Your commitment to the community is evidenced by your actions – your volunteer hours, responsibilities you assume, and traditions and values you convey directly and indirectly. An endowment fund expresses your charitable passions. It transmits your current commitments to the next generation and generations to come by telling the story of what matters most to you.
An endowment fund provides an ongoing source of income to a named organization, or to a charitable purpose such as education, health care or the arts. Dallas Jewish Community Foundation staff members are here to help you assess and define your long-term vision and to incorporate your wishes into a customized fund document outlining a viable plan. The goal is to protect the fund’s principal while perpetuating your commitment, and maximizing personal financial and estate planning benefits.
Frequently Used Vehicles to Fund an Endowment
- An outright gift. This is the easiest way to create an endowment, using cash or appreciated assets such as stocks, bonds or real estate.
- A life insurance policy. The reasonable cost and tax benefit make this particularly appealing for younger donors. Premiums may be tax-deductible.
- A donor advised fund or supporting foundation. Donors may recommend annual transfers or dedicate the remainder of a fund or supporting foundation.
- An IRA or pension fund. IRS guidelines regarding taxation of distributions of IRA assets make these assets ideal for transfer to a charity or qualified charitable trust. A portion of these funds can be used to create an endowment as part of a financial or estate plan.
- A charitable income plan, charitable remainder trust or charitable gift annuity. Receive life income payments with tax benefits. The remainder may be contributed to an endowment fund.
- A simple bequest in a will or trust.
Please contact us for additional information.