Endowment Fund

The Endowment Fund is an integral part of First United Methodist Church of Redding and was established in 1995 as a perpetual trust. As a non-profit endowment fund, it accepts gifts, small and large, from numerous sources including individuals, families, businesses and other groups.
For more information, please contact Duane Lyon at 530-223-4083 or by email or Ron Coldwell at 530-357 -2782 or by email.

 

How It WorksContributions, such as gifts, memorials, wills, and trusts, to the Endowment Fund become a part of endowed trusts–never to be spent. Only the earned income from the fund may be used to help the church and others in years to come. You, as a donor, may select how your gift may be used within any of the following fund options:
  • Unrestricted Fund–used for any purpose consistent with the mission of the church.
  • Property Fund–used for building, purchase of land or restoration.
  • Program Fund–used for development and expansion of music, adult and child ministries.
  • Missions Fund–used for community outreach.
  • Scholarship Fund–used for education scholarships and grants.

Examples of Giving Options

  • Cash Gifts–Making a cash gift is quite easy. You can simply write a check or give electronically.  But it is important to make sure that you follow the requirements of the IRS and FTB in order to receive your appropriate tax savings for your gift.  A cash gift saves tax at your marginal tax rate. For example, if you are in the 33% tax bracket, with the IRS and 9% with FTB a gift of $100 produces a charitable deduction of that amount. That is an actual tax savings of $33 with the IRS and $9 with the state.

 

  • Gifts of Stock and Mutual Funds–Because many stocks and mutual funds, as well as exchange-traded funds (ETF’s) have increased in value over time, you may hold stocks and mutual funds with substantial appreciation. If you’re considering a gift of public company stock or mutual funds to the church provides two major benefits. First, there is a charitable deduction for the current market value of the equity. Second, you bypass the capital gain.

 

  • Bequests by Will–Including a bequest to the church in your Will is the most widely used form of gift. Some people decide on a certain dollar amount and others specify a percentage of their estate.

 

  • Charitable Remainder Trusts–Property is placed in trust which names the church to receive distribution of the property at the end of the trust. A tax deduction is allowed for a portion of the assets placed in the trust. Income is paid to the donor or designee based on the terms of the trust agreement.

 

  • Life Insurance–These policies provide a means of making a larger gift than one ever expected would be possible. A tax deduction equivalent to the cash value of the policy is allowed.

 

  • Life-Estate Contract–This option allows the donor to give a home while continuing to reside in the home for the rest of their life. A tax deduction is allowed for the value of the property.

 

  • Gifts of Land/Buildings–Many churches and donors have benefited from a gift of land or a gift of land with a building or other structure. There are two main benefits for this gift. First, there is a charitable deduction, normally for the fair-market value at the time of the gift. Second, if the real estate has appreciated, the gift to the church bypasses or avoids the capital gains tax. The combination of a charitable deduction and a bypass of capital gain is an excellent double benefit.

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