GRACE LUTHERAN CHURCH
FOUNDATION NEWS
Caring for the Ministry of Grace: "Ecclesia Perpetua"
May 2003

Board of Directors
Larry Burt
President
Karen Guzman
Treasurer
Michael Beachley
Secretary
Hal Dick
Director
John King
Director
Carolyn Warloe
Director
Jeffrey Beck
Director
Rev. Dan Hallgrimson
Ex-Officio
Jack Davis
Ex-Officio
Joy Linn
Administrative Asst.

The Grace Lutheran
Church Foundation is
a professionally
managed corporate
nonprofit foundation
established by Grace
Lutheran Church,
Corvallis, Oregon.
FIVE WAYS A GIFT ANNUITY CAN BENEFIT YOU
Have you considered the benefits of obtaining a charitable gift annuity through the ELCA? Here are five points to ponder:
1.     Attractive Rates. Mr. and Mrs. Luther, in their mid-80's, are receiving a modest income from their Certificates of Deposit. When the CD matures in two months they plan to obtain a gift annuity which will raise their return from just over 2% to over 8%.
    Gift annuity rates are very attractive for older members. You can receive as much as 12% for a single life annuity. Many folks in their retirement years will be pleased when they compare their low investment rates with the current annuity rates offered by our church.
2.     Tax-free Payments. Part of each annuity payment is tax-free. For example, Mrs. Martin, age 82, contributed a check for $25,000 toward a gift annuity. Each year she will receive $2,350 (9.4 percent). Of this amount, $1, 762.50 will be tax-free as it is considered "return of principal" and will continue through her life expectancy.
3.     Income Tax Deduction. Because a charitable gift annuity is partly a gift and partly an investment in an annuity contract, the donor who itemizes is entitled to an income tax deduction for the gift portion of his or her annuity amount.
    In the case of Mrs. Martin mentioned earlier, her $25,000 gift annuity produced a charitable tax deduction of $11,068. The deduction is available for the tax year when the annuity is established. If it cannot be used entirely, the donor has up to five years to carry forward the unused amount. The tax advantages with the charitable deduction make the effective rate of the gift annuity even higher than the rate used to establish the annuity.
4.     Fixed, Regular Payments. It's nice to be able to count on a specific amount of payment no matter what happens to the financial markets. Your annuity payments will remain the same every year. And since gift annuity payments are backed by the full assets of the ELCA Foundation, you have the assurance that your check will be in the mail or direct deposited every payment date for the rest of your life.
5.     Personal Satisfaction. Perhaps the greatest benefit is the personal fulfillment of knowing that you have made a commitment to the ministry of your choice.

   You owe it to yourself to find out more about charitable gift annuities. For more information, contact a Board member or Dr. Patricia Larsen at the Synod Office (503) 413-1405).

 
In Service to the Ministry of Christ's Church

Year-to-Date Financial Report - March 2003
Year-to-Date Growth Before Expenditures
Personal Contributions $1,295.00
Earnings $2,172.48
Rental Property Income (1) $2,850.00
Variance: Trust Fund Mkt Value (2) ($6,568.37)

Total Growth

($250.89)
Assets Composition on 03/31/03 (3)
Ronnenkamp Fund $438,947.19
Designated Endowments $60,269.71
Designated Funds $16,555.61
Cash in Property Account (4) $0
Cash Accounts $10,562.90

Trust Fund Sub-Total

$526,335.41
Rental Property $90,250.00

Assets Total

$616,585.41
Foundation Expenditures
CPA Review $0.00
Annual Corporate Fees $20.00
Trust Fund Fees $416.77
Jeanne Smith & Associates $0.00
Administrative Assistant $140.02
Supplies $17.36
Projects Funded $125.16

Expenditures Sub-Total

$719.31
Rental Property Management Fees $285.00
Maintenance & Cleaning $108.68
Landscape $120.00
Water/Sewer (tenant reimburse) ($31.78)
City of Corv. Rental Property Fee $0.00
Property Taxes $0.00

Rental Property Sub-Total

$481.90

Total Expenditures

$1,201.21
Projects Funded/Pending in 2003
Footsteps in Faith $100.00
Lending Library Books $52.29
Van Fund (close out) $125.16
Pastor Continuing Education $1,000.00

Total Projects

$1,277.45
(1)   Rental Income includes $300 non-refundable tenant fee.
(2)   On 12/31/02 the market value was $139,785.64 below book value. On 03/31/03 the market value was $143,150.81 below book value.
. . . . . . . . . . . . . . . . . . continued in next column...

The Board of Directors acknowledges the generosity
of the following people for donations:
In December 2002
Elsa Moeller, Corvallis, OR
Olaf Paasche, Corvallis, OR
To the Brian Smith Fund
Dale and Lesley Zerull, Corvallis, OR
In Memory of Paul Weswig
Charles and Lynetta Weswig, Portland, OR
In Memory of Rod Mesecar
Phyllis Mesecar, Corvallis, OR
In January 2003
To the Brian Smith Fund
Robert and Phyllis Smith, Gladwin, MI
In Memory of Rod Mesecar
Hazel Shade, Woodburn, OR
In Memory of Louis Ramus
Donald and Shirley Clark, Silverton, OR
Robert and Marcie Anderson, Corvallis, OR
In February 2003
Larry and Donna Blus, Corvallis, OR
In Memory of Louis Ramus
Ken and Pat Johnson, Beaverton, OR
Our thanks to Dr. Patricia Larsen,
Director, Oregon Synod Endowment Fund,
for submitting the article in this newsletter.
...continued from previous column
(3)   Amounts listed represent book values rather than market values. Note that $474,694.92 of Trust Fund sub-total is restricted endowments that must be maintained as principal.
(4)   Cash in property account does not include $100 minimum required balance.

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