater Philadelphia

Are You Really Listening to Your Donors?

Denise Downing — Tue, 19 Mar 2019 12:56:16 GMT

Written by: Patrick Manion, MBA

Towards the end of 2018 I had some wonderful visits with members of our Legacy Society. I wanted to share some observations and make some recommendations.

On a lunch visit at a diner, I met with a donor who was having a birthday the next day. They were my first closed gift, and this was our 4th visit in four years. I recalled where we met previously, and I remembered their Thanksgiving tradition. The visit was just before Thanksgiving. I did so without combing over my notes, or trying to memorize information. When you are genuine and sincere, you will remember what matters. I posed the question, "Am I a salesman?" After a minute or so of laughter, we compared notes on just how annoying a salesperson can be. We talked about robocalls, junk mail, and just the trickery surrounding most sales calls. This is why I do not approach my job as if I am in sales. My donors do not think of me as a salesman, so why would I frame myself as one?

On another lunch visit, my donor insisted in giving me all sorts of "souvenirs" she receives from other nonprofits she supports. Luggage tags, pens, and other stuff. Nice to know who else she supports. At the same time, she was complaining about a gift officer and how they had very little or no time for her. It seemed to me that the gift officer was trying to just make their numbers and not being considerate of her time, her age, her interests, etc. She does not want to talk much about our mission, she tells me, I gave money for research. That means, she supports and respects the work we do in the particular disease area she supports. Do I need to update her further? Do I need to listen to her aches and pains, and what sort of coleslaw she likes? Our next visit will be at a library in her neighborhood to watch a film. I wonder if the gift officer just trying to make their numbers was invited to a matinee? Or did she instruct her banker to make changes to her plans and exclude that charity?

In these two examples, if you have been in the business for a while, you are probably wondering what point I am trying to make? These observations are nothing new. If you are pretty new to Planned Giving, you are probably wondering why I do not consider myself a salesman. Of late I have noticed a lot of new thinking in the realm of legacy giving. A lot of scientific research, a lot of big data. What are you doing most of your day, or night for that matter? Are you analyzing big data and crunching numbers? Are you questioning what the subject line should be in an email? Are you trying to figure out your best social media strategy? I guarantee you that your donors are not interested in any of the above. They are probably waiting to hear from you, or someone from your institution related to what matters to them. Who is my new scholarship recipient? How are the field staff in Rwanda doing? How was your trip to Ireland? Did you try that new restaurant I recommended after our visit?

As we move further and further away from our donors and what matters most to them, are they moving further and further away from us?

Cryptocurrencies as Charitable Gifts: Should Your Charity Say Yes?

Denise Downing — Tue, 19 Mar 2019 12:11:51 GMT

Written by: David, Toll, JD, Drexel University

With the increased notoriety of cryptocurrencies, many charities are exploring the option of accepting Bitcoin, Ripple, Litecoin and nearly 2,000 other virtual currencies for donations. In fact, Fidelity Charitable reports that charitable donations of cryptocurrencies increased ten-fold between 2016 and 2017, and currently there are about 11 million Bitcoin in circulation alone. While adding this as an option for donors may increase the organization’s reach and its reputation for being on the leading edge, it comes with some cautions and important safeguards.

What is it? Cryptocurrency is a digital or virtual currency designed to work as a medium of exchange. Like paper money (cash), we exchange it for goods and services and it has value because we believe and agree that it does; there is no inherent value in the pieces of paper we carry in our wallets. Unlike cash, cryptocurrency is exchanged electronically and uses cryptography to secure and verify transactions, as well as to control the creation of new units of a particular cryptocurrency. Essentially, cryptocurrencies are limited entries in a database that no one can change unless specific conditions are fulfilled. The concept closely resembles peer-to-peer networks for file sharing.

