One of the most important decisions a church makes is determining which Kingdom ministries it will bless through its end-of-life generosity.
What should your church consider when naming its Church Trust beneficiaries?
- Church Planting ministries;
- International missions your congregation has historically supported;
- Domestic missions your congregation has historically supported;
- Christian Colleges, Universities, and Campus Ministries;
- Benevolence Organizations (including the Kairos Benevolence Fund);
To comply with IRS regulations, all Church Trust beneficiaries must be recognized as 501(c)(3) organizations (private inurement is specifically prohibited).
How should your church determine appropriate amounts for each beneficiary?
- Smaller dollar amounts can be specifically designated to a beneficiary (generally $5,000 or less);
- Larger dollar amounts should be determined by designating a percentage of the trust proceeds for each beneficiary;
- We encourage you to limit the number of designated beneficiaries so that the amount received by each significantly blesses their ministry.
What happens if a specific beneficiary is no longer in active ministry when your Church Trust proceeds are distributed?
As Trustee, Kairos has the responsibility to determine a successor beneficiary most in-line with the purpose of the beneficiary originally designated by the Church Trust.