ST. LOUIS, MO and KANSAS CITY, MO--(Marketwired - Nov 14, 2013) -
- Ninety-five percent of the state's wealthy will be making a charitable donation before the end of the year
- They plan on leaving six percent of their estates to charities in their wills
- Religious institutions, local community programs, and health and disease research are among the most popular causes they are supporting
A new study released today by BMO Private Bank to mark National Philanthropy Day (November 15) has revealed that Missouri's affluent will be donating an average of $7,424 to charities in 2013. The study also found that they will designate six percent of their estates to charities in their wills.
The study is the third in a series by BMO Private Bank examining trends among high-net worth Ameri cans (those with investible assets of $1 million or more). Other state highlights include:
- Most of wealthy Missourians (95 percent) expect to make charitable contributions this year.
- More than one-third (35 percent) are donating more money to charity than they did prior to the onset of the recession five years ago. Forty-three percent are donating the same amount and only 23 percent are donating less.
- Seventy percent of the state's affluent give to religious institutions -- among the highest percentages in the country and well above the national average of 49 percent.
- Other preferred causes include local community programs (50 percent), health programs and disease research (43 percent), children's charities (33 percent), education (30 percent), the arts (30 percent), and the environment (18 percent).
"Missouri's affluent are feeling financially secure and this is being reflected in their generosity in supporting their communities and those less fortunate," said Dino Cannella, Senior Vice President, BMO Private Bank. "It's especially encouraging to see that the state's high-net worth residents will be leaving a large part of their estates to charitable causes. In doing so, they are helping leave a legacy for their communities."
Key National Findings:
On a national level, the study found:
- Affluent Americans plan on leaving, on average, seven percent of their estates to charitable causes in their wills.
- Almost all (94 percent) expect to make charitable contributions this year, with an average donation amount of $8,845.
- Half (48 percent) of high-net worth Americans are donating more to charities than they did before the 2008 recession. Forty-one percent reported that they are donating the same amount and only 11 percent are donating less.
- Almost half (49 percent) are giving to religious institutions while 46 percent are donating to health programs and disease research. Other popular causes include local community programs (36 percent), children's charities (31 percent), the arts (28 percent) and education programs and animal welfare (27 percent each).
Claudia Sangster, Director, Philanthropic Services, CTC Consulting | Harris myCFO, a part of BMO Financial Group, provides some insight to those seeking to make the most of their charitable giving: "Rather than giving on an ad-hoc basis, people should consider maximizing the impact of their generosity by working with a financial professional to develop a philanthropic strategy that is part of an overall financial plan. Not only will their giving have a more lasting impact, but it will also enable them to leave a legacy for their family, their community and future generations."
About BMO Private Bank, a Part of BMO Financial Group
BMO Private Bank offers a comprehensive range of wealth management services that include investment advisory, trust, banking and financial planning to meet the financial needs of high net worth clients. Through integrated teams of experienced financial professionals, BMO Private Bank helps its clients realize their financial and lifestyle goals with solutions that are custom tailored and delivered with the highest level of personalized service.
BMO Private Bank is a brand name used in the United States by BMO Harris Bank N.A. Member FDIC. Not all products and services are available in every state and/or location.
The online survey was conducted by Pollara between March 28th and April 11th, 2013 with a sample of 482 American adults who have $1M+ in investable assets (including a sub-samp le of 40 Missouri residents). The margin of error for a probability sample of this size is ± 4.5%, 19 times out of 20.