<\/p>\n
The transfer of wealth tied partly to inheritances left by the\u00a0Baby Boomers\u00a0has been described as\u00a0great and historic.<\/p>\n
In Ventura County alone, the boomers and other generations could transfer $230 billion over the next half century, a new study shows. Nor is it just the heirs of the post-World War II generation born from 1946 to 1964 who stand to benefit.<\/p>\n
Local charities could share in the windfall to the tune of $884 million by the middle of this decade, the CEO of the Ventura County Community Foundation told nonprofit leaders\u00a0at a standing-room only meeting Tuesday\u00a0on the transfer and its potential. Estimates show they could reap $11.5 billion by 2065.<\/p>\n
“This is a once-in-a-lifetime opportunity,” CEO Vanessa Bechtel told\u00a0more than 100 people attending the presentation at the foundation’s headquarters in Camarillo.<\/p>\n
The foundation paid $25,000 for\u00a0the first known study of the transfer of wealth in the county, an analysis that includes both national and local data.<\/p>\n
Among the trends reported by author Jamshid Damooei:<\/p>\n
Damooei,\u00a0professor of economics at California Lutheran University in Thousand Oaks, said\u00a0in a brief interview that he doesn’t have the evidence to show the transfer\u00a0is the largest in\u00a0history.\u00a0But he called the event “very significant.”<\/p>\n
“This county has lot of wealth, and it’s coming down,” he said. “We need to take advantage of this potential and plan for it.”<\/p>\n
The foundation\u00a0commissioned the study because the organization seeks to build philanthropy with estate gifts, plus charities across the county stand to benefit, Bechtel said.<\/p>\n
“We are in the midst of a national historic wealth transfer, and I think it’s important for people to understand what the potential is on a local level if we all work together,” she said.<\/p>\n
Officials say local charities face\u00a0competition from better financed nonprofits outside the county to get their fair share.<\/p>\n
“The bigger universities and bigger institutions have huge planned giving departments and huge development departments,” Bechtel said. “The majority of our nonprofits don’t have that type of infrastructure. We have to join forces to do this work. We have to work collaboratively.”<\/p>\n
Already, she said, the data from the study is serving as a catalyst for charities to lay the groundwork for garnering these gifts. Ventura County’s nonprofit sector\u00a0reports revenues exceeding $2 billion annually, but does not appear to be as well financed as those in\u00a0neighboring counties, according to a recent report from the Ventura County Civic Alliance.\u00a0County charities reported per capita revenue of $2,466 in 2017, well behind Los Angeles County at $5,636 and Santa Barbara County at $9,625.<\/p>\n
The rates are based on federal tax forms filed by\u00a0nonprofit agencies with\u00a0at least $50,000 in gross receipts. Excluded are private foundations, which are largely funded by an individual, family or company.<\/p>\n
Some nonprofits in the county are well positioned to capitalize on the wealth transfer, while others are not, said Dena Jenson, director of the Center for Nonprofit Leadership at California Lutheran University, which convened the event.<\/p>\n
Some charity officials may believe their agencies don’t have the skills or the capacity\u00a0to build relationships with donors that will yield major gifts, but this is a time to act, she said.<\/p>\n
Charities need to get their planned giving efforts in top shape, meet with organizations that have common missions and raise public awareness of the importance of nonprofits, she said.<\/p>\n
“We have to keep talking about it and not in our little silos,” she said. “The needs are community-wide so the solutions need to be as well.”<\/p>\n<\/div>\n<\/div>\n