What is an Endowment?

An endowment is a gift of money or assets invested to generate income for a nonprofit’s charitable work. Endowments are designed to provide a reliable, long-term source of income. The original gift(s) are permanently restricted and invested. Using an endowment spending policy, a portion of the growth is granted back to the charity to use for their mission work as often as annually.


Questions?

We’re here to help!

Interested in starting an endowment fund? We make it easy!



Mandi Olson
President/CEO
molson@winonacf.org
(507) 454 – 6511



Wondering how this type of fund might make an impact? Here is one example:

A retirement account is donated to the Winona Community Foundation with a value of $100,000. The Board of Directors establishes an endowment fund with this gift. This fund is invested and grown, while earnings are distributed annually based on the Foundation’s endowment spending policy.

Original Gift (tax-free): $100,000

Year 1:

  • Total earnings: $7,500 (based on 7.5% return)
  • Distribution available: $5,000
  • Value of Fund after distribution: $102,500

Year 5:

  • Total earnings: $39,000+
  • Total distributions: $26,000+
  • Value of Fund after distributions: $113,000
Who do the distributions benefit?
  • If there is a specific cause you care about, earnings could be donated to that charity year after year.
  • If you want to contribute to a more flexible program, the earnings could go into the competitive Community Grant program of the Foundation.
Examples at the Winona Community Foundation:
  • A quasi-endowment fund where the first $5,000 of earnings is given to a local charity and any remaining earnings go to the Community Grant Program
  • A quasi-endowment with a specific purpose (childhood literacy)
  • An endowment fund where heirs direct the earnings from year to year to a charity of their choice
  • A spend-down fund where $10,000 is directed toward the Community Grant program until the funds are depleted (this fund is estimated to last 20 years)

The information provided is intended for illustrative purposes only and are not guaranteed. The illustration should not be relied upon nor deemed as endowment fund advice. The investment projections, outcomes and other information are hypothetical in nature, are based on community foundation investment goals and policies, and do not reflect actual investment results. Results may vary with each use and over time, and they are not guarantees of future results.


Leaving a Lasting Legacy in Winona: Real Stories

Portrait of Ramona Jezewski

Ramona L. Jezewski

Ramona L. (Ladewig) Jezewski English lived a lifetime in the Winona area yet traveled widely, leaving her mark not only on people in Winona, but all around the world. Because of a gift designated in her will to the Winona Community Foundation, she will be giving back to Winona, and the people she loved, far beyond her lifetime.

Photos of Wilmer and Beverly Larson

Wilmer & Beverly Larson

In 2012, the Winona Community Foundation was informed that they were named a beneficiary of the Wilmer L. Larson and Beverly A. Larson last will and testament. Because of this gift, the Foundation was able to reestablish the Community Grant program. Through a quasi-endowment, this fund has infused $297,500 into the Foundation’s Community Grant Program and still has about $100,000 left!

Portrait of Carol Orlowske

Carol A. Orlowske

In 2023, the Foundation was honored to receive an unexpected estate gift of $246,000 from Carol A. Orlowske, a lifelong Winona resident, former board member of the Foundation, and a dedicated professional at WNB Financial’s Trust Department. The Carol A. Orlowske Endowed Fund was established, with the annual proceeds dedicated to supporting the Community Grant Program in perpetuity. For 2025 alone, this fund will contribute an additional $13,200 to support local nonprofits – and continue to support this cause, forever.

portrait of Donna Helble

Donna Helble

As part of her will, Donna made a specific gift to the Winona Community Foundation with the direction to establish a special interest fund for promoting literacy of youth in Winona. Donna is no longer with us, but her passion for education and literacy will live on through her generous gift. The Foundation will carry her torch forward and continue to promote children’s literacy in Winona by awarding grants through this fund.


About the Winona Community Foundation

The Winona Community Foundation is a catalyst for igniting generosity and building the vibrant and enduring place we call home. We offer a range of charitable options and funds for individuals, families, businesses, and nonprofits to accomplish their philanthropic goals. We make it easy to give to the causes you love – whether today or beyond your lifetime. Contact us today to make your impact on the causes you care about in our community.