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May 30, 2006

The Endowment Trust - Leaving a Legacy

Trinity Parish is fortunate to have accumulated an Endowment Trust worth more than $1.7 million. Each year distributions of 5% of the balance are used to maintain our facilities and to expand our ministries beyond what might otherwise be possible. The 2006 distributions will total nearly $85,000 and will be expended as approved by Vestry.

Endowment Fund gifts are typically planned gifts. They are not ordinary gifts, such as annual pledging, nor extraordinary gifts, such as the Room for the Journey capital campaign. Instead, they are the ultimate gift—leaving a legacy after we die. Often parishioners will leave bequests to the Endowment in their wills or trusts. Yet, there is an easier way to leave a legacy. You can designate a portion of your retirement plan (IRAs, 401k plans, etc.) to the Endowment. All that is necessary is to name Trinity Parish Endowment Trust as a beneficiary (or contingent beneficiary) on the beneficiary designation form provided by your brokerage firm or plan administrator.

Retirement plan assets are typically the best choice of funds for charitable gifts in estate planning. Generally, as no income taxes have been paid on retirement assets, your heirs will be required to pay not only these income taxes but also the related estate taxes (if you have a taxable estate). After taxes, little of your retirement plan would remain. Yet, if you leave the retirement plan to the church, the church would receive 100% of the funds.
One of our Endowment Trustees has taken the step to leave a legacy and has named the Endowment Trust as a substantial beneficiary of her IRA. Another Trustee is considering making a similar gift. We hope that other parishioners will join us.

Each of the Endowment Trustees (Marty Arscott, Bruce Deal, Don Dixon, Kathy Jaunich, and Janet Littlefield) would be pleased to discuss the Endowment Trust and legacy gifts with you. Please feel free to contact any one of us. As always, you should contact your tax adviser about your specific situation.
Janet Littlefield, Trustee