Retirement of UW Foundation president

Saturday, September 26th, 2009

University of Wisconsin’s main fundraising arm will undergo a change in leadership as the president of UW Foundation announced at the board of director’s meeting on Friday that he will retire.  President Sandy Wilcox announced early that there will be enough time for the search committee to hire their new president.

Russ Howes, the vice president of Planned Giving and Legal Affairs at the foundation said, “Wilcox played a tremendous role in their effort to reach UW alumni and friends in doing significant amounts of fundraising.   With new administration coming in the university, they would like to have a foundation of leadership that would last.”  The foundation has experienced a lot of significant improvement for the past 21 years.  Employee personnel grew 6-7 times and the fundraising for the university support has increased starting from $27 million up to $130 million.

Wilcox said “I feel fortunate to have this position for two decades.  Many private funds raised during my tenure were used to construct numerous campus buildings like Chazen Art Museum, Grainger Hall, Engineering Hall, and the new medical campus.  Even when the global economic crisis took a toll on UW Foundation and it’s starting to feel investment cutbacks, I’m confident that things would still pick up soon.”

Tags: Chazen Art Museum, Engineering Hall, funds, Grainger Hall, legal affairs, Planned Giving, Russ Howes, Sandy Wilcox, tenure, University of Wisconsin, UW Foundation
Posted in Planned Giving | No Comments »

Roundtable for Planned Giving Professionals

Friday, September 18th, 2009

There’s a new organization called YEP (Yuma Endowment Project) where professionals working with planned financial giving are learning and working together locally.  The leaders of this organization said that they will offer training events plus host a planned-giving roundtable.

Membership to YEP nonprofit targets professional financial advisers such as insurance professionals, accountants, and attorneys in addition to executive directors and development officers.

Judy Gresser, the executive director of Yuma Community Foundation said, “In the past, people had to drive to Tucson or Phoenix for this type of training.  We need this kind of collaboration here in Yuma.”  In addition, she said, “It’s all about great agencies and sustaining the impact in our community by educating people.  It’s not just all about giving cash one time, but making a planned long-term impact.  The biggest reason for the endowments is to benefit the community.”

The annual summer forum is likened to a retreat, and the educational events are offered every quarter.  The first one will be on October 7 at Yuma Main Library.  A management consultant for major corporations, Tom Steiner, would be the one to make a presentation.  By the time they hold their kick-off activity, Gresser is hoping that they can already have 50 members.

Tags: attorneys, endowments, forum, foundation, Judy Gresser, members, membership, Planned Giving, retreat, summer, training, YEP, Yuma
Posted in Planned Giving | No Comments »

Benefits of Bowers Trust

Tuesday, August 18th, 2009

Frances Bowers, a Mannington woman, passed away in the year 2000.  Her family members have all passed away as well and they have compiled the largest fortune in the community - they’re famous for the second largest state district fair.

Bowers was on the First Exchange Bank board.  Her father was late George Bowers, owner of Warwick China Co. and Bowers Pottery Co. (two very prosperous businesses).  He died around 1940s and left his three daughters with a huge estate.  Frances was the last surviving offspring.  She’s a private and opinionated woman who traveled a lot.

Upon her death, a part of the family trust has been placed in George Bowers Family Charitable Trust - many students and organizations in the area benefited from this trust ever since.  People may not know that the family did a lot of good things to the community.  It’s like a federal government awarding to organizations that need funds yearly.  Also, it’s similar to an annual gift; but the surprise is who will reap the rewards. 

Although many organizations are applying, only so many can be given out each year.  For instance, this year, East Fairmont Junior High, Fairmont Senior High, Disability Action Center, Mannington Middle School, and Salvation Army were some of the lucky ones awarded with grants.

Tags: Family Trust, First Exchange Bank, Frances Bowers, George Bowers, George Bowers Family Charitable Trust, Mannington, trust
Posted in Family Trust, Planned Giving | No Comments »

Rethinking Anonymous Giving

Tuesday, August 18th, 2009

There are a few inconsistencies and pitfalls of giving anonymously.  Just last spring, there was news of a multi-million-dollar gift coming from an anonymous donor.  However, this picked public interest and extensive media coverage.  So even if anonymous donors ask a concealment of their identity from the public, the recipient of support may have legitimate interest to know the identity of the major donor, as shown in recent court opinions.

For now, this court ruling may be concerned only with affiliated foundations and educational institutions.  However, similar suits may come up in the future.  These recent series of gifts given anonymously may also spark a debate within philanthropic communities whether it’s appropriate to accept a gift from somebody whose identity has been concealed from the board of trustees and the institution’s president.

This admonition is sound, since nonprofits are under increasing public pressure and congressional scrutiny about funding sources and operations.  However, consider the reasons of donors for wishing to remain anonymous - not wanting to draw public attention to their wealth, concerned about being targets for other organization’s solicitations, and avoidance of questioning from their family.  Nevertheless, nobody can deny that the motives of anonymous donors are sometimes questionable and everyone would be better served if there’s full disclosure of gifts made to organizations.

Tags: anonymous, communities, donor, educational, foundations, giving, institutions, philanthropic
Posted in Planned Giving | No Comments »

Traits of Planned Giving Volunteers

Friday, August 14th, 2009

When you commit time in serving a special interest group or a nonprofit organization as a volunteer of planned giving, you’ll need a dedication like no other.  The difference is the essence of a gift - it reflects the history of the donor: the success, drive, and individual passion created in the particular situation.  Therefore, if you have a nonprofit organization, the first step to make it work is to find and retain planned giving volunteers.

