Why Gifts in Wills Fundraising and Estate Administration Aren’t a Perfect Marriage
As Gifts in Wills programs continue to mature, charities are investing more heavily in growing their pipeline of future bequest income. At the same time, many organisations are becoming more aware of the risks and opportunities that arise once a donor passes away and their estate enters administration.
This raises an important question: is Gifts in Wills fundraising and charitable estate administration really the same job?
For many charities, responsibility for both sits with a single staff member. While this can work well in some circumstances, many organisations are finding that the skills, knowledge and priorities required for each function are becoming increasingly specialised.
The focus of Gifts in Wills fundraising
Effective Gifts in Wills fundraising is fundamentally about people.
It requires staff who can build trust with supporters, communicate sensitively about legacy giving and maintain meaningful relationships over many years. Success often depends on understanding donor motivations, identifying prospects, stewarding confirmed bequestors and working collaboratively across fundraising teams.
The work is future-focused. The objective is to build a strong pipeline of supporters who may choose to leave a gift in their will, while maintaining those relationships over time.
The skills that make someone successful in this role are often those associated with relationship management, communications, stewardship and fundraising strategy.
The focus of estate administration
Estate administration is a very different discipline.
Once a bequestor passes away, the focus shifts from relationship management to effective administration and risk management. Charity representatives need to interpret wills, review estate documentation, advocate for the charity’s interest as a beneficiary, understand taxation issues and engage effectively with solicitors, executors and trustees.
The administration of charitable bequests has become increasingly complex in recent years. Estates may contain property, shares, trusts, superannuation interests and other assets that require careful consideration – such as whether the asset is better sold or transferred, and tax consequences. For charities operating nationally, differing probate processes in each state and territory adds another layer of complexity.
Strong estate administration requires attention to detail, technical knowledge and the ability to identify issues before they affect a charity's entitlement.
Competing priorities can create challenges
Neither role is more important than the other, but the priorities of each often end up in competition.
A fundraiser may spend months planning donor engagement activities, stewardship events and acquisition campaigns, only to have their attention diverted by a complex estate matter requiring urgent action, such as a family provision claim going to mediation.
Equally, an estate administrator may find themselves unable to keep up with communications from solicitors and executors when there are living donors needing attention.
The impact on Gifts in Wills income
When either function receives insufficient attention, charities can feel the impact.
Without ongoing investment in donor stewardship and acquisition, future bequest income may suffer. Gifts in Wills are often the result of relationships built over many years, and supporters' intentions can change over time. Research has shown that the likelihood of a confirmed bequest to charity eventuating is strongly influenced by how recently the charity was in contact with that person.
Conversely, insufficient attention to estate administration can affect current income. Delays, insufficient due diligence and a lack of proactivity in dealing with issues like Capital Gains Tax can result in less funds being received by charitable beneficiaries this year.
In our experience, the difference between reactive and proactive estate administration can be significant. Charities that actively monitor estates, seek information and engage constructively with executors and solicitors can increase their Gifts in Wills income by 10-15% on what would have otherwise been received.
What does the right model look like?
For larger Gifts in Wills programs, it may be better to separate fundraising and estate administration responsibilities, allowing specialists to focus on their areas of expertise.
For smaller charities, this may not be practical. However, there are still ways to ensure both functions receive appropriate attention:
recognise that fundraising and estate administration require different skills
provide access to training and technical support for staff handling estates
involve finance and legal teams to support the staff member (such as with share transfers and reviewing final statements)
implement systems that enable effective estate tracking and management
ensure sufficient time is allocated to both stewardship and administration activities.
The most successful organisations are recognising that a charitable bequest journey does not begin when an estate notice arrives, nor does it end when a supporter confirms they have included a gift in their will.
Understanding the different skills required at each stage is becoming an important part of building sustainable Gifts in Wills income for the future.
Can we help?
Bequest Assist offers estate administration outsourcing for charities with all sizes of Gifts in Wills programs – allowing your team to focus on stewardship of living donors.
If you’d like to speak to our team about what’s possible, get in touch here.
- Morgan Koegel, Managing Director, Bequest Assist