Cryptocurrency has six defined characteristics:

100% Digital: Cryptocurrency only exists on computers. There are no coins and no notes. There are no reserves for crypto in Fort Knox or the Bank of England!
Decentralized: Cryptocurrencies don’t have a central computer or server. They are distributed across a network of (typically) thousands of computers. Networks without a central server are called decentralized networks.
Peer-to-Peer: Cryptocurrencies are passed from person to person online. Users don’t deal with each other through banks, PayPal or Facebook. They deal with each other directly. Banks, PayPal and Facebook are all trusted third parties. There are no trusted third parties in cryptocurrency! Note: They are called trusted third parties because users must trust them with their personal information in order to use their services. For example, we trust the bank with our money and we trust Facebook with our holiday photos!
Anonymous: This means that you don’t have to give any personal information to own and use cryptocurrency. There are no rules about who can own or use cryptocurrencies.
Trustless: Involving no trusted third parties means that users don’t have to trust the system for it to work. Users are in complete control of their money and information at all times.
Encrypted: Each user has special codes which stop their information from being accessed by other users. This is called cryptography and it’s nearly impossible to hack. It’s also where the crypto part of the crypto definition comes from. Crypto means hidden. When information is hidden with cryptography, it is encrypted.
Global: Countries have their own currencies called “fiat” currencies. Sending fiat currencies around the world is often difficult. Cryptocurrencies can be sent all over the world easily. This may be especially attractive to donors and charities, as an organization that accepts cryptocurrencies can accept donations from anyone, anywhere in the world without paying international exchange fees, changing currencies, or dealing with international banks.

Tax Considerations. The IRS rules regarding charitable donations of purchased cryptocurrencies are very similar to the rules regarding donations of appreciated securities. A gift of cryptocurrency will be valued at the time of donation at its fair market value. (A charity must sign a donor’s IRS Form 8283 in order for the donor to receive a charitable deduction if the property is valued at $500 or more. For amounts greater than $5,000, an appraisal is required by a certified appraiser.) Additionally, selling cryptocurrency leaves investors subject to the rules governing capital gains: they’ll pay capital gains tax on any increase in value since they bought the cryptocurrency. (If the cryptocurrency has been held for a year or less, investors will pay short-term capital gains taxes at their ordinary income rate. Selling cryptocurrency held for longer than a year will trigger long-term capital gains taxes at rates ranging from 0% to 20%, depending on the investor’s ordinary income tax bracket.)

Donations of cryptocurrencies result in a win-win scenario for both the donor and the charity. On one hand, donors receive a larger tax benefit because the entire FMV of the donation can be deducted and they don’t have to worry about liquidation of their tokens. On the other hand, charities receive the entire amount of cryptocurrency and, ultimately, a larger gift.

For example: Donor A is in the 25% tax bracket and bought a Bitcoin for $1 back in 2010. Currently, it's worth $19,001. If Donor A sells the Bitcoin, she’ll have a capital gain of $19,000. If she is also in the top tax bracket, then she’ll pay long-term capital gains tax of 15% on that gain, costing her $2,850 in taxes. That leaves $16,150 to go to her favorite charity, for which she will get an itemized deduction that could reduce your tax bill by $4,038. At the end of the day, Donor A will end up with a net tax savings of $1,188, and the charity will get $16,150 in cash.

However, if that same Bitcoin is donated directly to the charity, Donor A’s gift will be $19,001, for which she’ll get a full deduction because she owned the bitcoin for longer than one year. This charitable gift won’t trigger any capital gains tax and will provide Donor A with an itemized deduction of $4,750. When the charity sells the Bitcoin for cash to support its mission, it will receive the entire $19,001 and, as a tax-exempt organization, will not be liable for any capital gains tax.

It’s important to note that receiving payments in cryptocurrency in exchange for products or services or as salary is treated as ordinary income at the fair market value of the coin at the time of receipt. Charitable donations of earned cryptocurrency are treated as gifts of cash and are not subject to capital gains tax.

Accepting Cryptocurrencies. Despite high processing fees that lower the net donation received, charities began accepting gifts via credit and debit cards many years ago because of the convenience factor for donors. With cryptocurrency, there are no banks or credit card companies involved in the transactions, resulting in a much lower processing expense.

The process for accepting donations cryptocurrencies is relatively simple. A charity establishes an account with a third-party processing company, such as Bitpay or Coinbase, and then incorporates the cryptocurrency payment option into its online donation site. Charities can then accept incoming cryptocurrency donations and then exchange them for cash at the time of a transaction via the third-party processors.

