Understanding the Prepared by Dennis Koch NEC Foundation

Understanding the Prepared by Dennis Koch, NEC Foundation Vice President

Mission • To provide financial resources for The National Exchange Club’s Programs of Service and its National Project, the prevention of child abuse.

501 (c)(3) Organization Tax Exempt and Tax Deductible

History – 47 Years • 1966 • 1979 • 1999 National Exchange Club Educational Foundation (Original) The National Exchange Club Foundation for the Prevention of Child Abuse (2 nd) National Exchange Club Foundation (NEC Foundation) • Merged & combined two previous entities • 2012 Child Abuse Prevention (CAP) program moved to The National Exchange Club • NEC Foundation continues to support the CAP program • The NEC Foundation is now strictly fundraising

Who Runs the Foundation? • Overseen by the Board of Trustees

NEC Foundation Serves Exchange Clubs

NEC Foundation Serves Exchange Club Child Abuse Prevention (CAP) Centers

NEC Foundation Serves Freedom Shrines

NEC Foundation Serves Healing Fields

What does the NEC Foundation support? • Provides support to all Programs of Service • Americanism • “One Nation Under God” brochures (NEC Foundation provides up to 100 free per club, per fiscal year) • Community Service • Youth Recognition • Youth of the Year Scholarships – $10, 000 annually • Accepting the Challenge of Excellence (A. C. E. ) Scholarships – $10, 000 annually (NEC Foundation also provides travel expenses for award winners and their chaperones) • Disaster Relief • Hurricane Sandy • Oklahoma tornadoes • Upon request

What does the NEC Foundation support? Provides support to Exchange’s National Project - the prevention of child abuse for: • Annual Symposium for Exchange Club CAP Center staff and boards • Travel expense scholarships are provided to each center to attend the Annual CAP Symposium • New Director Orientation • CAP-related publications • • Child Abuse – There is an Answer brochure Believe in the Blue materials Fetal Alcohol Syndrome brochure Learn the Crying Code brochure

What can the NEC Foundation do locally? Local Exchange Club use of 501 (c)(3) Certificate • Passthrough Grants for Clubs • A club’s donor gifts can “flow-thru” the NEC Foundation (and back to the club), resulting in a tax deductible gift for the donor • Support numerous projects in various local communities • Public Service Announcements (PSAs) and billboard donations

How much support does the NEC Foundation provide? • More than $300, 000 in direct charitable support is provided each year to Exchange’s Programs of Service and the National Project, the prevention of child abuse. • Another $200, 000 is provided to Exchange services. • With additional donations, greater NEC Foundation distributions will be possible.

How is the NEC Foundation Supported? • Dues - $10 of every member’s annual dues are designated to help support the NEC Foundation’s Mission. • Annual Campaign – A year-end mailing gives members the opportunity to make a tax-deductible year-end-gift. • Tribute Gifts – “In Honor of” or “In Memory of” gifts throughout the year • Ocean Campaign – Encourages small, individual giving at each club meeting. • Campaign for Kids – Clubs are given the opportunity to host a special project or make a direct donation to support Exchange’s CAP program and Exchange Club CAP Centers, fund the Youth of the Year and A. C. E. Scholarships. • Endowment Income – A portion of the investment income from funds donated to the Endowment provides additional annual support.

Special Opportunities • Berkey Fellowship – Named in honor of Exchange’s founder, Charles Berkey, this unique group of men and women have chosen to support the NEC Foundation with a gift of $1, 000 in the fiscal year. Fellows attending Exchange’s National Convention are invited to a dinner in their honor. • Heritage Society – Membership is reserved for those who have informed NEC Foundation that they have included the foundation in their estate plans. Members in attendance at Exchange’s National Convention are invited to an exclusive breakfast.

What can I give? • Cash, Check, or Credit/Debit Card • Retirement Account Funds • May be particularly attractive to those 70 ½ and older • Take mandated withdrawals and avoid taxes • Insurance Policies • Securities (stocks & bonds) • Highly appreciated ones may have significant tax savings • Full Value of Gift is Tax Deductible • Avoid Capital Gains Tax • Real Estate

What are my options? • Endowment – Endowment principle is never spent; the funds are invested and the NEC Foundation receives a percentage of the earnings each year as unrestricted support … in perpetuity (forever) • Where needed most (Unrestricted) – these monies can be used wherever needed: programs, operations, fundraising, donor recognition, etc.

Donor options (continued) • Restricted – you may restrict your donation to: • Americanism • Community Service • Youth Programs; recognition, scholarships • Exchange’s National Project, the prevention of child abuse • Disaster relief

How to give: • Exchange's website National. Exchange. Club. org • Mail National Exchange Club Foundation 3050 Central Avenue Toledo, OH 43606 • Call 419 -535 -3232

How can YOU help? • Be an “ambassador of goodwill” • Share the NEC Foundation’s Mission and message with your club, and at district events and meetings • Annual Giving • Contacts: • • • Who do you know? Who do our families know? Who/where are our active and inactive members? What companies or foundations are in our area? Set up meetings with donors/prospective donors • Include the NEC Foundation in your estate plan

THANK YOU … for supporting The National Exchange Club and the National Exchange Club Foundation!