Billions of dollars pass through wills annually. A portion of that—the part intended for nonprofits—can be directed to your organization if you ask and make it easy. Planned giving is the easiest major gift strategy: donors get benefit, you get revenue, everyone wins.

Yet 60% of nonprofits have no planned giving program. This leaves hundreds of thousands of dollars on the table from donors who want to give but don't know how.

Planned Giving Basics

Planned giving is giving that happens outside the current budget cycle. A donor includes your nonprofit in their will, creates a trust, or uses a vehicle like a donor-advised fund. These gifts often happen years after the donor commits.

Key advantage: No tax impact during lifetime, full tax deduction for gift value, can provide income to donor, and deep mission alignment (legacy-focused).

The Planned Giving Vehicles

Bequests (Wills and Trusts) Most common. "I leave $50,000 to [Organization] in my will."

How to market: "Your legacy lasts forever. Include us in your will." Simple, low-friction, no lawyer required (they add one sentence to existing will).

Charitable Remainder Trusts (CRTs) Donor transfers assets, receives income for life, remainder goes to nonprofit.

Why it works: Donor gets income, tax deduction, and legacy. Organization gets major gift eventually.

Complexity: Requires lawyer and CPA. Not for small gifts ($25K+ minimum typical).

Charitable Gift Annuities (CGAs) Donor gives $50K, receives fixed income for life, remainder to nonprofit.

Similar to CRT but simpler. Works with modest assets ($25K-$500K).

Donor-Advised Funds (DAFs) Donor establishes fund, gets tax deduction, recommends grants to nonprofits over time. You market to DAF holders, not creator.

Launching Your Planned Giving Program

Step 1: Create One-Page Planned Giving Guide Simple document explaining: bequests, CRTs, CGAs, DAFs. One paragraph each. Include language donors can give attorneys. Make it accessible.

Step 2: Add to Website "Remember us in your will" section. Link to planned giving guide. Simple, visible, inviting.

Step 3: Market to Major Donors Call your 20-30 major donors: "We're expanding how supporters can partner with us. Many donors include us in long-term plans through wills or trusts. Is this something you've considered?"

Result: 10-20% will say yes or "maybe." Those become planned gift prospects.

Step 4: Get Legal/CPA Support** Partner with local estate planning attorney and CPA. They review your guide. You refer donors to them for complex vehicles (CRTs, CGAs). Most will work pro bono for nonprofits.

Step 5: Track and Steward** When someone commits a planned gift, document it. Send annual thank-you. Update them on impact. When gift is eventually received, steward properly (major donor treatment).

The Bequest Strategy

Bequests are your entry point. 80% of planned gifts are bequests.

How to ask: Personal conversation. "As you think about your legacy, would you consider including us in your will? Even $5,000 helps. You work with your attorney to make it happen. We just need to be named."

What to say: Give them language. "You can simply tell your attorney to add: 'I leave [X amount or percentage] to [Organization Name], located at [address], tax ID [number].'"

Marketing: Include in annual reports. Mention in newsletters. Share stories of donors who've included you. Normalize it.

The Revenue Math

Assume 50 major donors. If 30% commit a bequest (average $75,000), that's 15 bequests × $75,000 = $1.125M future revenue.

If 5 of those bequests are received in Year 1-5 (average timeframe), that's $375,000 in unexpected revenue.

Even conservative planning suggests planned giving generates $100K-$500K over 5-10 years from modest outreach.

Common Mistakes

Waiting Until They're Elderly People in their 60s-70s are ideal to ask about bequests. But people in their 40s-50s also care about legacy. Ask broadly, not just to elderly donors.

Making It Too Complex Bequests are simple. CRTs and CGAs are complex. Lead with bequests. Make complex vehicles available but not the default.

No Follow-Up** A donor commits a planned gift. Then silence. Maintain relationship. Send annual updates. When they pass and the gift arrives, their family knows you cared.

Poor Documentation** Confirm bequest commitments. Get it in writing if possible. Some organizations provide "legacy society" membership acknowledgment. This formalizes commitment.

Building a Legacy Society

Formalize planned giving with a "legacy society" or "legacy club." Members are donors who've committed major gifts or planned gifts.

Benefits: Recognition, special communications, annual gathering, impact reports showing their specific gift's outcomes.

This costs nothing but creates deep loyalty. Legacy society members often increase gifts, add donations, and become major advocates.

Frequently Asked Questions

Do we need a lawyer to handle planned giving?

For bequests, no. Donors work with their own attorney. For CRTs and CGAs, yes—partner with an estate planning lawyer. Many work pro bono for nonprofits, so cost is minimal.

What if someone wants to leave a bequest but isn't wealthy?

Accept it. A $5,000 bequest from a modest donor is still $5,000. Don't require minimum amounts for legacy society or planned giving. Accept all commitments.

How do we ask about bequests without seeming ghoulish?

Lead with legacy and impact, not mortality. "As you think about your legacy and what matters to you, have you considered including us in your long-term plans?" This frames it positively.

Should we follow up annually with planned gift commitments?

Yes. Annual thank-you, impact report, and personal note. This keeps relationship alive and ensures commitment stays solid. Many donors reconsider gifts if they feel forgotten.

Can we ask a living planned gift donor for an additional current gift?

Yes, but carefully. Don't pressure. "We know you've included us in your will, which means everything. If you're able to support this year's campaign as well, we'd be grateful." Frame it as optional additional support.