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The following steps outline the process for
voluntarily establishing an account in The Catholic Foundation:
1. Identify the Need to
Create an Endowment
Parish/Diocesan leaders understand that many donors wish to endow
their cherished charity — their church — but do not know how to go about
doing that. Many other parish leaders see the necessity for having a revenue
source that will benefit the parish or diocesan entity into the future.
These leaders make a conscious choice to use memorial monies, bequests or
other revenues to establish an endowment account. Pastors and Diocesan
Directors who wish to establish endowment accounts must consult with their
Finance Council or appropriate supervisory authority before action can be
taken.
2. Define a Purpose
Leaders need to define for each account in The Catholic
Foundation a clear purpose for which the earnings will be used into the
future. While the purpose should be clear, it should not be overly
restrictive. Some examples are for: The Mission and Ministries of a Specific
Parish; Parish Catholic Education; Parish Cemetery; Capital Improvements;
etc.
3. Decide the
Investment Objective for the Account
The Catholic Foundation offers three Investment Funds. If a
participant's primary objective is for dependable income return for current
operational budget needs, then the Income Fund
is chosen. If a participant's objective is a combination of growth and
modest income, the Balanced Fund is chosen. If a
participant's objective is long-term growth with no immediate need for
income and has long-term strategy for maximum growth, then the
Growth Fund is selected.
4. Determine the
Initial Amount to be Deposited
The Catholic Foundation accepts checks payable to the "Catholic
Foundation." In the memo section identify the name of the account.
Securities may be directly transferred to The Catholic Foundation. Specific
instructions are necessary for each type of security transfer.
5. Complete the
Necessary Documents
The process begins with the Application Form. An account will be
initially established with the acceptance of the Application Form and the
transferred assets. Formal establishment of the Catholic Foundation account
will occur when the "Participant Agreement" documents have appropriate
signatures. Foundation officials, including the Bishop, will sign.
Participant signatures will include the Pastor or Diocesan Department
Director and a person who has official responsibility for the financial
affairs of the participating entity. (This latter signature is necessary to
document that official consultation has occurred.) One copy of the documents
will be placed in the Diocesan Archives; one will be returned to the
participant; and two copies will be retained in The Catholic Foundation.
Application for Endowment Account |