Why Donors Name or Intend to Name a Nonprofit in Their Wills

We asked bequest givers and those who plan to amend their wills at some point to include a bequest to rate their primary reasons for naming a nonprofit in their will. Their answers most often related to intrinsic, personal feelings rather than tangible benefits. On average, younger Americans with wills (ages 40–54) and those of any age group who plan to amend their wills tended to offer nearly all of these reasons more frequently.

The majority of those who already have a bequest in their will or intend to amend their will at some point to add one cited the following as a primary reason for doing so:

» You just feel it is the right thing to do (81 percent).

• Those aged 40–54 and those with college degrees are slightly more likely to say this is a primary reason (87 percent each).

• This is also a primary reason for those with household incomes of $50,000 or more (86 percent).

» You can have peace of mind that you are doing something good (56 percent).

• Six out of 10 (61 percent) of the youngest Americans in our sample (ages 40–54) list this as a primary reason.

• Current givers favor this reason (60 percent, compared to 49 percent of likely future bequest givers with wills).

The following reasons swayed fewer than half of potential bequest givers but still factored into the decisions of at least 1 in 5:

» You can leave a legacy to an organization you care about that will live on after you are gone (46 percent).

• This reason appeals slightly more to:

• Those with incomes of $50,000 or more (54 percent).

• Those with a college degree (54 percent).

• Those between the ages of 55 and 64 (52 percent).

» You can honor someone you love or admire with a gift in his or her name (29 percent).

• This is most attractive to younger prospects (37 percent of those aged 40–54).

• This reason applies more to future (33 percent) than current (26 percent) bequest givers.

• This is more likely to appeal to women (32 percent) than men (25 percent).

» You can set an example for family members (26 percent).

• This is more attractive than average to younger prospects (33 percent of those aged 40–54).

• One-third (33 percent) of those with a college degree say this is a major reason.

» You can simplify your estate for your heirs (23 percent).

• This is more attractive to those with a college degree (28 percent).

• This reason is stronger among current (26 percent) than future (19 percent) bequest givers.

» You can pay back a kindness you’ve received, such as a scholarship or medical care (23 percent).

• This reason appeals to the younger prospect group (32 percent of those aged 40–54).

• More future prospects are drawn to this reason (29 percent) than those who have already included a bequest (20 percent).

• Those with household incomes of $100,000 or higher and those with a college degree are also likely to see this as a major reason (28 percent each).

» You can reduce the amount your estate will pay in taxes while keeping the amount you give to family and friends the same (21 percent).

• While neither gender differs notably from the average, this reason is more likely to appeal to men (25 percent) than to women (17 percent).

• Those who intend to include a bequest but haven’t yet are more likely than current bequest givers to credit this as a reason (27 percent among intended givers, compared to 17 percent of current givers).

» You can provide income for family members through gift annuities (19 percent).

• Those who intend to include a bequest but haven’t yet are considerably more likely than current bequest givers to credit this as a reason (28 percent among intended givers, compared to 12 percent of current givers).

» You can reduce the amount of income tax you pay now (13 percent).

• Those who intend to include a bequest but haven’t yet are more likely than current bequest givers to consider this important (18 percent among intended givers, compared to 9 percent of current givers).

• This is slightly more attractive to those with less education (18 percent of those with no more than some college education).

Motivations for Bequest Giving: Why People Give and Why They Don’t | 3

» You feel it is expected of you, for example because of your involvement in an organization (12 percent).

» You can receive income later from deferred gifts and take the tax advantage now (9 percent).

• Those who intend to include a bequest but haven’t yet are much more likely than current
bequest givers to credit this as a major reason (15 percent among intended givers, compared to 6 percent of current givers).

• This is attractive to younger prospects (15 percent of those aged 40–54).

» You can sometimes receive perks or privileges associated with a higher level of giving than what you can afford on an annual basis (3 percent). Six percent did not offer any of these as a primary reason.

*This research was provided by The Stelter Company