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  • 1.  Planned Gift Entry for Structured Deferred Payments

    Posted 11-14-2022 09:09 AM
    Hi there,

    I was hoping to hear if anyone else has ever had a situation where a donor wants to gift a large planned gift that has a structured payout so instead of one or two large lump sums it would pay the same amount annually over 20 years.  The problem is that we like to report annually on projected planned gift income based on life expectancy but then we normally would count the full amount for that expected year.  I'm not sure if a best practice would be to enter 20 smaller planned gifts that equal the expected amount using the expected maturity year to count that amount in the correct year or if anyone has a better way of reporting on that type of gift/payout.

    Thanks,
    Tammy Sirek
    Associate Director of Advancement Operations and Strategies
    St. Olaf College

    ------------------------------
    Tammy Sirek
    Associate Director of Advancement Operations and S
    St Olaf College
    sirekt@stolaf.edu
    ------------------------------


  • 2.  RE: Planned Gift Entry for Structured Deferred Payments

    Posted 11-14-2022 10:24 AM
    Hi Tammy,

    It sounds like this gift isn't based on life expectancy, it's just a pledge with a multiyear payout schedule. Typically, the full value of the pledge would be recognized right away by your business office, discounted to present value, so long as this is an unconditional pledge with a signed agreement, and it conforms with any other policies your org may have regarding pledge . You would be able to report on expected payments in each year once you enter the payment schedule in your donor management system. All this assumes that the gift is an unconditional promise to give, with a signed gift agreement. 


    Thank you,
    Isaac Shalev
    Data Strategy Expert
    Sage70, Inc.
    (917) 859-0151
    isaac@sage70.com

    Schedule a 30-minute consultation now:




    Original Message


  • 3.  RE: Planned Gift Entry for Structured Deferred Payments

    Posted 11-14-2022 10:42 AM
    Yes, that's another way of doing it that I had thought of but figured our development team would want to know it was a planned gift instead of a pledge, but we can do some other types of coding to reflect that.  Thanks for your input!  I greatly appreciate it.

    ------------------------------
    Tammy Sirek
    Associate Director of Advancement Operations and S
    St Olaf College
    sirekt@stolaf.edu
    ------------------------------

    Original Message


  • 4.  RE: Planned Gift Entry for Structured Deferred Payments

    Posted 11-14-2022 11:19 AM
    It depends on what the internal distinction means to your organization. Some folks view planned giving as an end-of-life gift or one that's specifically tied to estate planning. They would want to mark the donor as having made such a gift, so they can recognize them in their legacy society, steward them properly, etc. Others view any structured major gift as a planned gift. No matter the semantics, the way the gift is entered into your donor database shouldn't be determined by that - gifts with the same transaction characteristics should be entered the same way. Other tags and attributes should be used to characterize the gift in a manner suitable to your organization's approach and tracking for legacy/bequest/planned giving.  


    Thank you,
    Isaac Shalev
    Data Strategy Expert
    Sage70, Inc.
    (917) 859-0151
    isaac@sage70.com

    Schedule a 30-minute consultation now:





    Original Message


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