Permanent Endowment Program
Frequently Asked Questions
1. What is an endowment?
Webster defines an endowment as a permanent source of income--the transfer of money or property to a qualified charitable organization such as academic, cultural, health or religious institutions, etc. Like the parable of the Mustard Seed, with each gift added to other gifts, an endowment can grow over time providing substantial financial benefits for our church. As a result, the MOTTO for our PEP is: “A Legacy of Supporting Aldersgate and Its Mission FOREVER.”
2. What is the purpose of the PEP?
The PEP was established for the purpose of providing members and friends an opportunity to make charitable gifts to our church that will have a lasting impact on the church’s future and serve as a living memorial. The most appealing part of the PEP is that the principal amount donated lasts forever and only the interest earned will be used to provide a forever source of additional income for our church and its ministries--“the gift that keeps on giving.”
3. What are examples of ways I can give to the PEP?
There are basically two ways you can give. You donate by Direct Gifts (Examples: In Honor/In Memory of an individual) of cash, investment securities, real or tangible personal property; or more typically by Legacy Gifts (Examples: Bequest in your Will, designating the PEP as a beneficiary in a life/term insurance policy. In most cases, a Legacy Gift is a once-in-a-lifetime financial commitment to our church’s future and our children--a final tithe to the church.
4. What are some examples of how the money from this PEP might be used?
There are many unfunded programs in each year’s church budget that could benefit from the PEP. Examples might include: Providing upfront money to pay for new unfunded program initiatives; assisting with the cost of Youth Trips during each summer; and providing an additional source of funds to cushion any financial challenges that our Annual Stewardship Campaign may face in the future.
5. Who has the responsibility for managing the PEP?
The church’s Permanent Endowment Fund Committee has the overall responsibility for the PEP and for educating church members on the PEP, managing the investment strategy and disbursement of interest earned, assisting church members during the endowment process, and recognizing those who have donated to the PEP.
6. Who manages the investments of funds donated to the PEP?
Our investment partner is the Alabama-West Florida United Methodist Foundation located in Dothan, Alabama. It manages over 60 million dollars of assets and its investments conform to the Social Principles of the United Methodist Church.
7. How can I learn more about the PEP?
Visit our church’s website at www.aldersgateumc.org and under To Make Him Known, select Permanent Endowment Program. If you need further information, please contact our church office at 272-6152 or a member of our Permanent Endowment Fund Committee.