Massachusetts Public Library Trustees Handbook

Annual Fund Drive-Raising of funds on a yearly basis through such activities as telephone solicitation, direct mail, special events and/or selling donated items, for the purpose of augmenting operating costs.

Beneficiary-One who receives income from a trust; also one who benefits from the actions of another, such as being named a beneficiary in a will or life insurance policy.

Bequest-A gift made through a will of personal and/or real property (such as cash, land, securities or other assets of value).

Bequest Form-Suggested language to be considered by attorneys in drafting a will clause creating a legacy.

Capital Campaign/Fund Drive-A fundraising program to support capital projects such as technology, library renovations/additions or new buildings.

Deferred Giving Program-An organized effort to encourage long term commitments through such deferred gifts as trusts, bequests, and life insurance.

Donor Financial Planning-The effort to improve results in obtaining philanthropic support from individuals by presenting programs and proposals based on sound estate planning principles.

Endowment Campaign-A campaign to obtain funds specifically to establish or supplement an institution's endowment fund.

Endowment Fund-A permanent fund which has been established to produce income (restricted or unrestricted) to supplement a charitable institution's budget.

Estate-The total assets of a deceased person.

Foundation-The purpose of a library foundation is to receive money, particularly large sums, charitable trusts and bequests. The money is invested and the proceeds go to the library each year.

Legacy-A gift of personal property by will.

Philanthropy-The philosophy and practice of supporting charitable institutions through financial or other contributions.

Planned Giving-The application of sound financial and estate planning concepts to one's plans for lifetime and testamentary giving.

Spending Policy-The percentage of endowment assets which will be spent in each annual period.

Trust-A set of instructions left to a trustee with management authority over the trust property (also called the principal or capital) which is to be managed for the benefit of a named beneficiary.

Will-A document which becomes effective at death and which outlines a person's wishes as to the disposition of his/her property.