Transferring abundance

Nebraskans are blessed.

We have enormous abundance in every one of our Nebraska hometowns. Last November, Nebraska Community Foundation released its most recent intergenerational transfer of wealth study. This study provides key information on a tremendous opportunity to build and sustain our Nebraska hometowns.

Here’s what we know:

Nebraska has incredible wealth, and ALL Nebraska communities have wealth to give.

The wealth is transferring NOW, and we must act with urgency.

Our communities need these assets, and many are already successfully putting them to work.

When we leave some of our wealth to the places where it was made and accumulated, we can ensure a more prosperous future for our Nebraska hometowns.

We stand at the threshold of the largest intergenerational transfer of wealth in Nebraska’s history. Over the next 10 years, $100 billion will transfer from one generation to the next. In 50 years, that number exceeds $950 billion. The wealth may be held in real estate, securities, retirement accounts, life insurance and other assets.

Some will go to taxes. Most will go to heirs. Due to outmigration, many of these heirs no longer live where they grew up and where the wealth was built and accumulated. In 71 of Nebraska’s 93 counties, the wealth transfer will peak before 2045. In other words, there is real urgency to act now. The opportunity will never be greater.

We Nebraskans have a strong attachment to our hometowns. I continue to consider Red Cloud my hometown even though I’ve now lived in Lincoln for 35 years. I have many friends who feel a similar connection to their homeplace. What if just a small part of this transfer of wealth, say 5%, were given back to the places where it was made and accumulated? That could be a gamechanger for our Nebraska hometowns.

To this end, Nebraska Community Foundation has created the Five to Thrive campaign. We are asking every generous Nebraskan to consider gifting just 5% of your estate to benefit your hometown and/or your favorite charitable causes. Please visit www.fivetothrivene.org to read more about the transfer of wealth, how this abundance is already making a difference in dozens of Nebraska hometowns and the enormous potential that exists in the county you care about most.

Inspiration and community success stories abound. For example, leaders in McCook are already doing amazing community-building work. The McCook Community Foundation Fund, an affiliated fund of Nebraska Community Foundation, is among many organizations influencing change in Red Willow County. The Fund has made impressive investments in local recreation, area nonprofits, businesses, and especially young people. MCFF is uniting numerous groups across the community who share their vision of making McCook even better and serves as a catalyst to give countless community projects the momentum they need to get up and running.

Importantly, MCFF is intent on building its community unrestricted endowment – a resource that will continue to grow and give back to McCook long into the future. One after another, generous donors who believe in the future of McCook have stepped up to offer challenge grants to build the endowment. And one by one, MCFF has met each and every challenge through their own hard work, but especially because of the generosity of dozens of other contributors who love McCook too.

Nebraska Community Foundation had the great privilege of hosting our 2021 Annual Celebration in McCook last November. It was one for the books. MCFF’s Night on the Bricks event was undoubtedly the most unforgettable piece of this celebration and proof of the pride and progress emanating from this bright point of light in Southwest Nebraska.

The ongoing wealth transfer in Red Willow County offers a significant opportunity to continue this good work. We estimate $608 million will transfer in Red Willow County during this decade from one generation to the next. Five percent – $30 million – could be used to make Red Willow County even better. Over $6.5 million is now endowed to sustain these efforts and catalyze new ones. So far, 19 generous residents have confirmed their intent to remember Red Willow County as a beneficiary of their estate.

But with all this progress, Red Willow County is only just beginning to mobilize its potential. If you combine current endowments with confirmed estate gifts, this totals about $8.2 million. Impressive! But it’s only a sliver of the $30 million possible if just 5% of the transfer of wealth were gifted to local charitable causes. If Red Willow County were to meet this $30 million goal, what other good, possibly transformative, changes might occur? Might Red Willow County be even more successful in its people attraction efforts? Might world class become the standard in Red Willow County for education, health, wellness, happiness and prosperity? Those are game changing questions in our 21st century economy.

Similar community building success stories are occurring throughout Nebraska, in small places and regional trade centers: Nebraska City, Howells, Stuart, Diller, Norfolk, Seward, Ord, Red Cloud, Neligh, Laurel, Hebron, O’Neill, David City, Burwell, Shickley, Ogallala, Pender, Ainsworth and so many more. Geography and size are not the determining factors in these community success stories. The common theme in each of these places is passionate and plentiful community leadership. Leadership focused on helping friends and neighbors embrace an attitude of abundance and a willingness to dream big dreams about the future of their hometown.

In all these communities, invitation is the key to success. An invitation to be a part of the conversation. An invitation to gift some of our abundance to support the next generation. An invitation to volunteer and lead. An invitation to move home to raise your family. An invitation to dream big about the future we want for ourselves and generations to come.

Remember: Once wealth leaves the community, it is gone forever. Once wealth is endowed in our community, it is here forever. The time to act is now – the opportunity will never be greater!