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Catholic Community Foundation of Northeast Indiana

Investing in the work of Christ

Our faith has been handed down from one generation to another.  Did you sacrifice and build the sanctuary where you were baptized?  Of course not; but others had you in mind when they sacrificed and built that parish church.  Today, we are challenged to care for the Church that has been passed on to us, and to preserve it for future generations.  Providing for future generations is a significant aspect of Catholic stewardship. 

The Catholic Community Foundation of Northeast Indiana was formed to provide for the financial future of our diocese.  We provide ways for individuals and families to invest in the work of Christ throughout the Diocese of Fort Wayne-South Bend.

The Catholic Community Foundation was established in 1994 as a 501(c) (3) tax-exempt entity.  It receives current and deferred major gifts and endowments.  Contributions to the Catholic Community Foundation are deductible under Section 170 of the Internal Revenue Code.

The Catholic Community Foundation funds are under the auspices of the Catholic Church yet none of the funds have ever been spent on operating expenses of the diocese.  These endowment funds are invested and used exclusively for the purposes for which they were established.

Endowments and planned gifts are important vehicles through which we pass on a Church in better shape than when we received it.  Unlike a parish offertory, or the Annual Bishop’s Appeal, which is spent each year, endowment funds are invested and kept in perpetuity.

The Catholic Community Foundation serves donors by matching their philanthropic vision with grants to the ministries, programs and institutions that best serve their dreams for a better world.  

The Catholic Community Foundation offers opportunity to optimizes your tax benefits and by prudent investments and disburses funds from the interest accumulated.

The Catholic Community Foundation provides an easy way to give generously and responsibly during your lifetime and as part of your estate plan.

A gift to the Catholic Community Foundation is an investment in the future of the Church Your gift is a very real way to express gratitude to God for a lifetime of blessings. 

Whatever your charitable goals, the Catholic Community Foundation of Northeast Indiana can help you develop a unique plan to achieve them.  By making thoughtful choices now, you support the work of Christ in perpetuity.  Think carefully about your legacy and what inspires you and when you are ready to invest in the work of Christ.

What is an endowment?

An endowment is a permanent fund.  The principle is never touched, but the income from which can be used in accordance with the wishes of the donor.  The principle, as it is defined, includes the initial contribution given to establish the endowment, as well as all additional contributions to the endowment.  The assets of the Catholic Community Foundation grow through sound investment policies and from additional gifts.  An endowment fund should not be confused with a capital fund, a reserve fund, or a special project fund, all of which generally allow expenditures of principle. 

How do endowments further the mission of parishes and schools?

As a parish grows spiritually and physically, its needs may exceed its financial means.  Fluctuations and short falls in offertory collections and school tuitions may lead to deferred maintenance of churches and school buildings, difficulty retaining good teachers, and other program cutbacks.  Endowments help stabilize income.  They help parishes, schools, and other Catholic organizations carry out the work of Christ.

Why would an individual, parish or parish school want to create an endowment fund?

A pastor or an individual donor may establish an endowment fund within the Catholic Community Foundation for the purpose of a specific parish, school, charity or other need.   There are two types of endowments – restricted and unrestricted.  An endowment may be established as a restricted gift for tuition assistance or a specific parish ministry.  Or, an endowment may be established as an unrestricted fund so that there are no stipulations for its specific use.  In other words, an unrestricted endowment will provide financial support for a diocesan program or project as determined by the Bishop and Chief Financial Officer of the Diocese.

How can I establish an endowment?

It is very simple to establish an endowment within the Catholic Community Foundation. Our planning services have no start-up costs and no annual management fee.  The minimum requirement to establish an endowment is $5,000. 

We will share with you the guidelines at a face-to-face meeting and together we will draw up a document that will specify your wishes and the interests of the Catholic Community Foundation. 

Your endowment will be listed in our annual report and promoted throughout the Diocese of Fort Wayne-South Bend.  You will also receive periodic reports on your endowment’s balance. 

Who manages the Catholic Community Foundation?

