Louisburg United Methodist Church has had an endowment program in place since 1998. We now have 4 endowment accounts that are managed by the United Methodist Foundation (UMF). All funds are invested in the UMF Balanced Fund which has returned 9.44% since inception in 1992 (as of June 30, 2016). The UMF administrative fee ranges from 0.80% to 0.50% depending on the size of the investment. ¹
The endowments are structured as revocable or irrevocable. Irrevocable endowments allow only interest and income to be withdrawn for the stated purpose of the endowment. Revocable endowments may have the principle and interest withdrawn.
The LUMC Endowments
LUMC Mission Endowment.
his endowment was established by Doris Davis in 1998 with a balance of $25,000 and is irrevocable. The language of the endowment states “It is the intention of the Donor that the principle of the Endowment be preserved and grown for the purpose of providing funding for mission causes of the church.” As of Sept 30, 2016 the balance in this fund is $37,069.99 with a principle of $25,000.
LUMC Owens General Endowment Fund.
This endowment was established in 2013 with funds from the Edgar Owens Estate and is irrevocable. This is the general endowment fund for the church. Undesignated gifts to the church endowment program will be deposited in this account. As of September 30, 2016 the balance in this fund is $55,426.59 with a principle of $41,500.
LUMC Building Maintenance Endowment.
This endowment was established in 2013 with funds from the Edgar Owens estate and is designated to be used for building maintenance for the church. It is a revocable endowment. The LUMC Building Maintenance Endowment is structured as a revocable endowment in order to fund major building maintenance projects. As of September 30, 2016 the balance in this fund is $30,290.16 with a principle of $30,000.
This endowment was established in 2016 and is irrevocable. The language of the endowment states: “I direct that only the interest and income shall be used only for emergencies, unexpected expenses and/or missions supported by the church and no portion of said income or principal shall be used to defray the general operating expenses of the church.” The beginning balance of this fund as of September 22, 2016 is $345,304.22.
Contributions may be made at any time to any of the endowments and such funds will be added to the principle of the endowment. The church can accept gifts of cash, donor advised funds, IRA distributions, appreciated stock, real estate, bequests, designated beneficiaries of life insurance policies or pension plan funds to add to or create endowments.
Requests for funding of special projects using interest or income from the various endowments should be made in writing to the LUMC endowment committee.
¹ See: (http://umf-nc.org/files/2015/02/1Q16-Balanced-Fund.pdf) for more information on the UMF