What is an Endowment Fund?
An endowment fund is a permanent fund that exists to provide long term support to the ministries and mission of the church. This is a permanent “nest egg” to perpetuate the church’s values and long term goals. Our endowment fund is a permanent fund and only its earnings will be spent. When funds are available and distributed, they will support projects above and beyond normal budgeted items.
Who administers the fund?
The elected Aldersgate United Methodist Church Endowment Fund committee oversees the investments and determines how the fund’s earnings will be distributed and used.
Are Hope Endowment fund gifts tax deductible?
Yes! Your gifts to the Aldersgate United Methodist Church Endowment Fund are deductible for Federal Income Tax purposes. Bequests, life income gifts and other donations of value are generally exempt from Federal Estates and Gift taxes. Please consult your personal tax advisor for details.
Is my gift too small?
Because all gifts are pooled in the fund, they have a cumlutave effect making even the smallest gift significant. Every gift contributes to the overall growth of the principal amount, which compounds the return on investments.
What can we accomplish through the endowment fund?
There is a wide range of opportunities to provide a lasting tribute to God and enhance the ministry of the Aldersgate family.
All contributions go into a general fund. The earnings from this fund are currently designed for distribution as follows:
- 10% tithe to Aldersgate’s general fund
- 67% missions and outreach
- 23% discretionary
This distribution plan parallels Aldersgate’s own vision for allocation of funds.
How can I donate to the fund?
- Gifts of cash: Simplicity and ease of giving are reasons cash is the most popular type of endowment giving. A cash gift is counted as given on the date it is made to the fund.
- Gifts of Securities: A gift of long-term securities generally results in several federal tax benefits. You are entitled to an income tax deduction for the full market value of the securities as of the gifted date no personal capital gains tax responsibility will be incurred by the donor.
- Gifts of Property: Real property in any location may be given to the Endowment Fund. If the property is owned one year or longer, the fair market value is deductible, no capital gains taxes are payable on appreciation and the property is removed from your taxable estate. Donations of personal residence, ranch or farm properties are welcome and you can retain their use throughout your lifetime.
- A Personal Will: In your will you may bequeath a percentage of your estate, a specific amount or the remainder after bequests to your other beneficiaries are made. Bequests may be cash, securities, real or other personal property.