Some advisors feel discomfort in bringing up topics that touch on a client’s deeply personal issues, such as their willingness to share with others, their mortality and leaving a legacy.
Approaching the subject of incorporating philanthropy and charitable giving into a financial plan is best done delicately. Communication skills and sensitivity are paramount, but the method of introduction will depend upon the personalities of the client and advisor involved.
Here are a few approaches on which you might want to model your own formula to find a comfort zone. These are courtesy of Brad Offman, assistant vice president of strategic philanthropy at Mackenzie Financial Corp. in Toronto.
> oprah. This approach opens with the words “tell me about” and invites clients to express their feelings on subjects related to charitable giving. Take clues from what your clients have already mentioned. Are they involved in community activities already? Are they concerned about leaving too much money to their children? Are they bothered by the idea of taxes eroding their estate? Once they’ve told you more about their interests and concerns, you can suggest appropriate charitable-giving solutions.
> mike wallace. As a long-time interviewer on the famous 60 Minutes television show, Wallace has perfected the art of asking deep probing questions, listening intently to the answers, then zeroing in on specifics. A Mike Wallace question could be “What do you want your legacy to be?” or “How do you want to be remembered?” While Wallace never forgets he is gathering information, he also demonstrates empathy and interest.
> bill gates. This approach puts more emphasis on technology than on verbal communication or emotional rapport. Illustrate the considerable tax savings involved in charitable-giving strategies by using real numbers and computer tools. There are tangible financial benefits that can add to the personal satisfaction of giving money to good causes. In this case, the approach is: “Here’s why you might want to consider charitable giving.”
“Charitable giving is one of the most effective tax-saving strategies, and advisors who aren’t talking about it aren’t doing their job,” Offman says.
If you already know a client is a member of a church or synagogue, or volunteers at a hospital or with some other organization, talking about his or her interests can also be an entry into conversation on philanthropy. — JADE HEMEON
Conversation starters — take a big-name approach
- By: Jade Hemeon
- March 5, 2007 March 5, 2007
- 13:01