Heritage Club - Building Our Club's Future.

“Every Boys & Girls Club can have a Successful Bequest Program and Heritage Club”

What Is A Planned Gift? The Case.
In its basic form: Anything that is more complicated than writing a check.

Defined: A voluntary gift that takes some planning and where the assistance of a qualified individual is needed to help complete the gift.

What Is A Bequest. The Case.
In its basic form: A gift that comes as a result of a person’s death.

Defined: A gift through a person’s estate plan where the gift is revocable. In other words, the donor can change their mind as to the size, nature, and purpose of their gift prior to their death.

8 Ways To Make A Bequest.
• Bequests/Codicils
• Life Insurance Policies
• Retirement Accounts
• Other “will substitutes”

Bequests:
Wills or living trusts
1. Specific bequest
2. Percentage bequest
3. Contingent bequest
4. Residual bequest – specific or percentage

Life Insurance Policies:
5. Make charity a full or partial beneficiary of current policies.

6. Transfer ownership of policies no longer needed for family.
* Note: You can use life insurance to replace gift assets for family.

Retirement Accounts:
7. Make charity the death beneficiary of your plan:
Fact : Pre-tax contributions and earnings makes qualified plans highly taxable. Note: The CARE Act may help in the future.

Other "Will Substitutes":
8. Designate your bank account as POD or your stock account by getting a beneficiary designation form from your banker or broker.

Why Is A Bequest Program Important to Your Club:
• Wealth Transfer
• Individual Giving
• Future Financial Stability 
• Donors Like Them!

Wealth Transfer:
In a recent study, Boston University projected that by the year 2040, $41 Trillion will be transferred between generations. Between $5-9 Trillion will go to charity.

In 2000, bequests accounted for over $16 billion in gifts to US charities.

Bequests make up 70-80% of all planned gifts to charity.

Of the wealthiest Americans who died last year, only 20% made a provision for charity; However, 70% had given something to a charity the previous year.

Financial Stability:
Charities with planned giving programs report a cost of 5 cents to raise a $1.00. If you put bequest $$$ into an endowment, you receive the interest income;3-5% of the endowment principal each year.

Donors Like them:
• Donor’s perspective - least costly way to give
• Future Commitment - deferred, not out-of-pocket
• Flexibility and Control
• Larger Gift Potential
• Anonymity
• Stewardship
• Leads to other giving

Next Step: Establish the Structure*

• Start now – it takes time to establish
• Resolution by the Board endorsing a Planned Giving Program and establishing a Heritage Club
• Doesn’t interfere with other efforts
• Build it and they will come!
• *Planned Giving Manual and Heritage Club toolkit– coming soon Establish your Policies and Procedures
• Begin “Never-sleep” Marketing

Policies & Procedures*:
• Gift Acceptance Policies
• Disposition of bequests
• Endowment
• Investment guidelines
• Spending rules
* Available now - Endowment Manual

Gift Acceptance Policies:
• Protects your club from “dumping”
• Records the policies for all parties
• Defines a protocol
• Demonstrates best practices

Disposition of Bequests:
• Clarifies responsibilitiesfor all parties
• Establishes a protocol
• Records an understanding for its use
• Endowment

A Strategy For Generating Planned Gifts - The Heritage Club.

What Is The Heritage Club?
The Heritage Club gives special recognition to those individuals who have made the ultimate gift to your club… a legacy gift. A national association of friends who seek to assure that the future needs of our nation’s youth are met by including their local Boys & Girls Club in their plans.

How can Individuals Join the Heritage Club?
• Bequests
• Designation gifts
• Insurance
• Retirement Plans (IRAs)
• Gift Annuities
• Trusts

Three Steps For Getting Started:
1. Board creates a Heritage Club
2. Get commitments from leaders
3. Develop an marketing plan

Step One - Create Your Heritage Club:
• It helps donors stay connected 
• Offers a way to thank donors often - stewardship
• Raises awareness and educate  constituency
• Founding members campaign
• Establish an enrollment period
• Publicize the campaign well
• Consistent and continuous

Step 2 - Commitments From Leaders:
• Each leader should make commitment
• Lead by Example
• Participation sought from all leadership groups 
• Provides momentum for start-up of program
• Networking process begins here

Step 3 - Develop A Marketing Plan:
• Market to “low-hanging fruit” – best prospects
• Creates early success
• Multiple approaches are necessary

Printing / Publications:
• Newsletter
• Ads, articles in other publications 
• Inserts
• Letterhead – “Remember the Boys & Girls Club in your will”
• Brochures

Step 3 - Develop A Marketing Plan:
• Utilize “never-sleep marketing”
• Incorporate “remember the B&GC in your will” into everything
• Direct Mail - Segmentation
• By age, frequency and size
• By affiliation

Formal Announcement:
• Invitational letter by Board Chair
• Reply card
• Follow-up

Individual Cultivation Efforts:
• Very select “prospects”
• Person-to-person visits
• Use Peers for cultivation:
• Board members
• Other volunteer leaders
• Donors already committed
• Cultivation receptions/activities

Heritage Club Event:
• End of Founding Members Campaign
• Not another event – add to existing one
• Invite Heritage Club members
• Invite other “prospects”
• Provide transportation
• Special placement
• Present pins/plaques
• Testimonial

Begin With Yourself! Create or update your own plans.

Questions:
“Can Every Boys & Girls Club can have a Successful Bequest Program and Heritage Club?” YES!