Here are some key traits most common among successful volunteers:

1. *Competency - they know that being a volunteer in a nonprofit organization is a difficult task.  However, when they carry it out properly, they can provide long-term gratification to the institution and the donor.  If they have the experience and skill to make these connections, they would be glad to put their knowledge to good use.
2. *Time - since there’s not enough time to do all things that need to be done, they make choices to do only the things that have value.
3. *Relationships - establishing a legacy, giving back to the community, and meeting wonderful people are the respect and pride that they get.
4. *Self-satisfaction - the work allows them to extend themselves to a worthy cause beyond their everyday occupation.

Tags: community, competency, dedication, donor, nonprofit, organization, Planned Giving, relationships, self-satisfaction, time, volunteers
Posted in Planned Giving | No Comments »

University’s New Planned Giving Director

Thursday, August 13th, 2009

There is a new planned giving director at University of Arkansas.  Renee Brida from Little Rock will be holding office in university development and reporting to Jim Harris, the executive director of gift planning and estate.

Prior to joining the development team, Brida spent almost five years as estate planning attorney for Little Rock’s Haught & Wade LLP.  She held a lot of fundraising positions in Little Rock including Arkansas Children’s Hospital, Pulaski Academy, and East Inc.

Through these positions, Brida was the one responsible for providing legal counsel in relation to organizational processes, developing a program for planned giving, planning & executing special events, running a fund campaign annually, and cultivating major gifts.  She holds a Psychology and English bachelor’s degree from University of Texas and earned Juris Doctor from San Antonio’s Mary School of Law.

Harris said, “Renee’s experiences as a development officer and attorney make her an idea candidate in leading the planned giving office.  She understands that working with friends and alumni as well as raising private gift support create plans that would work best in every unique situation.  So I have the highest confidence that she would do a good job of taking the planned giving efforts of the university and building new relationships to the next level.”

Tags: attorney, counsel, director, Estate Planning, Jim Harris, legal, Little Rock, Planned Giving, Renee Brida, University of Arkansas
Posted in Planned Giving | No Comments »

Description of a Planned Giving Volunteer

Thursday, August 13th, 2009

When you talk to existing planned giving volunteers, you would find out a lot of things about the association.  Typically, these planned giving volunteers are well-read, they understand the non-profit’s strategic goals, and they’re educated in finance administration.  Attracting good volunteers is always an on-going task in any nonprofit organization.  In fact, the main task of the organization could be to determine what specific things they can offer to the volunteers in their area.

When a volunteer speaks from the heart and from experience, and he or she has already given a planned gift to the institution, then you have a very powerful spokesperson.  This planned giving volunteer realizes the substantial donation value and understands the gift’s gravity.  Based on personal success, they’re emphatic and inquisitive without being forceful.  They’re able to communicate excellently to the benefiting community as well as to the potential donors.

Planned giving volunteers are powerful advocates that you can find for your organization.  They’re the best way to exhibit humility and grace as they work with donors that make monumental gifts.  These gifts will in turn continue the vital services of your nonprofit and provide you with a steady support source. 

Tags: advocates, association, donors, finance, goals, nonprofit, organization, Planned Giving, support, volunteer
Posted in Planned Giving | No Comments »

Planned Giving Gifts in spite of Economy

Sunday, August 9th, 2009

Donors to charitable organizations such as Wayland Baptist University are reluctant to dismiss any liquid assets.  If invested funds and retirement plans tanked with the market somewhat, it will only add to the uncertainty.

However, it doesn’t mean that you’ll strike off the university from your generosity.  In fact, while thinking of your own, you may want to consider contributing to Wayland’s future.  An ideal way for you to do this is through planned giving.  You can support Christian higher education and leave a gift down the road to the university.  So no matter how large your estate is, it’s a good move to plan ahead.

When you put the university inside your will - whether you give certain assets, a percentage or your estate, or your entire estate - these are planned gifts.  People who want to leave a legacy in the future actually have several options to do so: provision by will, charitable remainder annuity trust, charitable remainder unitrust, gift annuity agreement, retirement plans, charitable lead trust, revocable living trust, and planned gifts.

According to Martha Cross, the director of major gifts for Wayland, “If you don’t make future plans, somebody else will decide what will happen to your things and your money.  Better do it yourself rather than allow someone who doesn’t know your heart do it.”

Tags: estate, funds, legacy, Martha Cross, planned gifts, Planned Giving, retirement, trust, Wayland Baptist University, will
Posted in Planned Giving | No Comments »

Philanthropy Honored by Planned Giving Council

Sunday, August 9th, 2009

Applications for the much awaited Philanthropy Day Awards have been released, as announced by Planned Giving Council Acadiana (PCGA).  In union with National Philanthropy Day, this is the eighth year that PCGA gave awards in three categories: Outstanding Fundraising Volunteer, Outstanding Philanthropic Organization, and Outstanding Philanthropist.

Individuals or organizations who wish to recognize the active people in philanthropy should submit a nomination.  The awards will be presented in November 10 at UL Alumni Center in conjunction with the celebration for National Philanthropy Day.  If you want to nominate a philanthropist, you can download an application from PCGA website under the tab named “activities.”

PCGA is a nonprofit organization that provides a forum for planned giving ideas exchange in Acadiana area of Louisiana.  Its mission is to ensure that donors of planned giving in communities are professionally served.  Also, there should be satisfaction of their philanthropic interests in conjunction with the general financial and estate plan.