The primary considerations with virtual currency exchanges are:

What is the process, information requirements and timeline to open an account?
Does the exchange allow charities to trade on their platforms?
Does the exchange trade the virtual currencies the charity will receive as donations?
Does the exchange allow US-based customers and withdrawals of USD (many large China-based exchanges do not)?
Can the charity quickly sell through the donated cryptocurrency and withdraw the USD received in exchange or are there limits?
If the virtual currency will take more than a short period of time to sell, is the charity comfortable keeping it in the charity’s account on the exchange?

Incorporating Cryptocurrency into an Existing Gift Acceptance Policy. Because cryptocurrencies are viewed as property, much like securities, many nonprofit organizations have similar gift acceptance policies for both. It is considered a ‘best practice’ for a recipient charity to sell the cryptocurrency immediately upon receiving it, and this protocol should be clearly stated within the organization’s policy. The gift acceptance policy should also be updated to include the charity’s position on acknowledgement, and compliance protocols for gifts of cryptocurrencies and whether donors are required to provide personal information (name, address, Social Security Number, etc.) in order to guard against criminal or fraudulent activity.

For financial reporting purposes, cryptocurrencies should be treated as a financial asset, and if held, should be reported at fair value in an organization’s statement of financial position; it is reasonable to expect that the fair value would be determined based upon the trading price of the Bitcoin on the applicable exchange on the date of the transaction.

Risks and Legal Vulnerabilities. Despite its growing popularity as a philanthropic option, there are still many uncertainties around cryptocurrencies:

The value of cryptocurrencies is highly volatile; in fact, in February 2018, the price of Bitcoin dropped to $7,000 from its high of $19,000 in December 2017 and it has continued to fluctuate.
Although cryptocurrencies share characteristics with both legal tender and traditional securities, they are not currently backed or regulated by the Federal Deposit Insurance Corporation (FDIC) or any other sovereign government. This lack of regulatory oversight does not provide the sort of guarantees that exist with currency regulation (a guarantee of value) or securities regulation (a guarantee of compliance with reporting procedures and standards).
Currently, cryptocurrency transactions can be completely anonymous, if the donor so chooses. This makes it difficult for fundraisers to steward (or further solicit) the donors.
Unlike traditional currencies, which are regulated by the Securities and Exchange Commission (SEC), there are no profit or sell disclosures, making cryptocurrency transactions difficult to trace.

Changes to minimize these risks are on the horizon, however. Pending anti-money laundering statutes will require cryptocurrency purchasers to share more of their personal information and provide more state verifiable documentation when registering for an exchange. It is also likely that users may need to divulge more information on the recipients of their transactions (or any other otherwise related parties).

Also, charities accepting cryptocurrencies as gifts may have to navigate SEC and state security licensing requirements if the charity chooses to hold them for investment purposes. Theoretically, this means a charity that delays selling donated cryptocurrencies may have to deal with the potential complications of federal and state securities regulations; however, heavier regulation should ease the fears of charities wary of accepting virtual currency from unknown origins and significantly minimize the risks of unintended association with cybercrime and other unlawful elements.

Cryptocurrency and Estate Planning. Unlike bank accounts which can be accessed after death by an estate’s executor, digital assets typically require a variety of private information to be accessed. This information (and an investor’s digital assets) may be lost forever if an investor fails to record it or share it with a trusted third party during their lifetime. To avoid this, it is crucial that investors physically record any private access information and provide for custody of this information in their wills.

The federal estate tax is based on the value of one’s assets less liabilities at one’s date of death and is imposed at a rate of 40%. One important exception that is critical to understanding how the federal estate tax works involves the estate and gift tax exemption. This exemption is the amount that one can transfer to anyone during one’s lifetime or at death without incurring a gift or estate tax. The Tax Cuts and Jobs Act of 2017 (TCJA) increased the exemption to $11.18 and this amount will be indexed annually for inflation until 2026 (when the exemption amount is scheduled to revert to $5.49 million, with an adjustment for inflation). For wealthier owners of crypto-currency assets, implementing certain estate planning techniques, such as leaving all or part of it to charity rather than leaving potentially highly-taxed assets to heirs, would be beneficial.

Cryptocurrency is coming to philanthropy. A charity’s ability to accept cryptocurrency donations and then convert them into cash will prove to be a valuable asset for nonprofit organizations going forward. Charities open to exploring this gift option should consult with their banks and financial advisors to see if enhancing their fundraising efforts with cryptocurrency will work for their specific organizations.