Parish A
Parish B
Original Gift
$150,000.00
$150,000.00
Amt. Invested in Endowment (25% of gift)
----
$37,500.00
Amount spent on maintenance/improvements:
Upon receipt of gift
$150,000.00
$112,500.00
Year 1
----
1,875.00
Year 2
----
1,931.25
Year 3
----
1,989.19
Year 4
----
2,048.86
Year 5
----
2,110.33
Year 6
----
2,173.64
Year 7
----
2,238.85
Year 8
----
2,306.01
Year 9
----
2,375.19
Year 10
----
2,446.45
Total spent on maintenance/improvements over 10 years
$150,000.00
$133,994.77
Remaining balance of gift, end of year 10
$0
$50,396.86


By placing a portion of the original gift amount into an endowment fund, Parish "B" will be able to continue to draw funds from the endowment to meet its needs while allowing the principal amount to continue to increase in value. For more information about endowment funds, contact Tom Thieken, Director of Planned Giving, at 602-354-2401 or tthieken@ccfphx.org.

Assumptions: This example is based on an average annual return of 8% and a withdrawal of 5% of the principal balance each year.

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