Since 2002, past honoree include Alfred Lamson, Robert Trahan, Paul and Lulu Hilliard, Jackie Edgar, Bo Ramsay, and Sharon moss as outstanding philanthropists.  The outstanding fundraiser volunteer award has been given to James Prince, Phena Guidry, and Joe Klutts among others.  Lastly, Special Children’s Foundation, Blue Cross Blue Shield, and Junior League of Lafayette were among the winners of outstanding philanthropic organizations award.

Tags: Acadiana, Louisiana, National Philanthropy Day, nonprofit, organization, PCGA, philanthropist, Philanthropy Day Awards, Planned Giving
Posted in Planned Giving | No Comments »

Never Let Donors Drown in Planned Giving

Wednesday, August 5th, 2009

The American Council Gift Annuities (ACGA) recommends that people invest on a portfolio with 5% cash, 40% equities, and 55% bonds.  Individuals who are looking for security are more open to CGA (charitable gift annuities) because there’s stock market volatility.  In the meantime, this market may be wreaking havoc on charity’s annuity reserves, where a portion is usually invested in equities.

The senior vice president of The Sharpe Group located in Memphis. Tennessee, John Jensen, is expecting more nonprofit boards to look at annuity reinsurance.  He said “A charity locks whatever losses it had.  But is it smarter to do this?  You wouldn’t reinsure if you’re thinking that the market would come back, but from a standpoint of risk management, you wouldn’t want that exposure, or you don’t think the market is coming back, then you reinsure.”  

“What we’re hearing is that charities are so nervous and now they’re doing risk assessments and looking at gift annuity programs,” said Tanya Howe Johnson who’s the CEO and president of PPP (Partnership for Philanthropic Planning) in Indianapolis.  She further added, “It might become popular to reinsure a gift annuity which is something that nonprofits would do occasionally.”

A large pool consisting of gift annuities minimizes the charity risk.  Therefore, if one gift annuity would go under water, the more charity risk would be spread out if the annuity pool is larger.   

Tags: ACGA, annuity, CEO, CGA, charity, equities, John Jensen, Memphis, Planned Giving, PPP, risk, Tanya Howe Johnson, Tennessee, The Sharpe Group
Posted in Planned Giving | No Comments »

Planned Giving Marketing Impacts Legal Ruling

Wednesday, August 5th, 2009

There was an opinion issued by U.S. Court of Appeals involving Robert Dillie in a case that charged him with operating a fraudulent foundation from 1996 to 2001.  The foundation was actually in a ponzi scheme issuing $55 million gift annuities to more than 400 donors - these were sold through investment advisers receiving commissions on each sale.  The opinion was issued this past June and M. Dillie is now serving a prison sentence of 121 months.  However, the legal fallout from the operation lives on.

Due to return of commissions ruled by the lower court, investment advisors sued the receiver who’s assigned to recover the remaining funds and repay defrauded donors.  However, Federal Court of Appeals concurred with the rulings of the lower court and rejected the arguments of the investment advisers’ lawyer.

Truly, the underlying facts of this case were unique.  And the ruling’s significance is how the gift annuities were viewed by the Court in light of marketing techniques used.  When the court looked at various promotional advertisements used, it was clear that the gift annuities were actually investment contracts.  Therefore, charities should be careful in marketing their gift annuities or other life income vehicles.  Make sure to emphasize that these are gifts first and foremost.

Tags: commissions, court, donors, foundation, gift annuities, lawyer, Planned Giving, Robert Dillie, U.S. Court of Appeals
Posted in Planned Giving | No Comments »

New Head of Community Foundation Named

Friday, July 31st, 2009

Over the years, Lynne Berry has been very much involved with several philanthropic groups.  Now, she has been named as the Huntsville/Madison County Community Foundation’s first executive director.  This means she’s heading an organization that’s serving all nonprofits.  She said, “There’s a lot of challenges and work in this new job but I have the opportunity to be in an umbrella organization to benefit all nonprofits and I like to learn new things.”

One of the first jobs of Berry is to educate the people about all benefits (especially tax) as well as give and educate potential donors about other community needs that would be good for them.  Community foundations can work with other donors to create funds or meet a specific community need.  These funds can either be given immediately, pooled with others, or held indefinitely.

The foundation’s chairman, Chris Russell, said that the role of the foundation is to make sure that people find it easier to make a donation or charitable gift.  Russell, who work with Huntsville Wachovia Bank in wealth management said, “There’s a difference in planned giving and annual giving.  For planned giving, what we’re focusing on has always been to raise the bar and look for more opportunities.”

Tags: charitable gift, Chris Russell, community foundation, donors, Lynne Berry, nonprofits, Planned Giving
Posted in Planned Giving | No Comments »

Future Scholar Aided by $355K donation

Friday, July 31st, 2009

Allen Singleton, alumnus of Eastern Shore University of Maryland recognizes how his alma mater meant to him.  In return, he gave a $355,000 donation that will create an endowment scholarship.  This would be titled Singleton-Stone Endowed Scholarship Fund and will have its first recipients the following year of Singleton’s death (now 76 years old).

The school’s director of planned giving and alumni affairs, Kimberly Dumpson, said “This is someone with a long history that started with the university.  Fortunately, he believes that he owes many things to the school.”

