by Kris Putnam-Walkerly, Putnam Consulting

A philanthropic legacy is what is being left behind in the world after the donor is no longer around.

By focusing on the lasting difference you want to make, you can create a more purposeful and enduring philanthropic legacy that will continue to inspire and influence positive change for future generations.

As a strategic advisor to diverse philanthropic clients, I understand the importance of establishing a clear and impactful philanthropic legacy.

Below are four key questions that can help clarify your philanthropic legacy and ensure that it continues to thrive for generations to come.

1. How do we want the world to be different when we are no longer around?

Legacy should define what you want your philanthropy to be remembered for: What do you want to be different in the world as a result of your charitable giving? What are the transformative changes you hope to achieve and how will they be sustained beyond the lifespan of your donor advised fund or personal involvement?

Keep in mind there are many potential legacies of philanthropy, ranging from physical structures to robust fields, strong organizations, field knowledge, improved policies, thriving communities, insights for other donors, and the philanthropic involvement of your family.

Consider these questions to help shape your desired legacy:

How will the lives of individuals and communities be improved because of your efforts?

What systemic changes do you hope to drive through your philanthropy?

What will be the most significant and enduring contribution of your donor advised fund?

2. How will decisions get made when I am no longer involved?

An essential aspect of creating a philanthropic legacy is ensuring that the decision-making process remains consistent and aligned with your values even after you are no longer involved.

To accomplish this, consider the following steps:

Develop a succession plan: A well-crafted succession plan outlines what will happen to your donor-advised fund once you are no longer advising it, ensuring a smooth transition and continuity in your DAF’s mission and vision. For example, you might want to continue your DAF and appoint another advisor or spend down the remaining funds with large legacy gifts to select nonprofits.

Choose a successor advisor: Identify the person(s) you want to advise on the charitable distribution of your funds if you choose to continue the DAF. For example, your spouse, sibling, or adult children. 

Engage the next generation: Involving younger family members in the decision-making process of your donor-advised fund helps preserve your family’s philanthropic values and fosters a culture of giving that can be passed down through generations. 

3. If I could only accomplish ONE thing in the next year, but it would be my legacy at for my donor-advised fund, what would it be?

I love this question because it gets to the heart of what’s most important. There are lots of things you COULD do this year, but if you can only pick ONE, what would it be?

(I asked myself this question about five years ago, and my answer was “Write a book.” That’s what prompted me to write Delusional Altruism!).

Identifying the single most important objective for your philanthropic legacy can help bring clarity and focus to your giving strategy. Reflect on the following to determine your most significant legacy goal:

Identify a high-impact opportunity: What is a pressing issue or unmet need that you have the resources and expertise to address effectively?

Think about leverage: What could you put into motion today that will have an enduring impact? This could include clarifying your strategy, involving your children, or launching a new funding initiative.

Develop a clear, measurable outcome: Define a specific, achievable outcome that will have a lasting impact on your chosen cause or community.

To give you some ideas, here are a few things I helped my coaching clients do after I asked them this question:

Organize a family retreat to create a Giving Plan

Narrow their funding interests and identify high-impact nonprofits to support

Develop a succession plan

Develop a plan to thoughtfully close (sunset) the donor-advised fund

Engage in an existing funding initiative in their community, to leverage their philanthropic giving with other funders for greater impact

4. What are the top three things I should do next, to set my legacy in motion?

Once you have a clear vision of your philanthropic legacy, it’s crucial to take actionable steps to make it a reality. Pick three activities you can begin immediately to make progress. Here are some essential considerations:

Follow the 80-20 rule: Ask yourself what are the 20% of activities that will deliver the 80% of results toward establishing and living our legacy? Those should be your top priorities.

Develop a plan: Create an action plan that outlines your top priorities, identifies tactics to accomplish each, and assigns accountabilities (who is responsible for what, by when).

Get help: It’s hard to do this alone. Consider retaining a philanthropy advisor who can help you clarify your legacy, identify your top priorities, create a roadmap, and help you stay accountable for achieving your legacy.

In conclusion, clarifying your philanthropic legacy is a critical step in maximizing the positive impact of your giving.

By answering these four questions, you can better define your vision and develop a focused giving strategy that ensures your philanthropic legacy will thrive for generations to come.

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Kris Putnam-Walkerly is an award-winning global philanthropy expert and strategic advisor to foundation CEOs and philanthropists. She is also the author of Delusional Altruism: Why Philanthropists Fail to Achieve Change and What They Can Do to Transform Giving (Wiley). Learn more at putnam-consulting.com. The Putnam Consulting Group is part of AEF’s Philanthropic Advisory Firm Referral Program.

© Kris Putnam-Walkerly 2023 https://putnam-consulting.com/