Endowment Fund Report

Ben Hicks 

The St. Peter’s Endowment Fund was established on Nov. 25, 2001.  In 2015, the document was revised and approved by the Vestry.

The purpose of the Endowment Fund is to ensure a firm financial foundation for the parish and to provide additional funds for outreach. It is not for yearly operational expenses. It is a long term investment vehicle providing for future needs.

During 2017, the fund increased by $6,228, excluding an equity increase, a 16.9% increase. However, from Dec. 2017 to Nov 2018 the fund balances were stable at $54,600. In between those periods, the fund rose from $54,655 at the end of 2017 to $57,430 in January, 2018.  The market, however dropped in Feb and March, 2018 and then there was the October, 2018 correction that reduced the balance to $56,902 to $54,464, a 4.3% reduction. As of November, the balance was $54,600. Thus, there was no growth during 2018.

The Fund is managed by a Board of Trustees consisting of three members appointed by a majority vote of the vestry.

The Board members serve at the pleasure of the vestry. The priest serves as an ex-officio non-voting member of the Board of Trustees.

The Fund will be used for:

1. Long term expenses of the church (including capital acquisitions, improvements, renovations and replacements).

2. Outreach ministries.

The Endowment Fund is invested through the Diocesan Trustees of the Funds.  The Endowment balance changes through gifts, a reinvestment of earnings and special distribution requests.

1.  Gifts. The Fund is funded by “inter-vivos” gifts and contributions as well as bequests of cash and other donations such as securities, life insurance policies, real estate, etc.  We request donations at Easter and Christmas, specifically.  Earlier in the year $1,150 was added in January and  $350 in April which are shown in the book value.

2.  Reinvestment of earnings. The Fund also grows through a reinvestment of earnings.  The earnings are calculated based on 4.5% of the  average balance of the fund over 5 years.  In 2018, $2,565.84 in earnings was reinvested as of Nov, 2018.

3. Special distribution requests. Any request for funds during the years for the uses mentioned will decrease the balance of the fund.

This is a planned giving fund. You can leave a specific gift, a percentage of your residual estate or a special asset to the church.  An attorney can take your existing will and make such an addition. The bequest is subtracted from your estate for tax purposes to lower your potential tax.  Besides the tax advantages, you can have the pleasure of providing for the church as your final gift to the church.

Please consider donating to this fund to help ensure the ongoing life and work of St. Peter’s. Anyone desiring to donate cash or other assets can contact Johnny Davis or any other Trustee for help with questions or information.

A copy of the Endowment Fund document is available online