Endowments & Estate Giving

The skilled labor shortage will not end soon. It will take years—if not decades—to see a change in the manufacturing workforce. It is the mission of Nuts, Bolts & Thingamajigs to make that day come sooner, rather than later. If you believe in the work of the NBT Foundation, and if you desire to leave a legacy for those who follow you, consider setting up an endowment or leaving a charitable gift to NBT in your will or estate plan.

Endowment

An endowment is a donation to the Foundation in which the principal gift cannot be spent but the earnings can. It is a permanently-restricted fund in which the principal is invested and a portion of the generated earnings are distributed annually for the purpose of funding a scholarship or camp grant in perpetuity. You may designate the fund in your own name or as a tribute to a friend, loved one or mentor. A permanent endowment is a permanent tribute.

How do endowments work?

Endowments work so well because they preserve, rather than spend, the principal gift. NBT guidelines require a minimum of $50,000 to establish an endowment. Once funded, it pays out the interest generated to award annual scholarships or grants in perpetuity.

What kind of scholarship award or camp grant will my endowment fund support?

NBT awards scholarships to students preparing for a career in manufacturing. The funding supports technical and advanced education at community/ technical colleges and four-year universities where people learn real-world, practical skills. In developing the terms of your endowment, you can decide if you would like to support students exclusively from your community, regionally or nationwide. Perhaps you wish to focus on a specific area of study or skilled trade. The choice is yours.

The Foundation also awards grants annually to trade schools and community/ technical colleges capable of hosting a summer manufacturing camp program for girls and/or boys ages 12-16. Summer camps have been a successful way of introducing middle- and high-school students to the fascinating, high-tech career choices available to them in today’s manufacturing industry. NBT has found that by reaching students at a younger age, we can have a greater influence in their perceptions and desire to pursue a manufacturing career. You can direct your endowment to support a camp in your city/state, one that is geared to a specific demographic (girls only, low-income, etc.), or one that focuses on a particular skill like welding.

Whether your endowment supports a scholarship or a manufacturing camp grant, you can rest assured that your contribution will make a lasting impact on the manufacturing industry and the success of its future workforce.

Estate Giving

Another way to help NBT in its efforts to narrow the skills gap is to designate NBT as a percentage (1 to 100 percent) beneficiary of your IRA or other retirement plan assets. When you leave a portion of your retirement plan assets to the foundation, you can protect your family members from heavy taxes and get the most value from your retirement savings.

You may also consider naming NBT as the primary beneficiary in a life insurance policy if the purpose of the policy no longer applies as in the education of your children who are now adults. All of these are simple ways to ensure that your legacy lives on!

When you decide to give an estate gift or create an endowment, the staff at the Foundation will work with you to develop a formal agreement of your intent and outline your gift or endowment’s purpose. Your gift will then be consolidated with FMA’s endowment, a professionally managed and diversified investment fund. Pooling gifts like this allows for greater diversification and, thus, better long-term returns.

If I have questions, how can I learn more?

If you are interested in establishing a named endowment fund or estate giving, please contact Jim Warren, Executive Director – Member Services, Education, and Foundation, at (815) 227-8213.