Why Parishes Need a Long-Term Plan for Legacy Gifts

In conversations across our diocese, I’m seeing a pattern that deserves more attention than it’s getting: many parishes are relying on legacy gifts simply to “get by,” rather than using them to build long‑term stability. And while that may feel like a short‑term solution, it’s not a strategy that will sustain parish life for the next generation.

Recently, I spoke with our planned giving advisor and development leader at the Newman Center in Mankato, Joe Bakken and he shared a powerful story: “I was speaking with a parishioner who shared his frustration about the financial challenges his parish is facing—rising costs and a school that’s struggling. Later, a staff member told me, “Father said we’ll be okay in five years because we have some legacy gifts coming in.”

“It made me wonder if we can fall into a pattern of waiting for the next bequest to carry us forward—focused on getting by instead of building something that will truly last for the next generation. That’s more of a stopgap than a long-term vision.”

This isn’t a criticism. It is a reality. Many priests are carrying enormous responsibilities, and financial planning isn’t always the area they feel most confident in. But if we want our parishes to thrive, not just survive, we need to think differently about legacy gifts.”

 

Legacy Gifts Are Not Meant to Be Emergency Cash

Many parishes treat estate gifts as a windfall to patch the budget because they feel it’s a necessity. But legacy gifts are one of the most powerful tools we have to build:

• Endowments
• Long‑term reserves
• Financial stability
• Confidence among parishioners

When a parish uses a bequest to cover operating expenses, it solves a problem for a year or two. When a parish uses a bequest to build an endowment, it solves problems for decades.

 

People Want to Give to a Parish With a Plan

Bakken continued, “Early in my development career, someone shared a hard truth: people tend to give where they see clarity, confidence, and a sense of direction.”

When a parish lacks this, people hesitate to get involved. But when a parish shows

• A clear plan
• A long‑term vision
• Responsible stewardship
• A commitment to sustainability

… people get excited. They want to be part of something that is moving forward with purpose. Most donors aren’t looking for a perfect parish—they’re looking for leadership they can trust.”

 

Three Practical Steps Parishes Can Take Right Now

 

1. Talk About Legacy Giving Before You Need It

Don’t wait until the parish is in crisis to talk about estate gifts. People give more generously when they feel hopeful, not desperate. Start normalizing conversations about:

• Bequests
• Endowments
• Planned gifts
• Long‑term parish vision

If you don’t talk about it, people assume you don’t need it. Easy ways to start incorporating this is by mentioning legacy planning in your weekend bulletin or in a Mass announcement.

2. Create a Clear Plan for How Legacy Gifts Will Be Used

Parishioners want to know their gift will be stewarded wisely. A simple, written plan goes a long way:

• X% of every bequest goes to the parish endowment
• X% supports long‑term capital needs
• X% supports mission or ministry priorities

Then share your plan! When people see a plan, they trust you. When they trust you, they give.

3. Communicate Confidence, Not Crisis

You don’t need to pretend everything is perfect. But you do need to communicate:

• Stability
• Direction
• Hope
• Competence

People want to invest in a parish that is building something meaningful; not one that is barely hanging on. Show them where you’re going, not just what you’re afraid of.

 

A Strong Future Requires Long‑Term Thinking

Our hope at the Foundation is that every parish in our diocese begins to think beyond the worries of today and starts building the kind of financial foundation that will sustain parish life for generations.

Legacy gifts are not just a lifeline. If handled well, they can be a powerful launchpad. But only if we treat them that way.

If we can help our parishes think long‑term, communicate clearly, and build confidence among parishioners, we’ll see more people step forward with the kind of generosity that shapes the future of the Church.

The Catholic Foundation of Southern Minnesota offers planned giving seminars to all Catholic organizations within the Diocese of Winona-Rochester at no cost. If you’d like to learn more or sign up, please contact us today!

A Recap

 

• Many parishes rely on legacy gifts simply to “get by,” using bequests to patch operating budgets instead of building long‑term financial stability.

• Legacy gifts are most powerful when used to create endowments, long‑term reserves, and sustainable funding, not as emergency cash.

• Donors give more confidently when a parish demonstrates clarity, long‑term vision, responsible stewardship, and a plan for how legacy gifts will be used.

• Parishes should take three steps: talk about legacy giving before it’s needed, create a written plan for how bequests are allocated, and communicate confidence rather than crisis.

• The Catholic Foundation of Southern Minnesota provides free planned giving seminars and support to help parishes build long‑term financial health and inspire future generosity.