Singleton was named the largest school alumni contributor for the university.  In fact, it’s not the first time that he gave a donation.  For the past three years, two other endowments named Singleton Leadership Fund and Singleton Endowment Fund for Education and Business were created - this makes his donations total over $500,000.

Singleton considers business professor Vernon Stone as a mentor.  Their scholarship will be given to any graduate or undergraduate who demonstrate academic excellence.   ”The school is always grateful to those who make philanthropic contributions and demonstrate appreciation for high-quality education to enrich the lives of students,” said Thelma Thompson, University President.  “Through this very special gift, the scholars of Singleton-Stone will have the opportunity to experience the same level of achievement as their benefactor,” she added.

Tags: Allen Singleton, donation, Eastern Shore University, Kimberly Dumpson, Maryland, Planned Giving, Singleton-Stone Endowed Scholarship Fund, Thelma Thompson, Vernon Stone
Posted in Planned Giving | No Comments »

Funding Goals reached by Goodwill Industries

Sunday, July 26th, 2009

Since October, Southwest Florida Goodwill Foundation is looking to assist the goal of Goodwill Industries to help disadvantaged people.  According to vice-president of development, Carolyn Johnson, Southwest Florida’s Goodwill Industries has been helping the community for over 40 years.  While most people know Goodwill stores, there are many who don’t know about their services to the indigent or disabled.

Glades, Charlotte, Hendry, Collier, and Lee are the counties being benefited by the foundation in four areas of fund-raising efforts - general giving, planned giving, job skills training division, and youth division.  Johnson has been spending some time to educate the whole community about the foundation.  She said, “It’s a kind of vehicle that will set aside funds to keep services going and help the community.”

Goodwill programs include creation of low-income housing for disabled people, service to students with disability, and transportation for employed people or those seeking employment.  Their career development programs also offer job placement and coaching.

Tom Feurig, President and CEO of Goodwill Industries said, “The foundation ensures that the services and programs will continue to help individuals as much as possible.  Anybody interested to join the community and donate to the foundation may do so.”

Tags: Carolyn Johnson, Charlotte, Collier, donation, Glades, Hendry, Lee, Planned Giving, Southwest Florida Goodwill Foundation, Tom Feurig
Posted in Planned Giving | No Comments »

Charities Turned Away by Banks

Friday, July 24th, 2009

Planned giving programs are steadily gaining popularity with donors and their charities.  However, banks that service them are slowly turning away.  In fact, there are already key banks that retreated from this financial management area.  They refuse to take charities that have less that $5 million (some even $1 million) in assets.  And there are some that are dropping clients who do not make the cut.

This move is squeezing the smaller organizations, wherein many of them are dependent on banks to manage complex programs and they rely on planned giving vehicles to get donations.  Today, over 50 charities scramble to find new banks since BNY Mellon Wealth Management gave clients a deadline (until Sept. 1) to select another manager.  BNY Mellon is one of the biggest bank players in the investment arena of planned giving.  Likewise, other banks like Wachovia and Merryll Lynch that have longtime philanthropic practices are now folded into merged operations.

A few charities try to join forces in order to gain back clout with banks.  A New York attorney serving on the professional advisory committee of Charities Support Foundation, Andrew Grumet said, “These days, you need to have real money to gain a financial institution’s attention.  That’s just the harsh reality.”

Tags: Andrew Grumet, attorney, banks, BNY Mellon Wealth Management, charities, Charities Support Foundation, donors, Merryll Lynch, New York, Planned Giving, Wachovia
Posted in Planned Giving | No Comments »

Planned Giving is a Long-term Solution

Tuesday, July 21st, 2009

Planned giving can stabilize income and nonprofits understand the benefits derived from it.  So how will you know if the planned giving you chose is the best one for your nonprofit?  It’s a question asked by many organization executives and board members.  Since charitable giving is down, more and more nonprofits would be turning to planned giving instead.  One size certainly doesn’t fit all, but here are questions that you can ask and find out the answers yourself:

*What is the meaning of planned giving for you?

*Why would your nonprofit need a planned giving program?

*What do you need in order to run your planned giving program?

*What are the possible pitfalls?

*When would be the best time to start your own planned giving program?

*What are your reasonable expectations and how long will it take to see the results?

*How will you judge success?

To research more on planned giving alternatives, you can attend seminars and do your own research.  However, it would be best to consult an attorney specializing and experienced in planned giving.  They can give you actual scenarios and examples to guide you in setting up your own program.

Tags: attorney, charitable giving, income, nonprofits, Planned Giving, program
Posted in Planned Giving | No Comments »

Honoring Wyoming Philanthropists

Sunday, July 19th, 2009

The Planned Giving Council of Greater Cincinnati recently honored Paul Keidel and Dorothy Whitley Lang for their generosity to nonprofits in the area.  Lang has provided leadership for the past 50 years in numerous Wyoming organizations.  In fact, she’s completing her second term/sixth year as trustee of Wyoming School Foundation.

Her participation and commitment as major donor and volunteer to the foundation has been inspiring and consistent for the organization.  To reciprocate, they nominated her for this award.

The Endowment for Performing Arts of Dorothy W. Lang and Albert V. was a gift that’s made out of contribution to the students and appreciation for the school.  This endowment provides annual distribution to at least one performing arts program of the Wyoming City Schools.  These are orchestra, band, vocal music, and drama.

On the other hand, Keidel was a retired CPA who has subscribed to Pops and symphony for over 40 years.  He was nominated by Cincinnati Symphony Orchestra.

