Your church receives 13 statements each year for each account:
A monthly statement, usually mailed the first business day of the month;
An annual statement, usually mailed in the first 10 days of January showing all of the activity for the previous month.
What are the various entries in the statement?
Beginning Balance: Value of the account on the first day of the month (or year for annual statement)
Contributions: Deposits you made into your account
Distributions: Withdrawals you made from your account
Transfers In/Out: Funds moved from one of your accounts with the Foundation to another of your funds
Gross Income: Funds earned by your investments, primarily interest, but it could also be things such as dividends
Appreciation/Depreciation: Stocks and bonds are both traded in the financial markets. When the value of the investment increases (the value of Coca Cola stock goes up) this is appreciation. When the value goes down, this is depreciation
Management Fees: The Foundation charges 0.8% each year. Each month we charge 1/12 of this amount. The actual calculation is the beginning balance multiplied by 0.00667. For example a fund with $100,000 pays an annual fee of $800 or $66.67 per month
Ending Balance: The value of your fund at the end of the month (or year), after completing all of the above calculations
Calculating what your account made:
The actual performance of your account can be determined by adding the Gross Income and the Appreciation/Depreciation. A calculation of net performance can be made by subtracting the Management Fees.
Between the mailing address and the transaction table is a block with account information:
The first line is the name you gave to your fund
The second includes your account number. The digits are your GCFA Church Number, followed by a letter. If you have one account with us, it probably is the letter “a” Subsequent accounts will be assigned another letter.
Following the account number is a two digit number, which indicates in which fund that account is invested.
02 Fixed Income
05 Equity Fund