How to Become an Expert in the Conversation of Philanthropy: Everything Nonprofits, Boards, and Advisors Need to Know to Support Donors and Clients
January 12, 2012
Kathryn W. Miree Kathryn W. Miree & Associates, Inc. P. O. Box 130846 Birmingham, Alabama 35213 205-939-0003 205-939-3781 (fax) [email protected] www.kathrynmireeandassociates.com
1 ABOUT THE PRESENTER
KATHRYN W. MIREE PRESIDENT KATHRYN W. MIREE & ASSOCIATES, INC.
Kathryn W. Miree is President of Kathryn W. Miree & Associates, Inc., a consulting firm that works with boards and staff of nonprofits and foundations to develop administrative policies, structure, and planned giving programs. She received her undergraduate degree from Emory University and her law degree from The University of Alabama School of Law. She spent 15 years in various positions in the Trust Division of a large regional bank before joining Sterne, Agee & Leach, Inc. to charter and serve as President & CEO of its trust company. She established Kathryn W. Miree & Associates, Inc. in 1997.
Ms. Miree is a past president of the National Committee on Planned Giving, a past president of the Alabama Planned Giving council, a past president of the Estate Planning Council of Birmingham, Inc. and a past member of the Board of the National Association of Estate Planners & Councils. She currently serves as Chair of the Editorial Advisory Committee of NCPG’s Journal of Gift Planning, as a member of the Editorial Advisory Boards of Planned Giving Today and Planned Giving Design Center. Ms. Miree has also served on a number of local and national nonprofit organizations.
Ms. Miree is a frequent lecturer, co-author of The Family Foundation Handbook with Jerry J. McCoy (CCH Publishers 2001) and author of The Professional Advisor’s Guide to Planned Giving (CCH Publishers, 2001). Her clients include a variety of nonprofits and foundations across the country.
© 2012 Kathryn W. Miree & Associates, Inc. 2 How to Become an Expert in the Conversation of Philanthropy - Everything Nonprofits, Boards and Advisors Need to Know to Support Donors and Clients How to Become an Expert in the Conversation of Philanthropy - Everything Nonprofits, Boards and Advisors Need to Know to Support Donors and Clients
I. Understanding the Donor and the Value of Gift Planning………………...... 5 A. The Challenges in the Investment Markets…………………………...... 5 1. Index Returns...... ……………………………...... 5 2. Interest Rates……………………………………………………...... 6 3. The Madoff Chill...... 6 4. Retirement Needs………………………………………………...... 7 5. What This Means for Donors...... 7 B. The Value Added of Gift Planning………………………………………… 8 1. A Definition of Gift Planning…..………………………………….. 8 2. Examples of Leveraged Planning……………………………….. 8
II. Reports from the Field: What We Know About Donors………………………...... 10 A. Bank of America’s 2006 Study of High Net-Worth Philanthropy………………………………………………………………… 10 B. The 2008 High Net-Worth Update………………………………………… 12 C. The 2010 High Net-Worth Update...... 13 D. Center on Philanthropy at Indiana University Bequest Study……...... 13 E. Boston College Social Welfare Institute Projections...... 15
III. How to Identify the Best Prospects………………………………………………….. 16 A. Avoiding the Pitfalls………………………………………………………….. 16 B. Points of Contact……………………………………………………………… 16 1. The Importance of the Connection………………………………… 16 2. What Connecting Implies for Donors……………………………… 17 C. Methods of Identifying Connection………………………………………….. 17
IV. Talking to Donors About Planned Gifts……………………………………………… 18 A. Research Before You Go – Find Out Everything…………………………. 18 B. Use a Worksheet……………………………………………………………… 18 C. Planned Gift Calls…………………………………………………………… 18 1. The Magic Questions……………………………………………… 18 2. Identifying Interests and Objectives…………………………….. 19 ! 3. Leaving Behind an Interest Generator………………………….. 19 ! D. The Most Important Thing to Remember...... 19
V. Listening for Opportunities…………………………………………………………… 20 A. The Donor is Tight on Cash………………………………………………… 20 1. What You Might Hear……………………………………………… 20 2. What You Might Leave Behind.……………………………………. 20 B. The Benefits of Gifts of Appreciated Assets……………………………… 20 1. What You Might Hear……………………………………………… 20 2. What You Might Leave Behind…………………………………... 21 C. They Like to Make a Gift, But They Need Income………………………. 21 1. What You Might Hear……………………………………………… 21 2. What You Might Leave Behind………………………………………. 21 D. Make a Future Gift……………………………………………………………… 22 1. What You Might Hear………………………………………………… 22 2. What You Might Leave Behind………………………………………. 22 E. The Donor Needs to Engage in Planning……………………………………. 22 1. What You Might Hear……………………………………………….... 22
© 2012 Kathryn W. Miree & Associates, Inc. 3 How to Become an Expert in the Conversation of Philanthropy - Everything Nonprofits, Boards and Advisors Need to Know to Support Donors and Clients 2. What You Might Leave Behind……………………………………… 23 F. A Gift of Retirement Assets…………………………………………………… 23 1. What You Might Hear…………………………………………………. 23 2. What You Might Leave Behind…………………………………….... 24 G. Other Opportunities – Major Financial Events…………………………...... 24 H. Push Backs Due to the Economy…………………………………………….. 24 I. Overcoming Deferred Gift Objections……………………………………...... 25
VIII. Steps Following the Call………………………………………………………………… 27 A. Before You Leave the Call, Look Ahead...... 27 B. Setting the Pace……………………………………………………………….. 27 B. Maintaining the Conversation………………………………………………… 27 C. After the Visit…………………………………………………………………… 27 D. Keeping Track of the Results…………………………………………………. 28 E. Evaluating the Effectiveness of the Call…………………………………..... 28
IX. For Professional Advisors: Philanthropic Conversations with Clients...... 29 A. Include Gift Planning as an Element of the Personal Planning Discussion...... 29 B. Work with Clients to Identify Personal Goals...... 29 1. Tax and Financial Incentives in Planning...... 30 2. Checklist for Goal Setting...... 30 3. Helping the Client Discuss Charitable Objectives...... 31 4. Encourage Ongoing Review...... 32
X. Final Thoughts…………………………………………………………………………… 29
© 2012 Kathryn W. Miree & Associates, Inc. 4 How to Become an Expert in the Conversation of Philanthropy - Everything Nonprofits, Boards and Advisors Need to Know to Support Donors and Clients How to Become an Expert in the Conversation of Philanthropy - Everything Nonprofits, Boards and Advisors Need to Know to Support Donors and Clients
I.!Understanding the Donor and the Value of Gift Planning
Gift planning has never been more important to nonprofits or to donors. In an unpredictable economic environment, gift planning provides tools to help donors give more effectively, and give in a way that addresses both personal and charitable goals.