An endowment has several advantages for Social Justice Fund NW and for donors. Social Justice Fund NW's Endowment for the 21st Century:
Currently, Social Justice Fund Northwest must rely on annual gifts to pay for administrative costs, grants and programs. To maximize the benefits of our funds, we work to keep overhead expenses low, averaging 20 percent of our budget. Yet, the very existence of the organization is based on year to year funding. Social Justice Fund NW is now building an endowment fund to secure the future of Social Justice Fund NW.
Our goal is that the principal will generate enough money through investment returns to offset some of the administrative and operational cost of Social Justice Fund NW. The Endowment for the 21st Century will allow an even higher percent of your annual gifts to support Social Justice Fund NW grantees and program-related expenses.
In establishing the endowment, Social Justice Fund NW's Board of Directors sought legal counsel to protect our assets. The account is restricted such that, barring disaster, only the dividends and interest will be used. The board established a member investment committee to oversee assets management, and hired a qualified, socially responsible, money manager as the account broker. See the SRI Investment Policy for details. The board has retained direct fiscal control of the endowment, and all other financial resources of the foundation.
While we all know that progressive, community-based organizations are in desperate need of support, you are assisting them by providing for the future stability of a progressive foundation. Also, an endowment gift is never meant to replace the annual fund -- which needs to continue to grow.
An endowment gift is often in the form of a pledge or long-term planned gift. While some may be able to contribute the full amount in one year, many elect to spread their endowment pledge over several years, as a lead or remainder trust, or as a bequest. There are substantial tax advantages to trusts, annuities, life insurance policies, etc., developed for Social Justice Fund NW. Please contact Social Justice Fund NW's Development Director or your financial planner if you need assistance.
Anyone can make a contribution. Gifts may be in cash, securities and real property. The Board of Directors reserves the right to sell assets gifted to the endowment and to refuse any gifts. Gifts may be given as a one-time award or over time. Only those who contribute at least $240 annually to the general fund, however, are considered to be Social Justice Fund NW members.
Even if your gift will come to Social Justice Fund NW over time or years in the future, it is important to establish the fund now. Social Justice Fund NW builds its budgets annually and works to grant the maximum possible for each cycle. If we know now that we can cover all or part of the overhead expenses from endowment revenue we will increase the granting budget for each year by that amount. Further, your willingness to give now encourages others to build the fund and again increases the resources to the region.
Social Justice Fund NW encourages you to talk with your financial adviser about any substantial gift. We have several financial advisers we can recommend. Call or write the Social Justice Fund NW Development Director and make an appointment to discuss the tax advantages for you with various gifts. Please notify Social Justice Fund NW about bequests, so we can track these gifts and credit your account.