The council gave 20 honorees with Voices of Giving Awards - their gifts help ensure that diverse causes will be possible for the future.  The president, Andrea Herzig, said “Since Greater Cincinnati is a caring and generous community, non-profit organizations are important in our lives.”

Tags: Andrea Herzig, Cincinnati Symphony Orchestra, Dorothy Whitley Lang, endowment, Endowment for Performing Arts, Greater Cincinnati, Paul Keidel, Planned Giving, Voices of Giving Awards
Posted in Planned Giving | No Comments »

Wais Honored for Planned Giving

Friday, July 17th, 2009

Recently, the Planned Giving Council for Greater Cincinnati honored Margaret Berning Wais for her selfless foresight and generosity.  Wais decided to include St.Rita School for Deaf in her trust as a legacy to provide for generations to come.  In return, the nonprofit based in Evendale nominated her for “Voices of Giving Award.”

Wais said that the school has been a part of her life since her two grandfathers, Peter Bergman and Joseph Berning, were involved with the school’s inception since 1915.  In fact, her fondest memories of childhood includes following her father’s shirttails on St. Rita’s grounds.  She said that maybe the saying “it would take a village to raise one child” could have come from her family since it took her family four generations with the help of the entire Cincinnati community to raise the school of St. Rita.

The Planned Giving Council honored 20 people who gave gifts to help diverse causes in their community.  Collectively, these people may have committed to give millions, but the most important thing of all is that they’re committed to leave a lasting legacy.

The Planned Giving Council for Greater Cincinnati is a professional association made up of individuals whose purpose and life work is to help ensure viability of charitable organizations.

Tags: Greater Cincinnati, Joseph Berning, legacy, Margaret Berning Wais, Peter Bergman, Planned Giving, Planned Giving Council, St. Rita School for Deaf
Posted in Planned Giving | No Comments »

Couple Received Planned Giving Honors

Wednesday, July 15th, 2009

Recently, the Planned Giving Council of Greater Cincinnati honored LaVerne and William (posthumously) Stautberg for their generosity.  Their foresight will benefit future generations of Santa Maria Community Services.

Mr. and Mrs. Stautberg have been close to Santa Maria or many years - it started with William’s involvement in Western Hills/Price Hills Kiwanis Club.  Also, he served as the Board President during the mid-1980s.  So at the couple’s anniversary (64^th), their children and grandchildren fulfilled their desire to touch lives and create a lasting legacy.  The couple has provided annual funding to charity by establishing an endowment fund - there were other charity beneficiaries and among them, Santa Maria was selected as a perpetual beneficiary.

As a result, the Stautbergs were nominated for the “Voice of Giving Award.”  In total, the Price Hill-based council gave 20 awards to honorees.  The nonprofit believes that these people have committed to give millions collectively and their help will ensure that diverse causes will be possible for the future.

The Planned Giving Council of Greater Cincinnati is a professional association whose life work is ensuring viability of charitable organizations.  To get more information on planned giving and the benefits that it could give you, seek assistance from an estate planning attorney.

Tags: attorney, Cincinnati, estate planning attorney, Planned Giving, Santa Maria Community, Stautberg, Voice of Giving Award
Posted in Planned Giving | No Comments »

Planned Giving: A Noble Goal

Monday, July 13th, 2009

Jim Taylor gave away his house to charity.  He’s not rich, but he did not become homeless too.  This 83-year-old man continues to live in their rambler (4-bedroom), that he bought in 1977 when he and his late wife moved to Onalaska.  He retired in 1990 as Dairyland Power’s head, and said that he has built a nest egg big enough to be comfortable (although not rich).  Although they own their home in Onalaska, their children were already grown and with their own homes as well.

Since Taylor and his wife received good care from Gundersen Lutheran, they now wanted to contribute something to the hospital.  So what they did was call up the Medical Foundation and asked them if they need a house.

The executive director of the foundation, Phil Schumacher, explained that the Taylors can live in the house as long as they want.  Then, after their death, the foundation will own the house and can sell it as their property.  This planned giving will not affect the estate taxes of Taylor or be tied in probate, so their kids don’t need to worry about anything.

Meanwhile, Taylor enjoys a good tax deduction and the fulfillment that he has helped out an organization that he loves.  As for his heirs, he said, “They will inherit the rest of my life savings, or what’s left of it.”    

Tags: charity, Dairyland Power, estate taxes, Gundersen Lutheran, hospital, Jim Taylor, Medical Foundation, Onalaska, Phil Schumacher, Planned Giving, probate
Posted in Planned Giving | No Comments »

Both Donor and Nonprofit Benefits from Planned Giving

Saturday, July 11th, 2009

Since charitable giving is down, more nonprofits are using and further reducing their endowments, which makes a bad situation worse.  But there’s one type of giving that has not reached its full potential - it’s planned giving, which is another way that nonprofits raise money aside from grants and donations.  However, fundraising staff and board members usually shy away from programs pertaining to planned giving because it looks more complicated compared to other programs.

According to Lorri Greif, an instructor for webinars on planned giving, “These programs are win-win both for the donor and the nonprofit.  Donors can make larger gifts to the charity they care about and sometimes increase their tax advantages and income, which will enhance their financial situation.  Then charities, on the same token, would receive more assets than before.”  She added, “Often, this would create greater loyalty and stronger relationships between the benefiting nonprofit organizations and contributors.  Furthermore, it could lead to more volunteerism and bigger gifts to the fundraising campaigns of the charity.”

