Planned Giving for Small Nonprofits: A Realistic Guide

Key Takeaways

• Prompting Beats Headcount: Planned giving success correlates more with active prompting and tracking than with organization size or staff capacity. Simply asking a donor to consider a legacy gift during the will-creation process more than doubles the inclusion rate.
• Massive ROI: Legacy giving generates an average return of $56.83 for every dollar invested in fundraising, making it highly efficient for small budgets.
• The Silent Bequest Fix: The biggest barrier for small organizations has historically been limited visibility into who has pledged a legacy gift. Modern tools solve this by capturing real-time donor opt-ins.
• Current Revenue Boost: Securing a legacy gift does not mean waiting decades for a payoff. After donors formally add a charity to their estate plan, their annual current giving to that same organization increases by an average of 75% to 77%.   

In This Guide

• Why planned giving feels out of reach for small nonprofits
• What actually drives results, regardless of size
• A realistic starting framework
• Where to find the time, without a dedicated role
• What to skip until you are ready
• Measuring progress at a small scale

Why Planned Giving Feels Out of Reach for Small Nonprofits

What Actually Drives Results, Regardless of Size

1) active prompting of donors

2) a low-friction way for them to act

3) reliable tracking of who has expressed interest

When donors are explicitly prompted during a digital will-creation process, the conversion rate jumps to 10.8%. Furthermore, providing an accessible tool works across all wealth tiers. Even among will-makers with less than $200,000 in assets, 12% still choose to make bequest commitments when given a simple digital option.

A Realistic Starting Framework

Where to Find the Time, Without a Dedicated Role

Most small nonprofits already have someone handling donor communications, often as part of a broader development or executive director role. Planned giving does not require a separate position. It requires folding a few consistent touchpoints into work that is already happening, supported by software that does not demand ongoing manual effort once set up.

From a resource allocation standpoint, this is a highly strategic shift. Special events like golf tournaments or galas consume massive amounts of staff labor and consistently record the highest cost per dollar raised, often eating up 50 cents or more of every single dollar brought in. By contrast, planned giving operates at a fraction of that cost. Experts estimate it costs an average of just 25 cents to raise a planned giving dollar, and tech-enabled approaches can drive that cost well under a single cent per dollar realized.   

What to Skip Until You're Ready

Launching a simple digital platform solves this identification gap immediately. Everything else is a refinement that matters more once a program has some initial momentum.

Measuring Planned Giving Progress at a Small Scale

Meaningful metrics for a small program do not need to be complex. We recommend focusing on three core indicators:

• How many donors have started a will or estate conversation through your organization?
• How many have indicated an intention to include you?
• Is that number trending upward over time?

Comparing your results this quarter to last quarter is a far more useful benchmark than comparing your young program to benchmarks from a large university.

Plus, even modest results are transformational. The average bequest size made through accessible digital estate planning platforms sits at roughly $48,723. Securing just one or two of these gifts fundamentally alters the financial trajectory of a small organization's legacy giving program.

Frequently Asked Questions

Can a nonprofit with only 1-2 staff members realistically run a planned giving program?
Yes. The core requirements are active prompting and consistent tracking. Both are achievable without a dedicated role, particularly with tools built to reduce ongoing manual effort.   

What is the minimum viable planned giving program for a small nonprofit?
Visibility (mentioning the option somewhere donors will see it), a low-friction way for donors to act, and a reliable way to track who responds.

Do small nonprofits need a legacy society to start planned giving?
No. A legacy society is a valuable addition once a program has some momentum, but it is not a prerequisite for getting started.

How long does it take a small nonprofit to see results from planned giving?
While the eventual legacy gifts may take years to realize, establishing visibility and tracking today triggers immediate benefits. For instance, annual current cash giving surges by approximately 75% after a donor formally pledges an estate gift.   

Is planned giving software affordable for small nonprofits?
Yes. Platforms like LotusGiving are priced to scale with organization size and exist specifically to make this accessible. Such an approach empowers small nonprofits to operate without the heavy financial investments required by large institutions.