From Declaration of Intent to Formalized...
Transcript of From Declaration of Intent to Formalized...
From Declaration of Intent
to Formalized Gift
Dena Morris Kaufman April, 2016
The Harold Grinspoon Foundation
“As my fathers planted for me,
so do I plant for future generations”
- Taanit 23a
Building Jewish Legacies
Across North America
Cohort 1 LIFE & LEGACY
Charlotte, NC
Memphis, TN
Miami, FL
New Haven, CT
Orange County, CA
Portland, OR
Princeton, NJ
Cohort 2 LIFE & LEGACY
Chicago, IL
Greater Metro West, NJ
Greater Washington, DC
Milwaukee, WI
Omaha, NE
Sacramento, CA
Southern NJ
LIFE & LEGACY: 28 Communities
(see below)
Areivim: St Louis, Tucson, San
Francisco, Philadelphia
Hillel: 13 Affiliates
Small Federated Communities:
Arkansas, Augusta, Chattanooga,
El Paso, Fort Worth, Peoria,
Springfield, South Bend
Cohort 3 LIFE & LEGACY
Cincinnati, OH
Delaware
East Bay, CA
Houston, TX
Indianapolis, IN
Phoenix, AZ
South Palm Beach, FL
Tampa, Orlando, Pinellas, FL
Cohort 4 LIFE & LEGACY
Central Pennsylvania, PA
Charleston, SC
Heart of New Jersey, NJ
Minneapolis, MN
Richmond, VA
Seattle, WA
January, 2016
LIFE & LEGACY
National Update
As of December 31, 2015
In 3 years
Had 7,634 legacy conversations
Made 1,420 group presentations
Secured 8,071 legacy commitments
Valued at an estimated $329 Million in future gifts
to the Jewish community!
Already realized $21 Million
South Palm Beach County
Update
As of March 31, 2016
Community Aggregate Goal by March 31, 2016 = 198
Total of 290 legacy commitments
Valued at an estimated: $ 29 Million in future gifts to
the Jewish Community
South Palm Beach County
Update
29
18
30
18
25 25 25
49
25 26
20
Signed Declarations of Intent
Year 1
Year 2
Jumpstart Year 2
What are you doing with your incentive grant?
Can your current donors help you get more donors?
How will you get and use testimonials?
Jumpstart Year 2
What are 3-4
Marketing ideas you
have that you can
enact in the
next 4 months?
1. What constitutes formalization?
2. Why formalize?
3. The role of stewardship in formalization
4. Formalization conversation
5. Written correspondence
6. Importance of tracking
7. Practice
What Constitutes
Formalization?
Formalization is the process by which the
donor makes the necessary arrangements
with their attorney, financial adviser, life insurance
company or retirement account manager to
ensure that the legacy gift will be received
by your organization after their passing.
What Constitutes
Gift Confirmation?
Legacy Gift Confirmationindicating a provision was made
Letterfrom attorney or financial adviser
Copy of relevant portion of Will or Trust
Copy of Beneficiary form
Why Important
to Ask
To ensure that a donor’s philanthropic wishes
will be realized.
To give heirs clarity about a donor’s wishes.
To increase your organizations chances of receiving the
committed funds.
Organization vs Federation
Roles
The role of your organization is to:
Follow up with legacy donors to encourage them to
formalize their intent
Steward donors throughout their lifetime.
The role of the JJCF is to:
Be a resource to both organizations and donors in
formalizing legacy commitments
Work in partnership with our donor’s professional
advisors
Foundation
as a Resource
JJCF is the investment arm of the Jewish
community:
Manage and oversee a large pool of funds that
will be invested conservatively to provide the best
rate of return possible
Make annual distributions according to donor’s
wishes
Interact with attorneys, financial advisors, CPA’s, and
finance professionals to advocate for donors and the
Jewish community
Foundation
as a Resource
Foundation staff is knowledgeable and will:
Meet with donors at no cost
Work with the donor to solidify
their philanthropic wishes
Educate donors on a variety of giving vehicles to
find the one that best fits their needs
Work with donor’s professional advisors
Formalization Process
Takes place when the time is right for the donor
Fine line between encouraging vs. harassing
Need to keep accurate records so we only approach donor
within the appropriate time frame
Must be donor-centric in our approach
Effective stewardship is key – ongoing, sincere, meaningful to
donor
Organization that got the gift originally will also work to
formalize the gift (notify others when accomplished)
Four Steps
Stewardship
Conversation with the donor
Letter asking donor to formalize the commitment
Encourage gently
Stewardship
Stewardship & Engagement
Stewardship & Engagement
1. Personal Conversation
2. Send Letter with Materials
3. Recordkeeping and Tracking
Effective Stewardship
• Strengthens relationships with donors
• Keeps donors engaged
• Makes them feel appreciated
• Ongoing process that must
continue over the donor’s
lifetime
Minimum of 4 Touches
•Reception before “community” gathering
•Shabbat Dinner
•Invitation to event not open to general community
•Legacy Shabbats
•Annual meetings – light candles
•Galas or other special events
•Newsletters or newspaper
•Website
•Poster, digital display or donor wall
•Annual report or programs
•Annual meeting or other gatherings
•Thank you note
