While clients expect their advisors to have expertise on a full range of planning issues, advisors may hesitate to address the concept of charitable giving for a number of reasons. The subject may be postponed, as advisors deal with other planning issues. Some advisors feel that charitable giving is too personal a topic. Others are not as comfortable discussing charitable giving vehicles as they are discussing other tax-advantaged planning techniques. Still, clients expect it as one facet of their personal and financial planning.

Philanthropy Discussion Strategies

• Bring up philanthropy right away.Use an initial meeting to discuss your client’s charitable intent and particular civic interests.
• Discuss objectives. Only after you understand your client’s overall objectives can you suggest strategies to minimize taxes while passing on wealth to heirs and charity.
• Focus on values. Hone in on personal values by asking clients such questions as: What is your vision for the ways you wish to use your wealth? What values helped you earn your money? Are there ways you wish to perpetuate these values as you spend and share your wealth?
• Know the vehicles for charitable giving. Tap your local community foundation as an excellent resource with information on a wide variety of charitable planning issues, giving mechanisms, local community programs, as well as local needs and opportunities.

Partnering With Community Foundations

Community Foundations advance their missions by stimulating philanthropy. For this reason, they are willing partners, supplying advisors with information and other resources they need to meet the philanthropic expectations of clients.

Community Foundations can help you:

• Provide information on community needs and on the local agencies and programs that make a difference in the areas your clients care about most.
• Deliver grant-making expertise and a range of administrative services related to charitable giving.
• Facilitate gifts of cash, stocks, bonds, real estate or other assets; including help with complex forms of giving and technical giving instruments, such as charitable remainder trusts.
• Create and implement charitable plans that are integrated into major business, personal and financial decisions.
• Identify clients’ charitable giving interests and motivations.
• Match personal charitable interests with tax planning needs.

To learn more, download free resources, or find a community foundation near you, visit CommunityFoundations.net.