Transcript Endowment Presentation by Kirk Bookout

How Endowments and Planned Gifts
Can Support
Your Congregation’s Vision
And ministries of CDP!
Why Planned Giving?
 Inter-generational transfer of wealth between 1998-2052 will be $41
trillion with $6 trillion to not-for-profits through planned giving
 These gifts can provide a means to support ministry, practice stewardship,
and help individuals with make a difference!
 Foundations are benefiting other faith communions
 Mennonites ~$2.5 billion …
$35 million to ministry
 Church of the Brethren ~$125 million … $4 million to ministry
 Wesleyans ~$60 million equity …
$3 million to ministry
 Endowments are a wonderful way to make a lasting difference in
your own church.
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What is an Endowment?
In general terms, an Endowment is a perpetual fund
whose income is used for ministry.
Generally donors who make planned gifts…
Want to make a difference
To know it’s a lasting difference
Have great joy in giving!
Endowments are a great way to help
donors make a lasting difference!
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Who decides where the income is spent?
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The Endowment is owned by the local church. The
church makes important decisions:
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Determine the purpose of the endowment
How is the money spent?
How are decisions made?
What are the guidelines and polices that give structure?
Decide which of the five investment options are best.
Along the way the Church of God Foundation gives insight
and guidance, help with documents, reports, and legal issues;
but the key decisions belong to the church.
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HOW DOES IT WORK?
Example: Your church is named as beneficiary in a Will, Trust,
Insurance policy, or IRA and
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Receives $200,000 gift from an estate and church has a permanent
endowment the gift is placed into
Assume 5% distribution rate/year
The yield is $10,000 in additional resources annually
At this rate of return and distribution, the endowment should
continue to grow
Funds are provided for ministry perpetually.
Supporting the ministry in perpetuity
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Your church decides the ministries you wish to fund!
Examples from other endowments:
Support an older adult staff minister
Youth and children ministries
Scholarships for college
Support community ministries and outreach
Funds for building upkeep and maintenance
Missions trips and training
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Where do funds come from?
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The Church of God Foundation has resources, materials,
training, and seminars to help educate and inspire
individuals to make a difference.
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There are many ways in which the endowment can be
funded. Just a few include:
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Estate gifts
Stocks and securities
From life insurance
From IRA’s
Property
And many other ways!
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Who manages our local church endowment?
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Your church owns the endowment and decides upon its
use, policies, and investment options.
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The Foundation helps you write a document where you
define use, policies, and procedure. This is called a Charter.
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The church chooses the investment option that is right for
your endowment through a Risk Assessment
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There are five (5) different mixes of investments to choose from
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The Foundation manages endowments, helps meet legal
regiments, files government forms and provides support services.
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Where is the Endowment Money Invested?
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The Foundation has invested its funds with the well-known
Christian investment firm of Ronald Blue and Company of Atlanta,
GA. The same firm used by the Board of Pensions
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Ronald Blue and Company has been investing for over 29 years
and has 5,000 clients with over $4 billion dollars of assets under
management in a variety of investment funds.
Administrative Costs?*
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1% for endowments per year
Charitable Gift Annuities – 10% of residuum to Foundation
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* Talk to the Foundation about specific details.
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Foundation Services Offered
 Consult and support in writing your church vision,
guidelines, and policies
 Meeting with your leadership about principles of
stewardship, and the relational donor cycle
 Estate and planned giving seminars
 Development of an intentional whole life philosophy of
stewardship for your church
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Foundation Services Offered
 Individual Consultation
 Printed materials for planned and estate gifts
 Samples of fundraising letters and materials
 Resources for individual family financial health
 Stewardship Weekends
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The Foundation supports ministries
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The Church of God Foundation returned $60,000 to
support in 2010
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Aid to retired ministers
Scholarships for CHOG students to CHOG colleges
Church Multiplication and growth
Through the Church of God Foundation you extend
your ministry to help others in the Church of God.
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We suggest the following action steps:
Discuss the Foundation with your leadership – they will have
positive comments and concerns.
Invite the Foundation to do a short introductory seminar:
We will come and meet with your church leaders for a
presentation.
Or we can do the presentation over the internet if you have
connection and a digital projector.
Typically the seminar takes less than 30 minutes before your
questions.
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We suggest the following action steps:
Decide to proceed. You define the purpose of the endowment
and what ministries the funds will support.
We will consult in a ‘Charter Agreement” which is your own
church guidelines governing the endowment.
We will offer to consult and supply services in training and
presenting the endowment to the church.
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The Foundation can help your congregation
to invite individuals to leave a lasting legacy
to support the ministries they love!
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For More Information:
 Visit www.ChoGFoundation.org
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Donor Stories as examples
Gift planning calculator
Professional Advisor section
Free weekly E-newsletters
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Savvy Seniors
Donor Stories
Washington Update
Financial Update
 Call Toll Free 877-549-4438
 Email [email protected]
Church of God Foundation
PO Box 2420
Anderson, IN 46018-2420
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Questions?
Talk to us directly! We can be reached at:
877-549-4438, Foundation Toll Free Hot Line.
Staff can be reached at: 800-848-2464 or email us:
Kirk Bookout
[email protected]
Dewayne Repass [email protected]
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Disclaimer:
 These slides were for educational and informational purposes
only. For specifics in your own situation talk with us at the
Church of God Foundation. Healthy churches reaching out
through strong ministries can have a perpetual income stream.
Let us help.
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