So how will you know if a planned giving program is the right one for your nonprofit?  Your organization executives and board members should be looking for an answer to this question. They have to weigh the pros and cons of creating this program as well as seeking advice from qualified professionals.

Tags: charitable giving, charity, donations, donor, grants, Lorri Greif, nonprofit, Planned Giving
Posted in Planned Giving | No Comments »

Donations are Beneficial to Charities and Heirs

Thursday, July 9th, 2009

If you are looking for a win-win strategy in estate planning, then give to charitable institutions.  There are many benefits of giving.  Here are some opportunities for you to give:

*Charitable Remainder Trusts (CRT) - a tax-exempt, irrevocable trust created when any donor irrevocably transfers assets to the trust.  Then, the trustee would invest the funds to pay a designated income stream for the donor in a specified period of time - this usually lasts for the donor’s lifetime and possibly the donor’s spouse as well.  Finally, after the end of term, the charity would get the rest of the trust assets.

*Charitable Lead Trust (CLT) - this gives income to a charity for several years, and then the rest would pass to the heirs of the donor.  This also allows the donor to get an income tax deduction applied to the charitable gift (the income stream going to charity).  Therefore, a CLT is the complete opposite of CRT.

*Outright Gifts - the simplest strategy to give to charity.  When you do this, you can benefit from a tax deduction.  If you want an additional benefit of removing your assets from your estate, you may give lifetime gifts such as real estate or stock.

*Retirement Benefits - an ideal asset to give to charity.  You can simply give the name of the charity as designated beneficiary with IRA custodian or plan administrator.

Tags: CLT, CRT, Estate Planning, Outright Gifts, Planned Giving, retirement benefits
Posted in Planned Giving | No Comments »

Agencies Seek Aid and Share Needs

Tuesday, July 7th, 2009

At the summit called “Behind the Front Lines,” several directors from local nonprofits have stressed to financial planners that depth of need is not met locally due to budget cuts and flagging economy. The summit was presented by Planned Giving Council of Southwest Florida and Manatee Community Foundation.   It was a chance for the leaders of nonprofits to connect with a lot of financial planners, who typically help clients make the right choice in charitable giving (some lawyers can also help in this area).

Social services tend to hype their organization efficiency and the quantity of aid they provide because political support and government funding are on the line.  According to Laurel Lynch, Hope Family Services executive director, “The demand is so high yet resources are not keeping up.”

Directors of Manatee Glens, Hope Family Services, Community Coalition on Homelessness, St. Joseph’s Food Pantry, and Meals on Wheels PLUS made five-minute presentations on the state of their community and agencies.  To take a snapshot, 2,075 children were homeless from birth until 18 years old during the past year, and Manatee Glens is giving addiction services and mental health in one out of every 30 families.

Hopefully, the testimonials have made an impact on those financial planners in attendance.  And after the summit, the people have understood that there is a need affecting the whole community.

Tags: Behind the Front Lines, directors, financial planners, Laurel Lynch, lawyers, nonprofits, Planned Giving, summit
Posted in Planned Giving | No Comments »

Resourceful and Creative Donations

Sunday, July 5th, 2009

Jeanne Geiger Crisis Center is helping families and individuals for over 25 years.  They have a compassionate mission to assist people involved in domestic violence.  It began as a compassionate mission where a few St. Paul’s volunteer parishioners grew into a local organization nationally recognized to serve the people of Groveland, West Newbury, Salisbury, Rowley, Newburyport, Newbury, Georgetown, Merrimac, and Amesbury.

The mission of this crisis center has been to empower community members and live free from violence, intimidation, fear, or threat of abuse by providing education, advocacy, and support.  The major goal is to create safe communities and end domestic violence for its members.

It’s very obvious that individuals and businesses would want to continually support nonprofits in their communities.  The public is invited to donate through these resourceful and creative ways:

• *Honor a friend or family member during special occasions, such as birthdays, or honor new graduates by donating through their name.
• *Donate a portion of your eBay auction for the Crisis Center.
• *Give through the matching gifts programs of employers.
• *Create your own planned giving program.

During these tough economic times, individuals and area businesses have stepped up efforts in order to support the individuals impacted by domestic violence and families in crisis.

Tags: domestic violence, donate, Jeanne Geiger Crisis Center, mission, nonprofits, parishioners, Planned Giving, St. Paul, violence, volunteer
Posted in Planned Giving | No Comments »

Ally of Small Non-profits

Friday, July 3rd, 2009

A small non-profit foundation needs to have a program for planned giving.  Here are some steps that you need to take for this program:

• *Draft a board meeting agenda.
• *Request for a meeting with the bank president.
• *Meet with the finance committee and sign thank-you letters.
• *Write, edit, or proofread the newsletter and send it to the post office.

You can do all these or you can just call a community foundation.  These community foundations need to strengthen philanthropy inside their own geographic areas.  They also provide a range of services to other partner non-profits including endowment management, technical assistance, grants, and consultation of planned management.

Oftentimes, a relationship would begin when your non-profit places an endowment.  Community foundations would pool the funds and invest it in various investments.  Non-profit endowments would range from $5,000-$25,000.

There are many variables and possibilities with planned giving.  Since small non-profits don’t even know where they would begin to seek for donors, these community foundations have numerous staff with legal expertise to help them.  And when they have identified a donor who’s interested to support their endowment, the community foundation would be more than willing to work with them and find the best vehicle to grow their funds.

