Endowments and Planned Gifts: What and Why?

* Alleviate management burdens. Some donors, particularly as they become older, are uneasy with managing their assets and making investment decisions. A split-interest gift enables the donor to receive regular income for life without the burden or cost of managing investments.

* Permit additions at a later time. An endowment fund can be added to later. The donor, or the donor’s friends and family, can add to a named fund from time to time by simply identifying the fund as the object of the gift. It makes a handy vehicle for people, especially family members, who wish to make meaningful gifts to people who already have enough “stuff.”