The Catholic Community Foundation is managed by a board of directors, supported by a board of advisors composed of clergy and lay people.  The advisory board’s main purpose is to ensure that the investments will provide reasonable growth while prudently safeguarding the principle.  A professional investment-consulting group, Slocum and Company, manages the investment assets of the Catholic Community Foundation.  Slocum and Company are investment evaluators who provide investment consulting and advice on all diocesan investment assets.  The diocese pays the fees for their financial management services, thereby exempting our donors, parishes, and schools from any management fees.

What are the advantages of investing in the Catholic Community Foundation?

The Catholic Community Foundation provides for the work of Christ throughout the Diocese of Fort Wayne-South Bend.  The interest on our investments supports the things you believe in, the work of the Catholic Church in our parishes and communities.

We are committed to building and maintaining trust with our donors.  Our reporting is transparent and the Catholic Community Foundation investment portfolio has a strong and stable record.   We are committed to being good stewards of these endowments created to carry on the work of Christ.

We invest and distribute funds in a manner consistent with the Church’s mission and teachings according to the social responsibility guidelines of the United State Conference of Catholic Bishops.

The Catholic Community Foundation is flexible because it gives the donor the ability to support many causes under our Catholic Community Foundation, as well as other charitable not-for-profits.  If you are considering establishing an endowment to support the work of your parish please contact us.  We offer resources and materials that will help with your discernment process.

There are many ways you can give to the Catholic Community Foundation. To find out more about the types of ministries and services that are financially supported through the Catholic Community Foundation, please contact us.

We encourage you to include others in the planning process such as your financial advisor, parish and school leaders, and family members.  To learn more about the creation of an endowment, please contact us.  Our materials and resources are offered to you free of charge, with no start up costs or annual fee.  Please be assured that we will keep all information completely confidential.

We invite you to meet with us when you are ready by simply clicking www.diocesefwsb.org or, by emailing us at stewardship@diocesefwsb.org or, giving us a call in Fort Wayne: (260) 399-1405, or South Bend: (574) 258-6571.

What is the Catholic Community Foundation of Northeast Indiana?

The Catholic Community Foundation of Northeast Indiana is a non-profit organization established to provide endowments for the Diocese of Fort Wayne-South Bend and its parishes, schools, agencies and organizations.  The Foundation was established in 1995.

What is the purpose of the Catholic Community Foundation of Northeast Indiana?

The purpose of the Foundation is to provide a means for individuals and organizations to support the spiritual, educational and charitable needs of the Catholic Church, with a long-term planned gift.  Through the establishment of individual endowments, the Foundation generates income for parishes, schools, agencies and organizations and helps sustain the long-term strength and viability of the Catholic community throughout northeast Indiana.

What is an endowment fund?

One aspect of our Catholic stewardship is to provide for future generations.  An endowment can accomplish that mission.  Unlike an offertory collection or annual appeal which are expendable, or immediately usable, an endowment is held in an investment fund set aside for the long-term support for the work of the Church.  The principal is preserved in perpetuity to provide future earnings for the benefit of a Catholic charitable cause.  The income earned can be used according to the donor’s intentions.

Can the principal of the endowment ever be invaded and used?

No, the principal includes the initial contribution given to create the endowment as well as all additional contributions to the endowment.  Endowments are permanent and therefore, principal can only be invested and the income used for the purposes in which the donor expresses.  However, there are special funds within the Catholic Community Foundation that have been established as “unrestricted,” because the donor intended the interest be used for the most pressing need.

What are the endowments established by the Legacy of Faith campaign?

In 2004, the Diocese of Fort Wayne-South Bend embarked on a grand effort to raise funds for endowments through the Legacy of Faith campaign in order to strengthen the work of the diocese.  Endowments for Catholic education, Hispanic ministries, and Catholic Charities have been established, are accounted for, and administered through the Catholic Community Foundation of Northeast Indiana. 

Are endowments only for diocesan-wide projects like the Legacy of Faith campaign?

No.  A donor may establish an endowment fund within the Catholic Community Foundation of Northeast Indiana for the purpose of a specific parish, school, or other Catholic ministries.  It may be a restricted gift for building maintenance or tuition assistance.  Or an unrestricted endowment fund, which has no stipulation for use, can be set up if the donor wishes to provide the greatest good to those Catholic organizations in greatest need.  The Foundation holds over 100 endowment funds for parishes, schools, and other ministries.

