It's an unfortunate fact that a significant number of charitable donors do not have a current will.
You can do your donors a service by bringing up the possibility of including your organization in their estate plan--simply for the fact that it's a way to remind them of the importance of having an up-to-date document.
On a federal level, the estate tax is relevant to a very small number of families. That said, those very families are ones you and your organization would hope to have a relationship with.
Wills and revocable living trusts are often used to:
WHO: Every prospect you work with has the capacity to include your organization in their estate plan!
Donors are people, and people as a rule have to deal with their mortality. Now, you’ll hear statistics saying less than 50% of people have as much as a simple will. In truth, though, the chances are much better that the donors you deal with do have an estate plan, and as such have the capability of including your organization in that plan.
But how do you broach the subject? Ask donors if their estate plan is current.
Simply stated, an outright gift is a gift of any asset (most generally cash) that is given to the institution for immediate use.
What follows is a best-practice scenario—your organization may well have similiar policies and procedures that differ in certain respects.
Your donor's accountant and/or legal counsel likely is involved in very few bargain sales over the course of their career. Your organization's counsel or gift planning office will need to be involved in this gift early on. Be ready to work closely with all parties involved and, if possible, allow a minimum of six weeks for the transaction to happen.
From a documentation perspective, these are the required elements: