What Drives Giving: The Heart or Brain: Major Gifts, Planned Gifts & Donor Retention was presented at the 2023 Nonprofit Academy in St Mary's PA and focuses on the power the heart plays in Major Gifts and Planned Giving through conducted research and the personal experience of Gary Bukowski in his fundraising effort to make a difference in Higher Education, with Intellectually Challenged Individuals and most recently at Sarah A Reed Children's Center with children with behavioral challenges. Six donor case studies are reviewed. Recent research is used from the recent book The Embodied Mind by Thomas Verny MD and recent fundraising research. Plus, the author has provided a plethora of resources for the fundraising professional to help them in developing a major gift and planned giving program or enhance their present efforts.

1. Major Gifts, Planned Gifts & Donor Retention
DO DONORS GIVE WITH THEIR
HEART OR HEAD:
Presented by:
Gary L. Bukowski, MA, CFRE
Associate VP of Development
Sarah A. Reed Children’s Center – Erie, PA
GBukowski@SarahReed.org
November 1, 2023 ● 2023 Nonprofit Academy ● Sacred Heart Parish Center ● St. Marys, PA

2. TODAY’S AGENDA
o Definition of Philanthropy by Douglas M. Lawson, Ph.D.
“Philanthropy is the mystical mingling of a joy for giving, an artful asker,
and a grateful recipient.”
~from the book Give to Live: How Giving Can Change Your Life
o Why the Heart is a Driving Force in Philanthropy
o Importance of Individual Giving
o Major Gifts
o Planned Gifts
o Case Studies
o Donor Retention
o Take-Aways & Closing Remarks
o Questions

3. QUOTE: PEYTON CONWAY MARCH
“There is a wonderful, mythical law of nature that the three things we crave most
in life –happiness, freedom, and peace of mind –are always attained by giving
them to someone else.”
~Peyton Conway March, the famed US Army Chief of Staff in the early 20th century.

4. THE HEART – BRAIN CONNECTION
(3:38)
https://www.youtube.com/watch?v=WhxjXduD8qw

5. CONCEPT OF HEART VS. BRAIN
o Power of the Heart
 Recent research is showing that the heart
sends more signals to the brain than the
brain sends to the heart
 Feel-good chemicals like oxytocin and
dopamine are released when involved in
the giving behavior
*Oxytocin is commonly referred to as the love or bonding hormone
 Heart has powerful electromagnetic waves
*Compared to the electromagnetic field produced by the brain, the electrical
component of the heart’s field is about 60 times greater in amplitude!
 Love at first sight
From Dr. Thomas Verny’s book The Embodied Mind

6. POWER OF THE HEART:
EMOTIONAL FACTORS
o Passion for the Cause
o Personal Connection
 Major donors are deeply passionate about the cause or
organization they are supporting
 This passion is often rooted in personal experiences, values, or a
genuine emotional connection to the mission of the NPO
 Emotions can be a significant driver when there is a personal connection to the organization
or beneficiaries of the gift
 This might evoke a sense of empathy or desire to leave a lasting legacy for a cause that holds
special meaning

7. POWER OF THE HEART:
EMOTIONAL FACTORS
o Desire for Impact
 Emotional satisfaction from making a meaningful impact on a cause or community can
be a powerful motivator
 Donors often desire a sense of fulfilment and purpose from their contributions
Article: “$200 Million Bequest Will Support Science Research for High Schoolers”

8. POWER OF THE BRAIN:
RATIONAL FACTORS
o Financial Planning
 Making major or planned gifts typically involves a
substantial financial commitment. Rational thinking comes
into play as donors assess their financial capacity, tax
implications & estate planning considerations
o Research & Due Diligence
 Major donors often conduct extensive research to understand the NPO’s financial stability,
effectiveness, and how their gift will be utilized
 May analyze data & metrics to ensure their contribution will have a significant and lasting
impact

9. POWER OF THE BRAIN:
RATIONAL FACTORS
o Legacy Planning
 Planned giving, which involves bequests in wills or trusts, is often a rational and strategic
decision
 Donors consider how their gifts will align with long-term financial goals and legacy
planning

10. PHILANTHROPY & WELL-BEING
“If you want happiness for an hour, take a nap.
If you want happiness for a day, go fishing.
If you want happiness for a year, inherit a fortune.
If you want happiness for a lifetime, help somebody.”
~Chinese Proverb
o There is proof that philanthropic activity enhances the giver’s physical & emotional well-being.
Now that keystone is being put into place.
o “A 10-year study of the physical health and
social activities of 2,700 men in Tecumseh, Michigan,
found that those who did regular volunteer work had
death rates two and one-half times LOWER than
those who didn’t.”
From Dr. Douglas Lawson’s book Give to Live: How Giving Can Change Your Life

