Create an Endowment
"It is like a mustard seed, which, when sown upon the soil, though it is smaller than all the seeds that are upon the soil, yet when it is sown, it grows up and becomes larger than all the garden plants and forms large branches; so that the birds of the air can nest under its shade" Mark 4:30-32
An endowment is a permanent fund established with the goal of growing principal and generating income. In most cases the principal of an endowment cannot be spent and only the income generated is to be utilized for either a restricted or unrestricted purpose. The protection of principal ensures that your church or agency will be able to continue receiving income from its endowment for years to come. Normally endowments are intended to support outreach ministries over and above the organization's expense budget, thus making these ministries possible for the current and future generations.
The Foundation manages assets and assists organizations and individuals by providing general resources to establish permanent endowment funds. For an individual donor an endowment or donor advised fund might be a way to leave a lasting legacy, to ensure the future support of a well-loved ministry, or create a lasting memorial to a loved one. For a church or agency an endowment can mean dependable ongoing financial support for ministry and mission and the encouragement of future giving.
HOW WE CAN HELP
The United Methodist Foundation provides a general resource guide to assist with the establishment of an endowment fund.
The following is a partial list of the endowment development resource provided by the Foundation:
• Steps to Developing a Permanent Endowment Fund
• Par. 2534 Book of Discipline
• Establishing a Permanent Endowment Fund Committee
• The Role of the Permanent Endowment Committee
• Gift Acceptance Policy
• (Establishment of the) "Permanent Endowment Fund"
• Evaluating your Endowment Program
"When you enter the land and plant all kinds of trees for food, then you shall count their fruit as forbidden. Three years it shall be forbidden to you; it shall not be eaten. 'But in the fourth year all its fruit shall be holy, an offering of praise to the LORD. 'In the fifth year you are to eat of its fruit, that its yield may increase for you; I am the LORD your God" Leviticus 19:23-25
Interested in learning more? Contact us.