Pooled Income Fund
A pooled income fund is a charitable trust that pools the gifts of donors for investment. Donors, or persons named by donors, receive a proportional share of the trust's income. After the lifetime of the income recipient, a residual gift amount is withdrawn from the trust to support the designated Presbyterian mission entity selected by the donor.
Income varies quarterly with the trust's investment performance. Pooled Income Fund "Omega" seeks to provide a reasonable long-term growth of principal and income. Pooled Income Fund "A" seeks to provide high current income, conserving nominal principal.
To view the Administrative Plan for Pooled Income Fund "Omega," click here.
To view the Administrative Plan for Pooled Income Fund "A," click here.
What are the benefits?
Example of Pooled Income Fund Benefits
Income for life of one, two, or more than two persons
Simplicity of participating in an existing trust
Residual value of gift supports Church's mission
Potential tax savings from income tax deduction allowed, capital gain avoided, and estate deduction
You and your spouse, both age 70, make a gift of long-term appreciated stock with a value of $10,000 to the pooled income fund Omega. If the pooled income fund earns income at a rate of 2%, the annual income you receive from the Fund will be $200. The charitable portion of your gift will be $6,700. * If your marginal income tax bracket is 25%, you receive a potential tax savings of $1,675. In addition, tax on the 100% of the stock’s unrealized capital gain will be avoided.
*Based on calculations at the time of publication and subject to change. The charitable portion of your gift will be determined as of the gift date.