Tags: community foundation, donor, endowment, non-profit foundation, Planned Giving
Posted in Planned Giving | No Comments »

Plane Crash Victim’s Family Fund Set-up

Friday, July 3rd, 2009

A trust fund was set up for the family of a woman in Ottawa who’s believed to be one of the passengers on a plane that recently crashed in the Indian Ocean.  Donations are being collected in order to help the husband and three children of Ensumata Abdoulghani for their funeral, travel, and living costs.

Abdoulghani had a Yemenia Airbus ticket for a trip coming from Paris and Marseille to Comoros passing through Yemen.  This plane had 153 people when it plunged in the water on Tuesday while approaching Grande Comore airport.  Only a 12-year-old girl survived.

Her husband, a Muslim teacher named Youssouf Mahamoud, traveled to Comoros after hearing the crash.  Some of his emergency money for the trip was raised by neighbors and friends in his low-income apartment.  He would still need a plane ride back and the family will extremely appreciate any help they can receive.

Before the crash, Mahamoud had been sending his earnings back to his family.  Donations for the family trust fund can be made at any branch of TD Canada Trust.  The bank will accept any cash or check that’s made out to Mohamed Mahaoud in trust.

Tags: donations, Ensumata Abdoulghani, Indian Ocean, plane, plane crash, TD Canada Trust, trust fund, Yemenia, Youssouf Mahamoud
Posted in Family Trust, Planned Giving | No Comments »

Holocaust Centre Launched $20M Endowment Campaign

Wednesday, July 1st, 2009

MHMC (Montreal Holocaust Memorial Centre) launched a recent “legacy campaign” that will secure the future of the museum and preserve the memory for six million generations to come.  It’s called Legacy Society, an initiative that will establish $20-million endowment fund perpetually to continue the centre’s work.

“Activities include anti-Semitism and intolerance through educational outreach, discrimination, furthering human rights as well as fight against hate, honoring family, commemorating Holocaust, and Holocaust resistance,” as revealed by Julia Reitman, centre president, during the campaign’s launch.

U.S. Holocaust Memorial Museum’s George Hellman, the director of planned giving in Washington D.C. said that “creating an endowment fund surely is the best way to secure the future of any institution.”  Since 2002, Washington Museum already raised over $56 million through planned giving.

Hellman said, “Our donors are taking this commitment seriously.  They learned that it will give you peace of mind to leave a planned gift.  It’s critical to the great success of any legacy society.”

Meanwhile, Alice Herscovitch, centre executive director, said no overtures or individual approaches will be made although the term “campaign” was used.  Those who are considering making a “planned gift” voluntarily may approach the centre to meet with a representative on a confidential and individual basis.  He further said that the donor can decide whether the “planned gift” will be kept confidential or not.

Tags: Alice Herscovitch, donors, endowment, George Hellman, legacy campaign, Legacy Society, MHMC, planned gift, Washington Museum
Posted in Planned Giving | No Comments »

Planned Giveaway of Free Clothing

Monday, June 29th, 2009

On July 11, local residents of Olean, New York, are hosting a large giveaway of food, appliances, and clothing.  This event will be held at 647 S. Union St. South Side Chapel from 9am-1pm.

David Herne, the chapel’s current pastor, established this ministry in 1991.  South Side Chapel is currently under the umbrella of Heritage Aflame ministries.  Paula Ayers, the ministry coordinator, said that they have been shelving clothes since mid-1990s.  She said, “We had property in Bolivar (Main Street) in 1994.  One side of that property was turned into a coffee shop while the other side was converted into a youth game room.  Then, we saw a need for burned out people who need clothing, or for women thrown out by their husbands.”

So they got the property across the street and opened a donation clothing store.  Volunteers sell clothes at quarter and dime prices, “for people who don’t have much money, being able to buy clothing for their kids gave them pride.  But for fire victims or people who truly can’t afford to pay, the clothes have always been given for free,” Ayers concluded.

Rose Levia, a volunteer and member of South Side Union Chapel says, “More volunteers are welcome.  All donations from anyone will also be accepted.”

Tags: Bolivar, clothes, donation clothing store, giveaway, Heritage Aflame ministries, Main Street, New York, Olean, Paula Ayers, Planned Giving, property, Rose Levia, South Side Chapel, volunteers
Posted in Planned Giving | No Comments »

Volunteers Honored for Helping Foster Care Kids

Friday, June 26th, 2009

With support for corporations, organizations, and volunteers, a charity for foster care children called Hillsides provides basic necessities and extra attention to each child.  Five organizations and local individuals were recipients of the Hillsides Special Recognition Awards for the duration of annual Angel Awards Ceremony.

Cindy Roberts (a mother of five), Conrad Schlick, (a Sears employee), and many others talk about the inspiration, energy, and warmth that they’re receiving from giving donations and raising funds for the charity.

Also, the charitable foundation of Pasadena Foothill Association of Realtors (PFAR) has long been donating to Hillside (since 1999).  They recognize the charitable foundation for the mission of creating many safe places for foster children.  And their relationship strengthened even more when the director of planned giving and major gifts, Jackie Broxton, gave a presentation at one of their meetings.

The vice chair of PFAR, Brandie Belangerie, became a spirited individual who’s eagerly advocating the service to children and loyal to Hillsides.  She inspired PFAR to consider Hillsides as one of the leaders for its community outreach efforts.