11. PHILANTHROPY & WELL-BEING
Examples:
 Former President Jimmy Carter (99) & his wife, Rosalynn Carter (96)
 John D. Rockefeller (1839-1937) – 98
 Walter Annenberg (1908-2002) – 94
 Warren Buffett (93)
 George Soros (93)
 Charles Feeney (1931-2023) – 92 *Gave away nearly all of his $8B fortune to charity & insisted on anonymity
 Henry Ford (1863-1947) – 84
 Andrew Carnegie (1835-1919) – 84
 Ray Kroc (1902-1984) – 82 & wife, Joan Kroc (1928-2003) – 75
 Andrew W. Mellon (1855-1937) – 82
Courtesy of The Seattle Times
“More than 99% of my wealth will go to philanthropy during my lifetime or at death. Were we to
use more than 1% of my claim checks (Berkshire Hathaway stock certificates) on ourselves, neither
our happiness nor our well-being would be enhanced.”
~Warren Buffett – Read his Philanthropic Pledge here

12. $499.33 Billion
given to charity by
Americans in 2022, a 3.4%
decline compared to 2021.
Adjusted for inflation, total
giving declined 10.5%.
POWER OF THE HEART IN ASKING
o Enhancing individual giving in your giving program
From Giving USA 2023
73% from
Individuals
$364.64 billion

13. HOW TO MOVE INTO MAJOR GIFTS
o Find your Asking Style to help you develop more confidence in asking
https://quiz.askingmatters.com/asking-styles/

14. BASIC FIRST STEPS OF YOUR
MAJOR GIFT PROGRAM
o Start off with identifying 10-25 donors/prospects
o Finding and understanding the importance of a donor’s passions, interests and what drives
them. What are they passionate about?
o Must know your NPO – write out some high points
o Know the impact the donor has made to date
o Acknowledge their past support
o Begin to build relationships and establish trust
o Ask questions of the donor to learn more about them

15. BASIC FIRST STEPS OF YOUR
MAJOR GIFT PROGRAM
o Plan your meeting to establish what you want to accomplish
o Invite the donor to a talk or gathering that focuses in on the donor’s interest
o Develop a game plan of contact points with the donor over the
course of the year
o Introduce the donor to some of the successes that he/she has
helped create
*Example: A donor’s scholarship – meet with the students they have assisted through their
scholarship, provide reports of success

16. CASE STUDY #1
o Dr. Barrett and Catherine Walker
Dr. Barrett & Catherine Walker Recital Hall/Mercyhurst University
Dr. Barrett & Catherine Walker

17. THE PROGRESSION OF GIVING
©Institute for Charitable Giving
From William Sturtevant’s book The Artful Journey
Annual Fund Gift Major Gift Ultimate Gift
CULTIVATE
ASK CULTIVATE ASK ASK
CULTIVATE

18. CASE STUDY #2
o Bill and Audrey Hirt
Audrey Hirt Academic Center/Mercyhurst University
Bill & Audrey Hirt

19. PLANNED GIFTS: A CRITICAL
PART OF YOUR GIVING PROGRAM
o Importance of a Legacy Society
o Example: Sarah A. Reed Legacy Society
https://sarahareed.plannedgiving.org/
https://www.facebook.com/SarahReedCC/videos/688624881843944 (1:00)

20. 3 MOST POPULAR PLANNED GIFTS
(The first 2 make up over 90% of all planned gifts & is the easiest for you to promote!)
Courtesy of PlannedGiving.com’s Pocket Guide for Major Gift Officers
1. Beneficiary Designations
⟰ Simple to give, easy to arrange and usually don’t require an attorney.
⟰ The following assets can be designated all, or in part, to charity:
◾Retirement Plan
◾Insurance Policy
◾Bank Account
◾Brokerage Account
2. Bequests
⟰ One of the most attractive planned gifts, bequests allow donors to make a
meaningful legacy gift to a cause they care about without incurring any costs
during their lifetime.
⟰ Nationwide, the average charitable bequest is between $50,000 and $60,000

21. 3 MOST POPULAR PLANNED GIFTS
Courtesy of PlannedGiving.com’s Pocket Guide for Major Gift Officers
3. Blended Gifts
⟰ Blended gifts combine an immediate + future gift – these are the best planned gifts!
⟰ Here are a few popular combinations:
◾Immediate Gift + Bequest
◾Endowed Cash Gift + Bequest
◾Cash Gift + Planned Giving Challenge
◾Gift of Stock + Charitable Trust
◾Cash gift from a Donor Advised Fund + Beneficiary Designation
◾Qualified Charitable Distribution + Beneficiary Designation

22. PLANNED GIVING MYTHS
“I need to be an expert on gift plans and tax laws before I start asking for planned gifts.”
Planned giving is a people business. If you love people and know how to talk to them, you can
ask for planned gifts. You’ll get attorneys and advisors involved when it’s time to work out the
details.
“If we ask people for a planned gift, they’ll stop giving cash now.”
People who make gifts through their wills typically increase the amount of their annual support.
“Planned gifts take too long, and we need the cash now.”
The average time from inception to maturity for a planned gift is 7-10 years. That’s only a few
years longer than most campaign pledge periods.
Courtesy of PlannedGiving.com’s Myths & Facts website: https://www.plannedgiving.com/resources/planned-giving-facts/

23. PLANNED GIVING MYTHS
Fun Facts:
1. The typical completed planned gift is 200 times the size of a donor’s largest AF gift.
2. Only 37% of people age 30+ know what “planned giving” means—It’s important to
educate your donors!
“Planned giving donors are wealthy.”
One of the best-selling points of a planned gift is that it does not affect your cash flow—and that
makes it accessible to people of all income levels. (Your best prospects are your most loyal
donors, not necessarily your wealthiest. The highest predictor for a planned giving prospect is
institutional loyalty.)
“Planned giving donors are old.”
43% of bequests are created by individuals younger than 55, and 15% of all planned gifts are by
those younger than 45.
Courtesy of PlannedGiving.com’s Myths & Facts website: https://www.plannedgiving.com/resources/planned-giving-facts/

24. ENDOWMENT CALCULATOR
o Free Endowment Calculator, courtesy of PlannedGiving.com
https://www.plannedgiving.com/resources/endowment-calculator/

25. CASE STUDY #3
o Bob and Janet Miller
Bob and Janet Miller
Mercyhurst North East Campus

26. CASE STUDY #4
o Dr. George and Mary D’Angelo
Mary D’Angelo Performing Arts Center/Mercyhurst University
Dr. George & Mary D’Angelo
Courtesy of GoErie.com

27. CASE STUDY #5
o Dr. Robert and Betsy Guelcher
Dr. Robert & Betsy Guelcher

28. DONOR RETENTION
o What is donor retention?
o “The good feelings donors get from a thank-you can last
for about six to eight weeks.”
(Jen Shang, co-founder of the Institute for Sustainable Philanthropy)
o National average for donor retention rate is 41.5%
(From Fundraising Effectiveness Project, 2022)
Jay Love, co-founder of Bloomerang, talks
about 3 ways to improve donor retention
(0:36)
Quick overview of donor retention from
Bloomerang (2:10)
“It’s not their checkbook we
should be thanking. It is not
their check or their cash that
made a difference. It was the
decision from the heart.”
~Becky Carlino, VP of Development at Volunteers of America Ohio &
Indiana (The Chronicle of Philanthropy)

29. BUKOWSKI’S TAKE-AWAYS
o Spend more time on building those donor relationships TODAY that will lead to future major
gifts.
o Cherish your small victories – they all add up!
o Develop those monthly touchpoints with your major donors, keeping them informed and
letting them know the IMPACT of past gifts. Thank them as personally as you can!

30. BUKOWSKI’S TAKE-AWAYS
o The road to Rome begins with the first step! Start this afternoon to begin or continue to
enhance your major gift efforts.
o If you haven’t already, begin adding Planned Giving to your fundraising quiver – just start
making simple steps!
o While the heart (IMHO) is the driving force in major, planned & mega gifts, make the most of
the donor’s wishes to create something special using all the resources of the heart & brain to
carry out their dream.
o As the fundraiser, there will be times you must take initiative in honoring a donor who has
made a sacrificial/substantial donation to your organization. You should go out of your way to
remember that person and the spirit in which their gift was made.

31. CASE STUDY #6
o Frances Malaney a.k.a. “The librarian who carried
a big philanthropic stick”
Frances C. Malaney
The Frances C. Malaney ‘38 reading area is located on the
third floor of the Hammermill Library.

32. CLOSING REMARKS
o Ultimately the influence of the heart (emotion) versus the brain (data) in major and planned
giving can vary widely among individuals, but successful philanthropy often involves a
thoughtful integration of both aspects:
To achieve the donor’s goals and benefit the chosen NPO or the cause they are
passionate about!

33. BIBLIOGRAPHY & HELPFUL
RESOURCES
o Ahearn, Tom and Simone Joyaux, Keep Your Donors: The Guide to Better Communications and
Stronger Relationships, John Wiley & Sons, Hoboken, 2008.
o Burk, Penelope, Donor Centered Fundraising, Cygnus Applied Research, Inc., Chicago, 2003.
o Davidson, M. & Saber, B., Engaged Boards WILL Fundraise! How Good Governance Inspires Them,
Asking Matters, Maplewood, 2021.
o Fredericks, Laura, JD, Hard Asks Made Easy: How to Get Exactly What You Want, Advantage Media
Group, Charleston, 2023.
o Gladwell, Malcolm, The Tipping Point: How Little Things Can Make a Big Difference, Bay Back Books,
New York, 2002.
o Gladwell, Malcolm, Outliers, Little Brown & Company, New York, 2008.

