Blog

The Key to Client Retention: Charitable Planning

Keeping clients for the long haul is one of the most important things for any profession, and a key predictor of success. Not to mention, it’s usually easier and less expensive to continue working with someone who already trusts you than trying to start from scratch.

For estate planning attorneys, CPAs, and financial advisors, this idea becomes even more important when a client passes away. That period often marks a major turning point, and the advisor’s future with the family can hinge on how well relationships have been built beforehand.

Client Retention Gets Harder After a Death

Many advisors know the challenge all too well. Strategies begin to unfold, documents move into action, emotions rise, and loved ones find themselves navigating difficult decisions in the middle of their grief. Meanwhile, the advisor who supported the parent hopes to continue serving the next generation. Statistically, that’s no small feat. Some studies suggest that fewer than 20 percent of heirs stay with their parents’ advisor after inheriting assets.

Engaging the Next Generation Early

So, how do you build the kind of relationship that can weather a wealth transfer? The simplest way is to start early, engaging with the next generation well before they’re the ones with an active estate plan. This can be done with simple touchpoints: having adult children attend meetings, sending emails for birthdays and holidays, or offering them guidance on careers. For some families, conversations about charitable giving are also a great way to get started.

How Philanthropy Strengthens Family Relationships

Philanthropy has a way of opening doors that numbers alone don’t. Inheritances aren’t only about dollars and investments; they reflect family values, shared purpose, and the story of how those resources were built. When families talk about their charitable goals, they naturally begin to talk about legacy—what matters to them, what they want to preserve, and how they hope the next generation will carry their impact forward.

The Role of a Community Foundation

This is also where a community foundation can be an invaluable partner for both advisors and families. Community foundations specialize in helping people explore philanthropy in accessible, meaningful ways. For example, advisors can introduce clients and their children to simple giving vehicles such as donor-advised funds, designated funds, or field-of-interest funds. These tools make it easy for multiple generations to participate and learn, with help researching nonprofits and local needs and discussing tax-smart strategies.

Many advisors also turn to community foundations to help facilitate family conversations about long-term priorities. These guided discussions give younger generations space to understand the causes their parents or grandparents have supported for years, while also naming the issues that resonate with them personally. These moments often strengthen family identity and create a sense of shared stewardship that carries forward for decades.

If you’d like support bringing charitable planning into your client relationships, we’re here to help you strengthen connections. Reach out anytime to get started.