Endowment (én-dou’ment) n.
An asset donated to a nonprofit organization that is invested and produces perpetual income.
- Seeds of Change Endowment -
The Three Rivers Community Foundation works on behalf of grassroots organizations throughout southwestern Pennsylvania to support their efforts to further social justice and make change in their communities – now and far into the future. We promote activism and collaboration on progressive social change as a way to create a more level playing field for all, and thereby to improve the quality of life in this region.
Our grantmaking endowment exists to increase – permanently and progressively – the impact of our work on behalf of grassroots organizations working for change, while simplifying the process of private philanthropy for our donors, and providing them with the maximum tax advantage. Only the annual interest from the endowment is used for grantmaking, while the principal remains invested in perpetuity. Any unused interest is re-invested in the endowment to increase the principal.
TRCF is currently conducting a campaign to increase the corpus of this grantmaking endowment to $1.5 million, which will enable our Foundation to create even more change through additional grants in our southwestern Pennsylvania region. Gifts of any size to our grantmaking endowment are gratefully welcomed. In addition, for a contribution of $5,000 or more, endowment donors can designate a specific interest area for any fund (named or otherwise) that they establish at TRCF.
- Operating Endowment -
In 2010, TRCF’s 20th anniversary, the Foundation established a modest operating endowment from the proceeds of its 20th Anniversary Celebration and Champions of Change Awards event.
Through the years ahead, TRCF will add to the corpus of this endowment, as the Foundation’s finances permit.
An operating endowment is particularly important in today’s nonprofit world, since only a small percentage of grantmakers provide grants for general operating support. The TRCF operating endowment will help to relieve some of the pressure of annual fundraising from the staff, freeing a portion of their time and energies to further the social justice and change mission of the Foundation. This endowment will also strengthen the Foundation’s economic position and serve as a hedge against inflation and a resource to address unforeseen emergencies or economic downturns.
As with the TRCF Grantmaking Endowment, only the yearly interest from the operating endowment will be used for annual operations, while the principal remains invested in perpetuity. Any unused interest will be re-invested in the endowment to increase the principal.
We welcome the tax-deductible contributions of our friends and supporters to this small, but growing endowment fund.