Calvary Reformed Church Foundation
Helping to fund the Lord's work through giving for specific causes.
I Timothy 6:18-19
"Let them do good that they be rich in good works, ready to give, willing to share, storing up for themselves a good foundation for the time to come that they may lay hold of eternal life."
What is the Calvary Reformed Church Foundation?
The Calvary Reformed Church Foundation is a tax-exempt corporation formed to support the ministry of the Calvary Reformed Church of Ripon, California. It's purpose is to provide a vehicle for the friends of Calvary to support the church in special ways right now and to remember the church in special ways right now and to remember the church in their wills, trusts, and memorials. Through the Foundation, they can be assured that such funds will be administered for the benefit of Calvary Reformed Church programs, but separate from the annual operating budget.
Why was the Foundation established and for what purpose?
Following a Wills and Trusts seminar, the law firm who met with many of our people, informed the Consistory that there are many Calvary members who have a real heart for the church and that a number of people would like to give significant gifts if they can do so without hurting the church.
How can giving gifts directly to the church ever hurt the church?
Significantly larger gift amounts suddenly given to the General Fund can give the membership the impression that the church no longer needs their support. Whatever we cease to support also becomes less important to us. Jesus said, "Wherever your treasure is there will your heart be also." A church should always need the gifts, talents and financial support of every member.
Are there any other benefits for larger gifts going to a Foundation?
Yes, the Foundation members, acting as a separate support corporation for the church, will see that gifts are kept separate from other church funds and used only for their designated purposes. The giver may want to have his or her gift used only for what is dear to his or her heart and this can be accomplished through the Foundation. The list of ides for funding is endless.
Who will make the decisions on the Foundation's expenditures?
The foundation is governed by a Board of eight Directors appointed by the Calvary Reformed Church Consistory. There are three permanent Board Members and the remaining five serve staggered terms. Additional members include the Senior Pastor, who serves as an ex-officio board member, and a financial consultant.
If a gift is given for future church needs, so the money is not used immediately, how will the money be invested?
The Board of Directors will make the decisions on how best to safely invest the funds. Any such investments will be made on a conservative basis with organizations which follow practices that are not in conflict with Biblical principles.
If you have already remembered the church in your will, do you need to change it?
No. The Foundation has been established as an alternative for people who would rather leave their money to a separate entity which will emphasize capital needs and other areas of support not normally included in the church's annual operating budget. If you have named the church in your will, the Consistory will also diligently honor how such funds are used if the donor has indicated a specific desire.
Is the Foundation prepared to handle more complex giving?
Yes. Relationships have been established with professional consultants who are available to help with more complex estate matters such as charitable gift annuities, charitable remainder trusts and other options.
Can the Foundation be named as the beneficiary of a life insurance policy?
Yes. Naming the Calvary Reformed Church Foundation as a beneficiary of a life insurance policy could produce desirable estate and income tax advantage.
Can the Foundation accept gifts of securities or real estate?
Yes. Many people have discovered the tax advantage of contributing appreciated securities or real estate to tax exempt organizations and the Calvary Reformed Church Foundation is prepared to handle such gifts. Also, in estate planning, it is sometimes beneficial to name charities as direct beneficiaries of IRA or Keogh plans. The Foundation can and is also prepared to receive those gifts.
Will the money that is left at the Foundation avoid taxation in one's estate?
Yes. The Calvary Reformed Church Foundation is a tax exempt organization under section 501 (c) (3) of the Internal Revenue Code and amounts left to it will not be included in your taxable estate.
Is the Foundation mainly designed for estates of wealthy people?
No. It is designed to be of assistance in helping people think through and plan the distribution of assets remaining when your life on earth has ended. We will have estates - some large and some small - and the Calvary Reformed Church Foundation can be used to transfer a percentage of what remains at death to further God's work in the local church. Of course, large estates benefit more from the tax aspects of bequests to tax exempt organizations, but that is not the main reason the Foundation was formed. It is the commitment - no the gift - that is important.
Some Different Types of Charitable Gifts:
Purely Charitable Gift:
The charity has sole control of the gift will be used.
A Charitable gift that allows you to maintain the right to receive an interest
income from the assets during your lifetime.
Charitable Gift Annuities:
A contract between you and a charity. For your contribution of cash or other property to the charity, the charity promises to make an annual payment to you for your lifetime or the lifetime of your beneficiary.
Pooled Income Funds (PIF):
A pooled income fund is a fund mainland by a charity to receive gifts from many donors. All gifts are held in a single pool for investment purposes and each year contributors receive their pro-rata share of the fund's net income (These payments are fully subject to income tax).
Gift of Life Insurance Policy:
Transferring the ownership of a policy to the charity as the sole beneficiary.
Charitable Remainder Trusts:
A Charitable remainder trust is an irrevocable trust designed to provide an interest income for the giver's life.
To download a Foundation brochure, click here.