Congregational Planned Giving Program

Introduction

$25-45 trillion in wealth will transfer between now and 2052

Only 30% of Americans have developed an orderly plan for the transfer of their estates

Of this 30%, only one in three have remembered a charity in their estate plans

People of faith want to remember the Lord’s work in their estate plans, but need to know the options available to them

Introduction

The purpose of a congregational planned giving program is to . . .Educate,Encourage,Enlist, andExcite . . . members about using planned

giving instruments to support WELS ministries.

Introduction

Manual focuses primarily on setting up an endowment fund

Also gives an overview of other ways members can make planned gifts

Coordination of these efforts at your church would be done through a Congregational Planned Giving Committee

WELS provides assistance

Scriptural Truths for Joyful Generosity1. God owns it all. Psalm 24:12. By grace God supplies all our needs. Philippians 2:133. By grace God entrusts to us the task of management.

Philippians 2:134. God desires our thankful response. Colossians 3:175. God determines that our offerings are an important way

to express our thankfulness to him. 2 Corinthians 9:7

Table of Contents

I. About Congregational Endowment Funds

II. Setting Up a Congregational Planned Giving Committee

III. Promoting Planned Giving in Your Church

IV. WELS Organizations that Can Help You

About Congregational Endowment FundsDefinitionsPurposeWhy an Endowment?How an Endowment Fund WorksGetting Started

Definitions

Endowment fund: dedicated fund of which only the growth can be used

Trust fund: same as endowment except that principal can be used at discretion of voters

Income: dividend or interest earned on an investment

Growth: capital appreciation or capital gain of an investment

Principle or Capital: The main body of a fund as distinguished from interest or profit

Purpose

Provides a permanent source of income to be used for a specific purpose.

Common uses:Educational scholarshipsMissions and outreach supportSupporting the ongoing ministry

of the congregationCongregation in India

Why an Endowment?

Provides a framework for receiving gifts through bequests, memorials, and donations of assets

Reminder for members that wills and estate plans are part of Christian stewardship

Opportunity for members to make gifts without negatively impacting regular giving of the congregation

Why an Endowment?

Allows members to designate gifts to areas of special interest

Additional funding for current operations as well as future, expanded efforts

Allows establishment of new programs Creates a source of future income for the

congregation, assuring continued ministry

How an Endowment Fund Works Principal is invested and preserved Part of income is spent on current needs An endowment fund can have sub-funds

to support multiple needs

Community Outreach

Children’s Special Needs

Family Assistance

Retirement

Setting Up A Congregational Planned Giving Committee

Flow Chart

Building the Committee

Special Issues

Setting a Clear Purpose

Commitment to the Program

Consistent Communication

Asking for Gifts

Gift Administration Policies

Distribution of Grants

Flow Chart

Interested committee studies concept

Study Group meets with a Christian giving counselor

Study Group makes recommendations to Church Council

Church Council brings resolution to voters

Voters accept Voters/Church Council

appoints Congregational Planned Giving Committee

Committee organized and begins to educate, encourage, enlist, and excite

Building the Committee

Committed to purpose Willing to work Communication skills Leadership skills Attention to detail Connections to

members

Opinion leader Women and men Many age groups Geographic areas Interest areas Income groups Other

First qualification is strong Christian faith Decide what you are looking for

Special Issues

Should the Church Council also be the Planned Giving Committee?

Be careful about conflicts of interest. Members/Terms

Size: three to five people Term length: four years Rotation: limit of two terms, terms should be

staggered A sample fund endowment fund bylaws is

provided

Setting a Clear Purpose

Section I discussed possible purposes of an endowment fund

Congregation must retain ability to change the purposes of the fund

Exhibit A shows some sample sub-funds that can be set up with different purposes

Consistent Communication

First element: a clear, compelling identity Second element: communication

resources (promotional articles available online at Ministry of Christian Giving page on Connect)

Third element: a plan for using these resources over and over again

Sample one-year strategy available in manual

Asking for Gifts

Identify prospective donors

Prepare yourself

Call to set up appointments

Visit prospects Ask Follow up with

materials and another visit

Gift Administration Policies

Most important aspects of gift administration:1. Treat every donor with gratitude and respect2. Agree on gift acceptance policies and apply

standards consistently3. Invest with WELS Investment Funds4. Adopt appropriate policy on conflicts of

interest Exhibit B in manual provides sample gift

acceptance policy.

Distribution of Grants

Sample Distribution Policy (Section 7 of Bylaws):

Annually distribute 4% of the three-year (or since inception) rolling average market value of the fund as of June 30

Limitations in place to insure the preservation of the historic dollar value of the fund

Promoting Planned Giving in Your Church

Different Ways to Make Planned GiftsEstate Planning for Christian Stewards

Reference Materials in Manual:

Committee can also provide members with basics on making planned gifts using . . .

Different Ways to Make Planned Gifts provides overview of different gifting vehicles

Estate Planning for Christian Stewards is a practical guide for developing a Christian estate plan

IV. WELS Organizations that Can Help YouWELS Ministry of Christian GivingWELS FoundationWELS Investment Funds

WELS Ministry of Christian GivingA Christian giving counselor can help

regarding the establishment of a Congregational Planned Giving Committee and an endowment fund.

WELS Foundation

Can assist the congregation in accepting complex gifts and gifts of unusual assets

Offers gift plans that allow the donor to remain anonymous and which can benefit a variety of WELS organizations, including the congregation

Manages the various gifting vehicles

WELS Investment Funds

WELS Investment Funds can serve as the organization which invests the funds received. Working from a large base of assets and expertise, such an organization can invest more effectively for the very long-term.

For more information . . .

Contact WELS Ministry of Christian GivingPhone: 800-827-5482 or 414-256-3209 Web: www.wels.net/christian-giving

Thank you for considering a planned giving program for your church. May God use this as another means for sharing his Word with all people!