Endowment
What is an Endowment Fund?
An Endowment is a gift made to charity that, according to the gift’s terms, cannot be spent in its entirety. The typical terms of an endowment permit income to be expended, but not principal. Additionally, there is a cap on how much or how little of the fund can be spent each year.
Advantages of an Endowment
How does an endowment get created?
- A gift agreement between a donor or charity may create an endowment.
- A gift agreement between a donor and a charity can also create an endowment.
- The gift document in each case determines the amount of the endowment that the charity can use.
Planning to use an Endowment in your estate plan?
Charitable giving is a fantastic estate planning tool; these charitable gift opportunities allow you to donate to the Mission of San Juan Capistrano, reduce your tax burdens and receive dependable income for life.