Branch church and society trusts
Branch Church Trusts with The Mother Church
Since 1926, Church Manual-based organizations of The Mother Church, such as Christian Science Branch Churches, Societies and Associations, have established trusts with The Mother Church. Establishing a trust is a way of creating an ultimate gift to the Church, while at the same time receiving net income from the trust for use by the Church or Association during its lifetime.
- Opportunity: Establishing a trust of this nature creates an opportunity for Branch Churches, Societies and Associations to provide for an ultimate gift to The Mother Church directed to either the General Fund or to The Mother Church Endowment Fund, for the future support of the Cause.
- Wisdom: The Branch Church, Society or Association considering such a trust agreement should wisely plan for using only long-term assets to fund this type of trust. They should be certain that their annual and daily needs are provided for before establishing this irrevocable trust.
- Irrevocable: The trust arrangements are irrevocable and cannot be amended, which emphasizes the gift nature of the arrangements. However, a special withdrawal provision has been established for Associations (see below “Payment of funds”).
- Funding and asset allocation: The funding minimum for a Branch, Society or Association trust may vary depending on circumstances, but is generally $10,000 US. These types of trusts are typically invested in a growth-oriented asset allocation.
- Type of trust: The trust is a net income trust, meaning that the income paid to the Branch, Society or Association on a quarterly basis will be the lesser of the net income and 5% of the fair market value of the trust as valued on the first of each calendar year.
- Payment of funds: The Branch Church, Society or Association will receive the net income from the trust each year. Additionally, upon an Association Teacher’s passing, a limited annual distribution from principal will be allowed. The trust provides a simple distribution process to The Mother Church at the Branch, Society or Association’s disbanding.
- Additions: Additions to the trust are possible at any time. Many Branches, Societies and Associations with this type of trust decide to reinvest the income back into the trust to grow the principal, and magnify the ultimate gift to the Church.
- Payment frequency: Once the trust is established, payments are made quarterly and must be made through electronic means.
Each year the Branch, Society or Association with a trust will receive:
- Quarterly account statement and notification of payment
- Annual account statement
We welcome inquiries at any time. Please contact us by email at firstname.lastname@example.org or by phone at 800-288-7155 ext. 3288.