34. BIBLIOGRAPHY & HELPFUL
RESOURCES
o Guarneri, Mimi, MD, The Heart Speaks: A Cardiologist Reveals the Secret Language of Healing,
Touchstone, New York, 2007.
o Hedrick, Janet, Effective Donor Relations, John Wiley & Sons, Hoboken, 2008.
o Kihlstedt, Andrea, Asking Styles: Harness Your Personal Fundraising Power, CharityChannel Press,
Rancho Santa Margarita, 2013.
o Lawson, Douglas, Give to Live: How Giving Can Change Your Life, Alti Publishing, Poway, 1998
o Nathan, S., Shaker, G., Stanczykiewicz, B., & Tempel, E., Achieving Excellence in Fundraising – 5th Edition,
John Wiley & Sons, Hoboken, 2022.
o Panas, Jerold, Asking, Emerson & Church, Medfield, 2002.

35. BIBLIOGRAPHY & HELPFUL
RESOURCES
o Panas, Jerold, Born to Raise: What Makes a Great Fundraiser, What Makes a Fundraiser Great,
Pluribus Press, Chicago, 1988.
o Panas, Jerold, Mega Gifts: Who Gives Them, Who Gets Them, Emerson & Church, Medfield, 2005.
o Rosen, Michael, Donor-Centered Planned Gift Marketing, John Wiley & Sons, Inc., Hoboken, 2011.
o Saber, Brian, Asking Styles: Revolutionize Your Fundraising, CreateSpace Independent Publishing
Platform, Scotts Valley, 2018.
o Saber, Brian, Boards and Asking Styles: A Roadmap to Success, Asking Matters, Maplewood, 2020.
o Saber, Brian, Fundraising for Introverts: Harnessing Our Powers for What Matters, Asking Matters,
Maplewood, 2023

36. BIBLIOGRAPHY & HELPFUL
RESOURCES
o Sargeant, Adrian, Tiny Essentials of Donor Loyalty, The White House Press Limited, London, 2010.
o Stroman, Kent, Asking About Asking, CharityChannel Press, Rancho San Margarita, 2011.
o Sturtevant, William, The Artful Journey, Institutions Press, New York, 1991.
o Sturtevant, W. & Panas, J., The Moves Management Manual: A Fail-Proof System for Major and
Planned Gift Fundraising, Institute for Charitable Giving, Chicago, 2012.
o Verny, Thomas, MD, The Embodied Mind: Understanding the Mysteries of Cellular Memory,
Consciousness, and Our Bodies, Pegasus Books, New York, 2023.
o Warner, Greg, Engagement Fundraising, MarketSmart, Green Belt, 2018.

37. HELPFUL ONLINE RESOURCES:
PLANNED GIVING & FUNDRAISING RESOURCES COURTESY OF MARKET SMART:
 Website: LEARN
 The Bequest Calculator
 DAFWidget
 The Fundraising Report Card
 Charitable Gift Planning eCourse (13 CFRE credits for completion)
 Free versions of Greg Warner's book "Engagement Fundraising"
 Complimentary Webinars
 Books by Dr. Russell James
 Fundraising Automation
 Fundraising Climate Change
 Benchmarks

38. HELPFUL ONLINE RESOURCES:
PLANNED GIVING & FUNDRAISING RESOURCES COURTESY OF PLANNEDGIVING.COM:
 PlannedGiving.com
 Gary’s Article: What Drives Giving, the Heart or the Brain?
 Free Endowment Calculator
 Give yourself a planned giving reminder each week. Our weekly tips will help.
 10 Tips & Strategies that Create Incredible Results. (planned giving marketing)
 Wills and Estate Planning Facts, Stats and Ruminations. It will remind you why bequests are so
important.
 67 Planned Giving Myths and Facts. Useful information to keep you motivated, and powerful
facts to convince the higher-ups (especially when it’s budget time).
 Free downloads page here.

39. HELPFUL ONLINE RESOURCES:
PLANNED GIVING & FUNDRAISING RESOURCES COURTESY OF PLANNEDGIVING.COM:
 Blended gift conversation (article)
 31 Quality Questions to Ask Donor and Prospects (PDF)
 15 Conversation Starters (PDF)
 14 Questions Every Donor Wants Answered (PDF)
 What your I.Q.? (major and planned gifts)
 How Planned Gifts Work
 Giving Tomorrow magazine. It’s free to clients.

40. ADDITIONAL RESOURCES:
 Association of Fundraising Professionals
 Veritus Group, Jeff Schreifels & Richard Perry

41. QUESTIONS