Endowing Your Annual Pledge

Endowing one’s pledge is the ideal way for St. Thomas Church members to support their beloved institution long after their passing. Creating an endowed pledge suggests that a parishioner include adequate funds, designated for the church, in the member’s estate plans.

Because most people designate these funds to be paid upon their death, “endowing one’s pledge” should not be confused with the annual campaign where one pledges to give X dollars each year to support the operating budget. St. Thomas depends heavily on the annual campaign to support its mission and ministry. Estate gifts are placed in the Diocese Investment Fund.  The endowment interest can be withdrawn, and often these funds are spent on building maintenance. A parishioner can also designate a specific use of the money, such as music, outreach, columbarium, or building maintenance.

Although the funds to endow one’s pledge are typically transferred to the church endowment upon a person’s death, occasionally members opt to give this gift during their lifetime. A major reason for this is that after age 70.5, when people are required to take a payout from their retirement funds, there are substantial tax benefits to giving some or, all of the payout to a nonprofit.  The church in turn receives retirement funds tax free. 

For more information on the St. Thomas Legacy Society, click here.  For information on estate giving tax benefits, click here.