Endowment Fund
The Investment That Brings Dreams To Life
As needs in our community continue to increase, it is crucial that there be a steady source of operating funds for the vital work of UCP’s programs. To ensure this stability, an Endowment Fund for UCP was begun in 1989. The UCP Endowment Fund is open to contributions at any time in any amount. Please read on to learn about the Endowment Fund and how your contribution to it will benefit our community.
What is an Endowment?
A nest egg. It is a fund where the principal is never withdrawn and spent, but invested perpetually to produce income forever for UCP.
Why does UCP need an Endowment?
To guarantee the continuity of the work of UCP. When other sources of income fluctuate, as they always will, the Endowment Fund will remain as a perpetual base of financial security.
How will the income from the Endowment Fund be spent?
Income from the Endowment Fund continues to be an important resource for the operation of all programs of UCP.
What kinds of contributions will the Endowment Fund accept?
Contributions of outright cash as well as a variety of other kinds of gifts that can be readily liquidated. You may give real estate, appreciated securities, or life insurance policies, and you may give these gifts now or through some deferred mechanism such as a clause in your will. Gifts should be directed to the UCP Foundation of San Diego County Endowment Fund.
How can I benefit from a contribution to the UCP Endowment Fund?
In many ways. Apart from the personal satisfaction your gift will undoubtedly bring to you, there can be considerable tax savings in both the income, gift, and estate tax areas as well. In addition, there are ways to create an income flow for yourself now by making a gift to the Endowment Fund.
"The greatest thing this generation can do is lay a few stepping stones for the next generation."
Ways To Give To The UCP Endowment Fund
Outright Gifts
Outright gifts of cash are always welcome. In addition, gifts of appreciated property such as real estate and securities are excellent ways to give to the Endowment Fund and may enable you to avoid capital gains taxes.
Deferred Gifts
Deferred gifts are those which you can arrange now to become part of the Endowment upon your death, memorializing forever your concern for our community.
Some examples are:
Bequest
Gifts by will, both large and small, are an exceptional way to perpetuate your interests. You may leave cash, securities, or other property, and the gift may be fully deducted in figuring estate taxes.
Life Insurance Gift
Gifts through life insurance are a cost effective way to make a large future contribution at a relatively small present cost. You may take out a new policy naming the Endowment Fund as owner and beneficiary, or you may assign an existing policy that you no longer need. The cash surrender value at the time of transfer and any subsequent premium payment you make will be a tax deductible contribution.
Charitable Remainder Trust
You may establish an individually created and managed trust that pays income to you or another person for life and benefits the Endowment Fund with assets remaining at your death. Lifetime payments may be arranged at a fixed amount or at an amount that varies with investment results.
Life Estate Agreement
You may give a personal residence, summer home, or ranch to the Endowment Fund through a life estate agreement with UCP. Under this arrangement, you deed your property to UCP now, but you retain the right to use the property as you wish until your death. There may be immediate income tax benefits as well as future estate tax savings depending upon your individual circumstances. There are many possibilities and variations in a mutually beneficial partnership between you and the UCP Endowment Fund.
Learn More About The Endowment Fund
Please contact Executive Director David Carucci for more information. Call (858) 571-7803 or email dcarucci@ucpsd.org.
As the above discussion does not cover all possibilities, we recommend that you consult your attorney and tax advisor regarding your personal return.
The Tax Cuts and Jobs Act from 2018 still allows certain benfits for donors, including Qualified Charitable Distribution from an IRA, donating highly appreciated stock, grouping donations, and donor advised funds.
You can learn more about the Endowment Program by contacting Executive Director David Carucci at (858) 571-7803 or dcarucci@ucpsd.org
