During this special time of the year, we celebrate the love God lavished on us through the gift of the Christ child. Christians, inspired to share this eternal story of good news, give of their time, energy and finances to carry this Christmas message to all the nations.
During this season, Baptist church members across the commonwealth of Kentucky give their financial support to special mission offerings such as the Lottie Moon Christmas Offering to further the growth of God’s kingdom across the world. Each of these great stewards is to be thanked for this act of faithfulness. Perhaps you have wondered how to ensure that your support for these mission ministries can continue indefinitely into the future; one way is to endow your gift.
To create an endowment, you would leave a certain sum of money or asset through your will or living trust, or perhaps name the ministry as a beneficiary of a retirement plan or life insurance policy. That sum would be used to establish a fund benefitting the ministry cause as you have directed. The income distributed from the fund would be a continuation of your annual gifts.
How does this work?
An organization like the Kentucky Baptist Foundation considers economic conditions when deciding on an appropriate distribution percentage. The total amount of the gift and this distribution percentage determine how much money will be distributed to your chosen cause on an annual basis. If for instance the distribution rate is set at 4 percent, then for each $1,000 annual gift you want to sustain, an endowment of $25,000 would be required. If you have been contributing $2,000 per year, an endowment of $50,000 would ensure an annual distribution of $2,000.
So, in a sense you will be an annual giver indefinitely, and thus ensure the ministry organization you value will continue to be supported. To make intentional plans to care for your family and the ministries God is inspiring you to support, call on the Kentucky Baptist Foundation as a helpful partner.
Richard Carnes is president of the Kentucky Baptist Foundation