Churches & Institutions

Endowment Program

An endowment is an investment fund where the principal amount invested remains intact, and the earned income is used according to the instructions created by the local church or donor. The income can be designated for a specific purpose or undesignated. In most churches, the dividend and interest income from the investment, or a set percentage of the value 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, outreach, and a hedge against challenging economic times.

With an endowment and planned giving program, your church sends the optimistic message that they will be here tomorrow to reach new disciples, they will be here tomorrow to encourage those disciples to put their gifts to work, they will be here tomorrow to put God’s love into action, and they will be here tomorrow to do their part to heal a hurting world. Gifts to endowment programs literally do “keep on giving,” leaving a legacy to your family, your friends, and your church.

Why Endowments?

Endowments provide sustained support for the ministry of your congregation. When a church promotes its endowments, it is ensuring the long-term financial health and sustainability of its ministries as well as strengthening the mission for generations to come. The permanent source of funding provided by endowments will grow over time and enable the church to make bold plans for the future, leading to a lasting legacy.

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Here are 10 ways your church can promote your endowed funds and establish your legacy:

 

Educate

Offer opportunities for your congregation to learn about endowments, how they work, how to contribute, and what endowments your church has. Ask about MFA’s “Endowments 101” program! We would be happy to come and share with your church.


Communicate

Include mentions of endowed funds in church-wide communications. Commit to communicating on a monthly basis about the funds, telling stories of how the funds are helping with current ministries. Avenues for story sharing could include newsletters, social media, bulletins, worship announcements, short videos, and more.


Leverage Church Anniversaries

Time your efforts to coincide with church anniversaries. Incorporate information about endowments with an annual celebration of the church anniversary. Highlight specific funds, the givers (if not anonymous), and examples of how the funds work practically to provide ministry.


Recognize Givers

Have a display in a high-traffic area of the church building that features names of people who have given to the funds. One church designed a tree with each leaf bearing the name of a family who contributed to the endowment.


Say 'thanks'

Send an annual letter to people who have already given to the fund or who have shared that they have made a commitment in their estate plans, letting them know how much is in the fund and how the earnings have provided ministry in the church and community.


Celebrate!

Host an event each year to highlight endowments and promote endowed funds. Make it a joyful gathering after church that includes either a potluck or catered meal. Include games and ways to raise awareness of endowed funds and make the request for everyone to consider this opportunity to give.

If you’re not sure what time of year to hold this type of celebration, All Saints’ Sunday provides a great opportunity to talk about legacy giving. 


Use What You Have

If you have endowed funds, use them! No one wants to contribute to a fund that isn’t used. Advertise when the church uses a fund and explain how the fund helped support a ministry or took care of a maintenance need. Provide photos, if possible.


Birthday Club

Start a Birthday Club — a campaign for people to remember the church on their own birthdays by making a gift to an endowed fund. Many churches with birthday clubs encourage those celebrating their birthdays to give a dollar amount to match their age. Suggest to members that they might ask their family and friends to make gifts to the Birthday Club endowment instead of giving them a birthday gift each year.


Tell Stories

Invite people who have established an endowed fund to share their personal testimony, why they made the commitment, and the impact it has made on their life.

Additionally, ask people from the church and community to share how funds from an endowed account have helped them. This could be a ministry in the church, community, or even how a maintenance issue was resolved due to the endowment.


Ask on a Regular Basis

Invite the congregation to make contributions to the endowments. Include “Legacy Gifts” on all stewardship materials and campaigns. Ask members to remember the church in their estate plans.


Is it time for your congregation or ministry to make a plan for turning endowment goals into reality? Consider scheduling an Endowments 101 meeting for your clergy and lay leadership.

MFA will provide an Endowments 101 session at no cost to your church or organization. To learn more, contact the Rev. Lynn Kilbourne or Amy McGovern.

Rev. Lynn Kilbourne
Director of Development
lkilbourne
@methodistfoundationAR.org

601 Wellington Village Road
Little Rock, AR 72211
(501) 664-8632

Amy McGovern Methodist Foundation for Arkansas

Amy McGovern
Northwest Arkansas Development Officer
amcgovern@
methodistfoundationAR.org

2301 S. 54th Street
Suite #1
Rogers, AR 72758
(479) 957-3089

Our Story

The Methodist Foundation for Arkansas is here to help you make the connection between faith and finances last beyond a lifetime.

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Contact Us

601 Wellington Village Road
Little Rock, AR 72211
Phone: 501-664-8632
Fax: 501-664-6792

2103 S. 54th Street, Ste 1
Rogers, AR 72758
Phone: 479-957-3089
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