Who manages the Foundation?

The Foundation is managed by an Advisory Board of Directors comprised of clergy and lay persons.  The directors are leaders in their parishes and communities.  The financial statements of the Foundation are audited each year to ensure accuracy and accountability by a certified public accounting firm.  In addition, professional investment advisors manage and invest the assets of the Foundation.

How are the assets in the Catholic Community Foundation of Northeast Indiana invested?

In January of 2003, the Diocese hired Jeffrey Slocum and Associates, Inc. as an investment evaluator to provide investment consulting and advice on all Diocesan investment assets.  Based on their analysis, the Diocese switched from three custodians to one, Northern Trust, in early 2004.  In addition, a new statement of investment objectives and policies was created.  Now all assets including the assets of the Catholic Community Foundation of Northeast Indiana are pooled together with other Diocesan assets and allocated to various investment managers.  The Diocese and Catholic Community Foundation of Northeast Indiana strictly adhere to morally and socially responsible guidelines in accordance with those set forth by the U.S. Conference of Catholic Bishops.

How do endowments further the mission of one’s parish and school?

As a parish grows spiritually and physically, its needs may exceed its financial means.  Fluctuations and shortfalls in offertory collections and school tuition may lead to deferred maintenance of church and school buildings, inability to retain good teachers, and other program cutbacks. 

Endowments are a way to stabilize income for years to come.  Thus, they help parishes, schools, and other Catholic organizations continue to carry out the work of Christ.

How can endowments be funded

Funding an endowment can be achieved with current outright gifts of cash, securities or real estate from a donor or from capital campaign funds similar to Legacy of Faith.  However, the best way to grow an endowment is by way of a bequest – a gift left to an endowment in a donor’s will.  There are many other ways of leaving a “deffered gift” or a “planned gift,” such as: a charitable gift annuity, charitable remainder trust, retirement plan asset, life estate, or life insurance policy.  Planned giving is an effective way to fund an endowment.

Planned gifts can provide a wider number of benefits such as reduction or elimination of estate and inheritance taxes, income taxes, and capital gains taxes; continued use of property during the donor’s lifetime; and/or a lifetime stream of income.

How much money is necessary to start an endowment?

An initial minimum gift of $5,000 is required for an individual or for a Catholic parish, school, or agency to set up a separate endowment.  Donors have the option of naming the endowment in their family’s name or in memory of a loved one. 

Does the Foundation charge a fee for managing endowments?

Unlike corporate trustees/agents and many other foundations, the Catholic Community Foundation of Northeast Indiana charges no trustee, or administrative, fees.

Why would an individual or Catholic entity want to create an endowment fund?

An endowment can be the vehicle for an annual gift to continue each year to a parish even after the donor’s death.  For example, if a donor contributes $1,000 per year to his/her parish. The donor could create an endowment that would be funded with $20,000 principal and would pay out approximately 5% each year.  This would provide the parish with approximately $1,000 annually from this endowment to use as donor chooses – unrestricted or for a restricted purpose.

If the donor intended for his/her endowment to be used for a specific purpose, such as a scholarship fund for a Catholic school.  The same $20,000 contributed initially, could provide approximately $1,000 for tuition assistance for a student attending that school.  

What are the steps to establishing an endowment fund with the Catholic Community Foundation?

• The donor, parish, school or agency would contact the Catholic Community Foundation at stewardship@diocesefwsb.org or call fort Wayne: (260) 399-1405 or South Bend: (574) 258-6571 and advise that you would like to establish an endowment.  
• After finding out the necessary information from the donor, the Foundation will draft an Endowment Fund Donation Offering Agreement and send it for review and completion.
• The appropriate person (such as the pastor or donor) signs the Agreement and returns it to the Foundation.  A representative of the Catholic Community Foundation will sign the Agreement and return a copy to the pastor or donor.
• The initial gift ($5,000 or more) to the new endowment can be sent in with the signed Endowment Fund Donation Offering Agreement or can come later.