PLANNED GIVING AT SAINT JAMES
"Planned Giving." What is it? How does it relate to other aspects of Christian stewardship? How does it relate to me? These are some of the questions to be explored here in a look at the philosophy, role, history and mechanics of this expression of our appreciation for our many blessings. The three scallop shells that appear on the shield of St. James’ can suggest to us the three aspects of stewardship embraced in this parish:
· Annual Giving
· Time and Talent
· Planned Giving
Annual Giving
At St. James’ an emphasis in our annual giving program has been recognition of our many blessings and financial giving as a positive way of expressing our thanks for our good fortune through a pledge of financial support to the Parish during the Annual Giving Campaign. From a practical standpoint, an annual pledge and other forms of regular giving provide the support for the daily operations and activities of the parish such as paying the heating and cooling bills, staff salaries and insurance, building and grounds maintenance, and so on.
Time and Talent In addition to our monetary expression of gratitude, many are called to use their unique interests and skills in developing and supporting one or more of the ministries of the parish. Some of these are “internal” such as service in the choir or on the Vestry, the altar guild, as a Stephen Minister, or as office helpers while others may see their calling directing them to outreach via Helping Hands, a prison ministry, or meal preparation for the Volunteer Ministry Center.
Planned Giving What is Planned Giving? Planned Giving is gift planning, and gift planning is a multi-facetted activity, but in the context of St. James it encompasses all the ways contributions can be given by you from the resources one has accumulated over time. The remainder of this document concentrates on this phase of stewardship to indicate how this activity has functioned in the past at St. James’ and how it might be strengthened in the future so that the Lords blessings can be enriched.
Forms of Planned Giving
Planned Giving can take many forms. Some like to think of it in terms of “special giving” and “gift planning.”
Special Giving is an activity that is often addressed to a specific need, perhaps at a particular moment of time. Long-time members of St. James’ will remember that in the 1970’s Tom Arp, veteran Treasurer provided the funds to air-condition the sanctuary. More recently, mini-capital campaigns have been undertaken to fund our playground and the beautiful Memorial Garden. These were projects that could not be supported by the regular church budget that meets daily operations.
Gift Planning is illustrated in our history by the response to what was once a perceived need for the church. In the 1980’s it became clear that the Quonset hut, which has served for several decades as a parish hall and is no longer here, was inadequate to the needs of the congregation. A million dollar campaign was undertaken to fund the construction of the handsome new wing of our church complex. At precisely that time, the church became the beneficiaries of two sizeable estates making it possible to complete the new building without the need to borrow from commercial banks. St. James was named as the beneficiary by:
· Ansel and Lucy Hall
(Lucy was a staunch member of the choir)
· Betsy Morris
(the long-time Women’s Editor of the Knoxville News Sentinel)
. . . to name only two of many contributors.
Other examples may be illustrative of the many forms that planned giving may take. In the 1980’s Gene and Florence Monday made the then Diocese of Tennessee and St. James Episcopal Church joint beneficiaries of the income from a parcel of commercial property on Kingston Pike with the provision that the proceeds from a future sale of the property, when the leases expired, be available to support outreach in the Diocese and St. James parish. This property has now been sold and the monies made part of the parish’s Opportunity Fund.
Tom Arp left stock to St. James’ with the proviso that the incomes from his investments go to his widow during her lifetime.
Our former Senior Warden Fred Vreeland designated that the monies left in his will for St. James be used for building purposes.
Planned Giving “Vehicles”
Illustrated above are some of many ways in which planned gifts can be made to St. James, the Diocese of East Tennessee, and the Episcopal Church USA. Planned Gifts usually fall into one of three categories:
· Through a bequest in a will. This is probably the most common way.
· Through a “Life Income Gift. ”In this case, you may receive an income for life in return for your gift.
· Through gifts of specific assets such as life insurance, common stock, or real property.
Aside from leaving a bequest in your Will, there are “vehicles”, or in other words, financial instruments, available in support of varied planned giving investment goals. These include:
· Pooled Income Funds
· Charitable Remainder Trusts
· Charitable Gift Annuities
· Charitable Lead Trusts
· Charitable Life Estates
A personal investment advisor can illustrate the features, benefits, and limitations of these and other planned giving vehicles, but among the benefits for you during the latter years of your lifetime can be a guaranteed income or rate of return, federal income tax deductions, elimination or reduction in capital gains and/or estate taxes, in addition to your knowing that you are helping to sustain and build God’s Kingdom today and tomorrow. In the latter years of one’s life this is the primary temporal benefit of planned giving, knowing that one is helping to sustain and build God’s Kingdom today and tomorrow.
How Will a Gift
to St. James Be Managed?
Anyone contemplating a gift to the Parish should know how such gifts are managed. In April of 1999, the Vestry approved the establishment of the St. James’ Opportunity Fund. The stated purpose of the Fund (hereinafter “the Fund”):
The St. James Episcopal Church Opportunity Fund will provide an annual income to the church and parish for the work of Christ in our time and for generations to come. The Opportunity Fund will enable St. James Episcopal Church to more completely fulfill its mission through development and enhancement of church and parish properties as well as in promoting and financing religious, charitable and educational projects, and other ministries of St. James and of the Episcopal Church. The funding of these projects is normally separate and apart from and outside the scope of the regular annual operating budget of St. James.
Examples of activities outside the regular budget include:
· Capital additions to the property
· Fostering new missions and churches in the Diocese of East Tennessee
· Assisting clergy in congregational development
· Seed money to establish new programs or ministries, and
· Enhancing existing ministries inside and outside the parish.
The parish Finance Committee, which is a Committee of the Vestry and is empowered by the Vestry to make decisions regarding investment priorities and the employment of hiring a Fund manager for day-to-day investment decisions, currently oversees the Fund. The Finance Committee also determines how any annual earnings will be made available to fund projects.
Decisions on what projects may be financed out of the Fund’s annual proceeds are managed by a rotating Opportunity Fund Committee, which is a committee of the Vestry and consists of five members of the congregation. It is the responsibility of this committee to call for and evaluate proposals for the use of the available fund revenues, establish priorities, and monitor chosen proposals to their completion. Other responsibilities include providing education and marketing of the Fund. A report to the Vestry in November of each calendar year is required, as is a summary report for the Annual Parish Meeting.
What Can I and Should I Do?
The first and most important step to take is to be sure your have a Will, a Medical Directive, a Medical Power of Attorney, and a Financial Power of Attorney that is up-to-date and is on file with your lawyer and your physician. This applies to everyone no matter how large or small you expect your estate to be and whether or not you wish to consider St. James in your planning. You might also considering filing these documents with the church office.
You may write a holographic, or hand-written, Will. It is valid in the State of Tennessee; but there may be pitfalls in even the simplest of handwritten Wills. For a relatively modest fee it is recommended that your Will be prepared by an experienced and trusted attorney.
A Final Word
If you are seeking introductory information on making a Will and/or Planned Giving there are free “nuts & bolts” booklets in the church office, from The Episcopal Church Foundation, on Planning for the End of Life and Making a Planned Gift. They are available just for the asking. Or you can go to http://www.episcopalfoundation.org/library/Planned%20Giving%20booklets to view the same documents.