Kim Wright-Violich to Leave Schwab Charitable June 30

"$5,000 to $370 million." Contributions to the DAF provide an immediate tax deduction to the donor even if the money is not granted out to nonprofit organizations immediately.

Wright-Violich notes that there is a "proliferation of choices," in charitable giving today, adding that the number of nonprofits in the U.S has grown to "1.5 million, a 30% increase in last 10 years." She says also that "peer-to-peer communication" has increased, because "people think peers are the least conflicted source of information,"

Once advisors have answered clients' essential questions, "Will their money outlast them?" and "Will it provide a safety net for their children?" it is time to ask, "How can the money provide purpose and meaning in their Iives?" Philanthropy reflects "who they are," says Wright-Violich.

Some advisors may be surprised to learn that the "biggest source of donations" to nonprofits is "living individuals," which accounts for 75% of giving. Foundations account for 13%, according to Wright-Violich.

Overall, "U.S. giving is 2% of GDP" and is fairly "steady" even thorough the downturn, according to Wright-Violich.

Advisors who initiate conversations with clients about philanthropy may be surprised how well they are received. Wright-Violich said that "clients are initiating 84% to 94% of charitable conversations, with advisors initiating 5% to 15%." This gap provides a big opportunity for advisors to add value.

Advisors can start to add value fairly simply by helping clients with philanthropy in these ways:

• "Help sort through the clutter."
• "Develop a bench of experts."
• "Stay on top of trends" in philanthropy.
• "Be a non-conflicted source; start with a picture of their philanthropic wishes"