Policies & Proceedures
Electronic Funds Transfer
EATON RAPIDS FIRST UNITED METHODIST CHURCH ENDOWMENT FUND
The Endowment Fund of Eaton Rapids First United Methodist Church was established in November 1994 as part of a long-range plan to provide for continued vitality of First Church’s mission and ministry for generations to come. Donations to the Fund are invested and held in perpetuity, while income the Fund produces is carefully restricted for only two purposes: 85% is to be used to assure that the church’s facilities are maintained into the future, and 15% is designated for special program needs, training, scholarships, and missions. Neither income nor principal may be used for general operating expenses, which must be and should be paid primarily from ongoing regular offerings of committed church members and constituents. Gifts to the Fund may also be received through designated estate gifts and/or memorial contributions.
A PERPETUAL REMEMBRANCE
The Endowment Fund is the obvious choice for someone wants their donation to the church to have a continued impact upon future generations. Because only the income from their donation can be used, it is “the gift that keeps on giving.” It perpetuates the donor’s benevolence far beyond the year in which it is given.
THE NEED TO MAINTAIN FACILITIES
First Church is blessed with a beautiful and historic building as well as a comfortable residence for its pastor. However, the requirements and opportunities of the twenty-first century take an increasing share of each Sunday’s collection to maintain and improve these ever-aging facilities. Some may even argue that the present property needs of the church already consume too much of what is needed in other areas of ministry, such as staff, evangelism, music, education, and missions. By providing an income source for major improvements, the Endowment Fund helps assure sufficient funding for the church’s entire ministry in the years to come.
TYPES OF GIFTS
The Endowment Fund is uniquely suited for the donor who wishes to do more to fund the ministry and mission of the church than to only give a portion of their income. It is the ideal recipient for major donations of all kinds, such as life insurance, bequests, appreciated securities, and real estate. Although the Finance Committee must review all non-cash gifts prior to acceptance, proposals for such gifts are encouraged. The Finance Committee is prepared to work with the donor and the donor’s financial consultants to maximize the tax and other financial planning advantages of making these types of gifts. Intended gifts merely need to be designated for the “First United Methodist Church Endowment Fund.”
THE FIRST FIFTEEN YEARS
Starting with no funds at the beginning of 1995, the Endowment Fund contained a restriction that no income could be distributed until it reached a value of $150,000 in order to let it build up a principal balance first. Due to generous donations, market appreciation, and compound interest, it reached that milestone in October 2006. Starting then through 2010 the Fund provided income for distribution of $26,730 and still grew to a value of over $173,000 by the end of 2010. The income distributions were used for situations such as unexpected roof repairs and community outreach that went beyond the usual operating budget of the church.
FOR MORE INFORMATION
If you would like to make arrangements to speak to the pastor or a member of the Finance Committee about this unique opportunity for stewardship please contact the church office.
FIRST UNITED METHODIST CHURCH
600 S. Main St.
Eaton Rapids, Michigan 48827