•Phone call
•Cards – Birthday, Holiday, Anniversary of Legacy Commitment
•Personalized letter specifically for legacy donors
•Gifts
Personal Touch
Donor Listings/
Testimonials
Special gathering for
Legacy donors
Recognition at
“community” gatherings
Stewardship
Summary
Acknowledge all commitments
Recognize regularly
Keep connected using communication and engagement tools
Keep accurate records
Honor donor’s intent
Invest funds wisely
Use funds efficiently
Role of Stewardship
Continue to steward in ways that will encourage
formalization:
Public recognition – on wall, in print, at events
Personal stewardship – keep informed of your
organization’s activities and the impact you are having
on the community
Personalize Follow-up
• Review your list of donors
• Review the timing the donor has set for formalization
• Decide how best to encourage/ask for gift
confirmation for each donor
Best Stewardship
& Follow-up
Process
I intend to Create a Jewish Legacy and will formalize my gift within ___ months
Quarterly, after the designated time:
• Community will send letter
• Organization will follow-up two
weeks later with a personal
phone call or meeting
Community Letter
• Quarterly AFTER date that
the donor has noted,
beginning May 1
• Copy to each organization
• Organization to follow-up
with donor
Legacy Confirmation of Gift
Legacy Giving Options
Conversation
Thank the donor for signing the DOI form and being
part of your legacy initiative
Ask the donor if he/she has had an opportunity to
formalize his/her intent
Be prepared to answer no matter which response you
receive
Donor says “YES!”
Donor says “Not Yet”
Thank for signing DOI
Ask if anticipated time frame
and jot down
Ask if can be of
assistance
Reiterate importance
of formalization
Leave/Send Confirmation
form
Contact 2 weeks after anticipated
formalization time
Donor says “No”
Thank for signing DOI
Ask if can be of any assistance
Reiterate importance
of formalization
Ask if OK to check
back in 3, 6, 9 or 12 months
Make a note to
follow up at
appropriate time
Overcoming Objections
Objection Response
Don’t have a Will Life insurance, retirement accounts only
require a “change of beneficiary” form with
no cost. Fund Agreement also no cost
Not sure how to provide for organization Most common: % in Will, named beneficiary
of Life Insurance or Retirement Fund
Federation staff can meet and review
options
What if I need my money? Legacy gifts are after-lifetime so your
money is available for all of your needs
Changed my mind, no longer want to give Can you share with me why you have come
to this decision? (no matter the response,
be sure to thank for ongoing support)
I will get to it eventually Thank and remind of incentive grant and
deadline
Make it easy
Provide the donor with confirmation of formalization options
Legacy Gift Confirmationindicating a provision was made
Letterfrom attorney or financial adviser
Copy of relevant portion of Will or Trust
Copy of Beneficiary form
Suggested Mailing
Letter or note with Tax ID#
Legacy Confirmation of Gift
One-pager of giving vehicles
Reply envelope
Suggested Letter
Role Playing
Role Playing
Feedback
Legacy Team Member –
Was the ask easy or difficult
and why
Donor – Was the
conversation comfortable or
uncomfortable and why
Legacy Gift Tracking
• Create a file for each donor
• DOI form
• correspondence
• Stewardship Checklist
• Legacy Confirmation of Gift or other documentation that the gift
has been formalized
• Utilize an electronic tracking system to track the donor, when the
commitment was made, when you last spoke with them, when the gift was
formalized and when the gift is realized.
• If you have the ability to set up a reminder system, its great to be able to
send the donor a card or call them to thank them for their commitment on
the anniversary of receiving their Declaration of Intent.
Tips
Next Steps
Year 2 ends March 30, 2017 – Keep your momentum going!
Review your prospect list, potentially add to it and keep going!
Assign prospects to each member of your legacy team.
Each team member commits to having at a minimum one conversation a
month – every month!
Continue to schedule regular team meetings to check in and so each
member has a deadline for their monthly conversations – be accountable
to each other.
Take advantage of every opportunity to acknowledge your legacy donors
to date and to encourage new commitments.
Next Steps
Continue to fill out your quarterly reporting form as you
have conversations.
Continue your marketing to both targeted prospects and
general donor base – celebrate your receipt of the Year 1 grant
and encourage commitments to help you secure grant in Year 2.
Stewardship, Stewardship, Stewardship – minimum of
four touches a year – donor listings, legacy donor event,
legacy donor recognition, personal touch.
Work on formalization as you are able – new commitments
still the priority for Year 2
“As my fathers
planted for me,
so do I plant for
future generations”
- Taanit 23a
From Declaration of Intent
to Formalized Gift
Dena Morris Kaufman – April, 2016
The Harold Grinspoon Foundation