Endowment Fund FAQ
Why did Cornerstone Christian Church decide to establish an endowment?
- Our endowment was established to provide an opportunity for those who have supported the ministry of Cornerstone Christian Church during their lifetimes to continue that support with a planned/legacy gift and to provide opportunity for memorial/honorarium giving.
- The endowment fund assures donors that their gifts will be used for the specific ministries of Cornerstone Church for years to come.
- The elder board established the fund in early 2020 with the intention of introducing it to the congregation at that time. The pandemic delayed that process.
What is an endowment fund?
Technically, an endowment fund is a financial asset typically held by a non-profit organization which contains capital and earnings that are leveraged by the non-profit to fund their overall mission. More simply stated it is a fund where the principle is protected and the interest and earnings are used for our ministry.
What will our endowment fund be used for?
Quoting from the endowment policy, the purpose of the fund is: To annually distribute the income from the Fund to Cornerstone Christian Church for the support of staffing, facilities maintenance, and operational needs of the church.
How will the endowment fund grow?
- Primarily, endowment funds grow through planned or legacy giving but of course that takes years. Cornerstone is planning to provide information to our church families on how to make legacy or planned gifts to the fund as part of your estate planning.
- We hope that families will decide to name the Cornerstone Christian Church Endowment Fund as the recipient for memorial gifts to mark the passing of loved ones.
- We also hope that our church family will use the endowment fund as a way to honor friends and families marking milestones, such as birthdays, anniversaries, etc with honorariums.
- In 2020, the elder board established the fund with excess budget funds. There is hope that future elder boards will be able to do the same.
When will Cornerstone begin to receive funds from the endowment?
In accordance with the Endowment Policy, funds will be distributed to the church annually. Of course, the amounts distributed will be small in the early years. It takes decades and sometimes generations to establish a successful endowment fund, but just imagine the day that all of our campus operational expenses are paid for by our endowment fund. How amazing would that be? It won’t happen quickly, but it is certainly attainable in time.
Who manages the endowment fund?
The endowment committee is charged with managing the fund according to the approved investment policy until the fund reaches a specific level. At that time, the fund will be turned over to a professional fund manager.
Who are the members of the endowment committee?
In accordance with the endowment policy, the committee will have no less than five and no more than seven members. The committee will include the executive pastor, the elder finance liaison, plus one additional elder appointed by the elder board. The balance of the committee members shall be appointed from the congregation. There are specific term limits for committee members.
How can I help the endowment fund to grow?
- You can contribute to the endowment fund today. Consider making an honorary gift to mark an anniversary, birthday, or other milestone in your or someone else’s life. Simply send your gift to the church office. Make your check payable to Cornerstone Endowment Fund and indicate what the gift is for (honorary or memorial) and who should be advised of your gift. (i.e. This gift is in memory of John Smith or This gift is in honor of Bill and Nora Jones’ 50th Anniversary).
- Name The Cornerstone Endowment Fund as a beneficiary of a life insurance policy that you no longer depend on.
- Name The Cornerstone Endowment Fund as a beneficiary of your estate plan. The church will be providing more information on how to make planned/legacy gifts in the future.