Establishing a New Endowment Fund

What is an Endowment Fund?

 

An endowment is a permanent investment of gifts from which the income earned will be used to support a particular parish, school, or ministry.  Only the income or interest earned is available for distribution, so the donor's original gift is never spent.

As a result, endowed funds provide a perpetual, supplemental source of income for such things as the enhancement of programs and ministries, facilities maintenance, tuition and teacher assistance, etc. By planning today, endowments protect parishes, schools and ministries against changing demographics and increasing expenses.

An endowment is designed to be perpetual. All or part of its income may be distributed, but the principle would not be accessible except for investment.

Importantly, endowment funds provide a vehicle through which individuals make outright or planned gifts that will have an everlasting impact on the parish. In time the income generated by the gift will far exceed the original donation.

What an Endowment Fund IS NOT.

 

An endowment fund:

  • IS NOT a long-term savings plan that can be spent when a big expense arises

  • IS NOT a capital fund

  • IS NOT an alternative to the Archdiocesan Deposit and Loan

Why should we put money in an endowment instead of savings?

 
  • To allow donors to leave a legacy gift that will be felt for generations

  • To create strengthened financial viability for the parish into the future

  • To allow the parish to receive stock market returns on investments

  • To plan for increased operational expenses

  • To protect the assets

Why use the Catholic Foundation of Northeast Kansas (CFNEK)?


 

Professional investment choices employing Catholic socially responsible and market competitive investments

CFNEK offers a professionally managed Equity Portfolio and a Fixed Income Portfolio. Fund holders are able to choose the percentage in each portfolio into which their fund is invested.

Through the CFNEK, your constituents have access to a gift annuity program, donor-advised funds, and your institution can use the CFNEK’s resources to develop a planned giving program on the local level.

The Archbishop, assisted by a board comprised of lay Catholic professional women and men from throughout the Archdiocese, oversees the funds entrusted to the CFNEK, ensuring that the funds will be managed and used as intended by their donors.

Getting Started with an Endowment.

 

Thank you for your interest in wanting to start an endowment. These links will assist you in making an endowment a reality. Please review and contact us to begin establishing your endowment.

Getting Started Steps