Planned giving will not just lift your spirits, but it would also generate several advantages to your estate as well.  Contact an estate attorney to learn more about its benefits.

Tags: Angel Academy Awards Ceremony, Brandie Belangerie Hillsides, estate attorney, Hillsides Special Recognition Awards, PFAR, Planned Giving
Posted in Planned Giving | No Comments »

Crackdown on Fraudulent Charities

Thursday, June 25th, 2009

Federal Trade Commission (FTC) recently announced their campaign on “Operation False Charity.”  This effort will crack down fraudulent charities, which actually lies in the hands of FTC’s partners in this effort - 61 law enforcers, Secretaries of State, and Attorney Generals in 49 states and Columbia district.

“The problem of having fraudulent charities is very real,” said Tony Martignetti, managing director of a New York-based consultancy group called Martignetti Planned Giving Advisors, LLC.  “However, it’s harder to spot these fraudulent charities when 90% of them fund-raising in Florida, New York, California, or other major states are not even registered there,” he added.

Non-profits are controlling about $1.5 trillion (or 10%) of the U.S. economy.  “It will only be a matter of time before state and federal agencies catch up to non-profit sector and combat fraud.  Charity licensing and registration throughout 50 states has been a regulatory morass most non-profits have avoided.  Enforcement by states is nearly non-existent.  In fact, many states don’t even have penalties for noncompliance.” Martignetti noted.

The new IRS Form 990, which is signed by the non-profit’s officer under a penalty of perjury, makes it illegal for nonprofits to avoid state registrations since it calls for a record of states where it’s required to file a copy of Form 990.

Tags: attorney generals, charities, charity, FTC, non-profits, Planned Giving, Tony Martignetti
Posted in Planned Giving | No Comments »

University of Manitoba granted with Millions from Estate

Tuesday, June 23rd, 2009

In its 131 years of existence, University of Manitoba recently received the largest bequest throughout its history.  The money, $7 million, will ensure that its university library purchases more books.

William and Margaret Strobie gave the gift.  They taught English literature at the university for decades and they want to instill the love of books to young professors and thousands of students.  When Margaret died in 1990 and her husband, William, followed in 2007, he decided to leave their Inuit art, papers, book collection, and a fortune of stocks to the school.

In 2003, William Stobie contacted the university and made an initial outright gift specifically for the library to have an endowment fund and buy books in their name.  The director of planned giving, Beth Proven, met him in 2005 and said, “Before he even talked with anybody, that’s already his wish.  It’s the largest one I ever came across with.”

“Strobie’s wish was very specific,” Proven added.  The money should go into buying books for specific areas of Slavic studies, French, German, Italian, Spanish, English literature, philosophy, and the classics.  It was estimated that the estate will most likely generate $315,000 interest every year to buy these books.

Tags: bequest, books, endowment fund, gift, Margaret Strobie, Planned Giving, University of Manitoba, William Strobie
Posted in Planned Giving | No Comments »

Options in Planned Giving

Sunday, June 21st, 2009

The most common vehicles or types of planned giving are gift annuities, charitable bequests, charitable lead trusts, charitable remainder trusts, and beneficiary designations.

• 1. Gift Annuities - to establish this, you need to contribute assets or funds to a nonprofit organization. In turn, that organization will give you fixed annuity payments from its general assets. Therefore, a charitable gift annuity can provide you with lifetime income.
• 2. Charitable Bequests - used to describe anything that you leave or give to charity. These may come from a living trust or a will. Anybody (even those with small estate) can arrange a charitable bequest.
• 3. Charitable Lead Trusts - you can designate a charity that will receive regular, fixed amount for a specified time period coming from a trust. Then, at the end of that period, the remainder of the trust can pass either to your designated heirs or other beneficiaries.
• 4. Charitable Remainder Trusts - this allows you or your beneficiaries to receive income coming from trust during your lifetime or a period not exceeding 20 years. The balance of this trust can be transferred to any charity you select at the end of that period.
• 5. Beneficiary Designations - when you designate a charity as beneficiary of your retirement assets or life insurance, you could enjoy certain tax advantages and flexibility in your planned giving.

Tags: beneficiary designations, charitable bequests, charitable lead trusts, charitable remainder trusts, gift annuities, Planned Giving
Posted in Planned Giving | No Comments »

Introduction to Planned Giving

Friday, June 19th, 2009

A term that’s commonly used to describe donating to charity during one’s lifetime or after death is called “planned giving.”  This is done while meeting your current needs as well as providing for your heirs.  Also, it’s typically done with estate planning.

From the perspective of the donor, planned giving may be attractive for many reasons.  First, it allows you to give larger gifts out of your existing assets.  And it may also reduce your estate taxes or capital gains, earn higher investment yield, or give you an income stream for life, depending on how you set it up.  These planned gifts normally appeal to people who are not sure how much assets they’ll need during their lifetimes, and at the same time, want to benefit charitable organizations.

Planned gifts may be used to start a private foundation, create a support organization, establish your own fund at any community foundation, or give to a specific nonprofit organization.  The most common planned giving vehicles are beneficiary designations, charitable requests, charitable lead trusts, charitable remainder trusts, and gift annuities.

For more information on these programs, consult an attorney or professional advisor.  You can find them in any attorney listings or directories online.

Tags: assets, attorney, attorney listings, capital gains, charitable organizations, directories, Estate Planning, estate taes, gifts, online, planned gifts, Planned Giving
Posted in Planned Giving | No Comments »