Cut Through the Clutter: Focus on the Two Planned Giving Options That Really Work

Cut Through the Clutter: Focus on the Two Planned Giving Options That Really Work

Most fundraisers hesitate to talk about planned giving because they feel like they need to be experts in trusts, annuities, and tax law. The good news? You don’t. You just need to focus on two simple, flexible options that work for nearly everyone.

Planned giving is a powerful way for donors to leave a lasting legacy, but the sheer number of options can create confusion and hesitation. Each option comes with its own set of benefits and complexities. While these options certainly have their place, trying to promote all of them can dilute your message and overwhelm your supporters.
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In today’s post, I’m making a case for simplicity. Instead of trying to master every planned giving option, focus on the two that are most common, simplest, and most flexible for donors: bequests and beneficiary designations.

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The Two Simple, Flexible Options

After years of experience, it’s clear that the majority of nonprofit organizations would benefit most from sticking with two straightforward approaches: bequests and beneficiary designations.

1. Bequests
Bequests are perhaps the simplest form of planned giving. They allow donors to include a gift to your nonprofit in their will. Not only are bequests easy for donors to understand, but they also require minimal ongoing effort on your part once the gift is in place.

Why Bequests?

• Simplicity: Most donors already have a will in place or plan on making one at some point, so adding your organization as a beneficiary is a small change with a big impact. Bequests are also revocable, meaning they can be changed or removed at any time (which gives many donors peace of mind).
• Flexibility: Donors can decide how much to give and even set up multiple bequests for various causes. If a donor already has a will in place, they can simply file a codicil to their will (kind of like an amendment) to add a bequest.
• Long-Term Impact: Bequests help ensure that your mission continues well into the future. Most donors can afford to give more out of their lifetime assets than is possible for them out of their income, meaning bequests are often much larger than annual gifts.

To make it even easier, consider offering sample bequest language. I’ve developed a straightforward template that organizations can use to guide donors in drafting their wills. This sample language takes the guesswork out of the process – helping donors feel confident in leaving a legacy gift.

2. Beneficiary Designations
The second option, beneficiary designations, is equally compelling. This approach is often used for individual retirement accounts, pensions, 401(k)s, and life insurance policies. By naming your nonprofit as a beneficiary, donors can provide significant support without having to alter their wills.

Why Beneficiary Designations?

• Flexibility: Once the donor decides which account they want to make your nonprofit the beneficiary of, they can choose to give you all the proceeds or a percentage. This means they can easily support multiple charities and their surviving spouse and heirs. Beneficiary designations are also fully revocable, which as I mentioned, appeals to most donors.
• Ease of Set Up: Beneficiary designations are usually set up with a simple form. No need for the donor to visit their attorney. All they need to do is ask the company that holds the account for their beneficiary form, fill it out, and submit it.
• Widespread Appeal: This method appeals to a broad range of donors, from younger supporters who are just beginning to plan their futures, to older donors looking to maximize their tax benefits.

To support your efforts in this area, you might post a Beneficiary Designation Checklist which lists all the kinds of accounts that can have beneficiaries. Simple, clear instructions can demystify the process and boost participation.
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In my store you’ll find social media templates for planned giving, which include a template Beneficiary Designation Checklist and pre-written Web Copy to create a planned giving focused landing page on your website.

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Keep It Simple, Keep It Effective

By narrowing your planned giving strategy to these two options – bequests and beneficiary designations – you create a clear, focused message that resonates with donors. Not only do these methods simplify your messaging, but they also provide the flexibility that many donors are looking for when planning their legacies.
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Instead of overwhelming your supporters with a menu of complex options, concentrate on making it as easy as possible for them to learn about and pursue these two powerful tools. Whether it’s through offering a handy sample bequest language template or leveraging engaging digital content to promote beneficiary designations, a focused approach is key.

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final thoughts

When it comes to planned giving, less is often more. Focusing on just these two options will make your planned giving efforts clearer, easier to promote, and ultimately more successful. Keep it simple, and you’ll see results.

What planned giving opportunities does your organization focus on? Where will you focus your efforts for the rest of 2025? Let me know in the comments!
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Cheers!

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