FAQ About Planned Giving and Endowments
What Is Planned Giving?
“Planned giving” means mapping out a plan for making gifts to your church. You may integrate planned giving into your financial strategies during different phases of life. Many individuals consider planned giving when they decide how to transfer their estates to the places and people whom they want to benefit from a lifetime of hard work. In addition to fulfilling their charitable goals and acknowledging (financially and spiritually) their gratefulness to God, donors may receive tax benefits and lifetime incomes through several types of tax-favored plans. Planned giving takes many forms and is tailored to meet the needs and goals of the donor.
What is an endowment program?
An endowment is a permanent fund that that can be invested to establish a long-term source of income to support programs and ministries. The income of the fund is available to spend on an annual basis. A healthy endowment can provide a source of funds – beyond the annual budget – for opportunities in operations and outreach and a hedge against challenging economic times.
What will a gift to the Endowment fund mean to me?
A gift to the Endowment Fund is a reflection of our faith and love in Christ. As Christian Stewards, we give back to God as a way of life out of the abundance with which God has gifted us.
Who decides how the income is spent?
The Legacy Committee, with approval of the Charge Conference, establishes the funds that make up the endowment and is responsible for administering distributions to the respective ministries involved. Designated endowments are distributed according to the designations made by the donor.
Will endowment giving reduce other types of giving?
Typically, the addition of an endowment program creates a new stream of income for a church. In most churches, 99.5% of the operating budget is funded by gifts from income while planned gifts to the church endowment are given almost 100% from assets.
How are gifts to the Endowment Fund different than regular gifts to the church?
Your annual gift to the church funds the budget allowing the church to provide ministry each year. Gifts to the Endowment Fund are gifts that are invested to provide a funding source in perpetuity to support ministries above and beyond those provided for by the annual budget.
May I make my annual pledge to the Endowment Fund instead of the general church budget?
Please don’t. We ask our members to continue their annual pledge to the general church budget as a means of ensuring the Church has adequate funding for current day-to-day operations. Contributions to the Endowment Fund establish a long-term source of income to support programs and ministries and are above and beyond pledges to the general church budget.
What kind of gifts may I give?
Endowments are funded through outright gifts, pledges, donations of securities or other noncash assets as well as through a variety of planned gifts. These gifts include gifts in your will, charitable gift annuities, charitable trusts, and beneficiary designations in retirement plans, financial accounts, and insurance policies.
May I give a gift now?
Winder First United Methodist gives donors the option for gifts to the endowment during life as well as giving at death. Donors who give during their life get to see the benefits of their gifts. Some examples of gifts during your life are cash, stocks and bonds, and property. Any gift of any size is important and very much appreciated.
Who invests the funds and how?
We have retained the Georgia United Methodist Foundation which manages over $130 million in assets to provide administrative oversight of our investments. The funds are invested to ensure that ministries are supported over a long period of time. The Legacy Endowment Committee will perform an annual review of the investment allocations and work with the Foundation to make desired adjustments.
For more information, please contact the Church’s Legacy Endowment Committee by sending an email to legacyendowment@winderfumc.com
How can I keep alive the memory of a special person?
A gift to the Endowment Fund is a wonderful way to memorialize a special person in your life. Memorial gifts to the Endowment Fund may be undesignated or added to an already existing designated endowment fund. Currently our existing designated funds are:
General Endowment Fund
This is the main endowment fund for Winder First UMC which gives the latitude to use the proceeds from this fund in a way that best fits the current needs of the church and congregation.
Capital Improvements and Unbudgeted Property Maintenance
Missions
Children’s Ministries
Music Ministries
Youth Ministries
May I name a fund and have a specific purpose for the endowment?
Yes, you may name a fund (ex: “The Miss B.K. Smith Endowment”) with a minimum gift of $ 20,000.00. The fund may be designated for a specific purpose within the Endowment Fund or be used for undesignated purposes.
What do I do if I have already remembered Winder First UMC in my will and estate plans?
Please let us know if you plan to remember Winder First United in your will or estate plan. We want to thank you. You may contact the Pastor or complete the Legacy Gift Confirmation form at the church office.
How can I endow my annual giving amount?
Endowing your annual giving amount for use for the annual budget would assure that your annual giving would continue in perpetuity. You may do this by leaving enough of your assets that the income from the assets would produce the same amount as your annual pledge.
How can I tithe my estate?
You may tithe your estate by giving 10% of your estate to the endowment fund.
Do I Need a Will?
YES! Without a will, the laws of the state will determine who will receive your assets and who will manage your estate. As a result, the state may not include all of the persons or charities that you would like to benefit. A will allows you to appoint a guardian for your minor children, choose a representative to carry out your wishes, and determine the final distribution of your estate assets. Giving through a will and through beneficiary designations are some of the simplest way to make a planned gift. You state in your will the amount or percentage of assets that are to pass to the church. You receive an estate tax deduction for the amount of the gift. There is no limit on the amount that can be deducted for estate tax purposes.
Where can I receive more information about different option for giving or other questions?
We have established an email contact option (legacyendowment@winderfumc.com) where you may send questions or request a private meeting with representatives of the Church’s Legacy Endowment Committee. This email is monitored by members of the committee and you will generally receive a response within 48 hours.
You may also receive free confidential consultation from the Georgia United Methodist Foundation toll free at 877.220.5664 or visit the planned giving tab at www.gumf.org.