Supporters of the SASP community raised $15,200 as initial contributions to create the Sri Aurobindo Sadhana Peetham New Creation Endowment Fund (the SASP Endowment). In August, 2020 we formally established the Endowment at the Foundation for World Education (FWE). It is part of the FWE initiative for Integral Yoga Centers as initially described by FWE in its June 2019 Newsletter. FWE has graciously added $3,040 to the initial $15,200 amount as a 20% matching grant made to encourage our community to support this effort.

SASP and FWE agreed through a Memorandum of Understanding (MOU) that the Endowment would be established as an “unrestricted” endowment to provide some future flexibility as to SASP’s use of the funds. This means that, unlike with a permanently restricted endowment, some of the funds contributed and their earnings over time could be used by SASP in the future under limited circumstances, as explained below.

We expect that the endowment amount will grow in the years ahead primarily with gifts from members of our community left to us through Estate Plan gifts and from investment growth. Current Gifts to the Endowment are also welcome. As it grows, the SASP Endowment will help provide a stable source of income to keep SASP strong and growing so its community can continue and expand its work, together with the worldwide Integral Yoga family, to further the process of the the New Creation described by Sri Aurobindo and the Mother.

The endowment is structured for sustained long-term income to SASP. Your gift will be managed by FWE in the same financially responsible way it has managed its own endowment funds and other funds for more than three decades in support of enabling significant disbursements to entities and projects that serve the Integral Yoga. FWE will invest the Fund in Socially Responsible/highly rated ESG (Environmental-Social Governance) Funds.

Annual Payout
Each year FWE will pay SASP 5% of the Endowment’s value, which may assist SASP with funding of current operations or may be reinvested towards the growth of the Endowment. Particularly in the early years of this Endowment, SASP intends to reinvest the 5% payout to help promote the Endowment’s growth. Remaining funds will always continue to be invested for future growth. FWE is a not-for profit corporation established in New York State, is tax exempt and contributions to it are tax deductible. It is structured as a private foundation under IRS tax rules which require the 5% minimum annual payment.

Flexibility
The MOU signed by SASP and FWE provides that FWE will establish the Endowment as a Board-designated Endowment Fund. (This kind of endowment is sometimes called an unrestricted endowment or quasi-endowment.) This approach provides some flexibility for future needs not permitted by a “permanent” endowment which is permanently restricted as to all use of the endowment’s principal.

The MOU recognizes that SASP may in the future face unforeseen circumstances and may require some of the Endowment funds for future growth. Therefore, it provides that in addition to receiving the annual 5% payment from the endowment, SASP may receive an additional grant of the funds from the Endowment’s principal: 1) if it experiences a financial emergency with expected long-term ramifications, or 2) for capital projects such as building construction, other improvements on its land, or purchase of additional land. Both of these uses would be in keeping with the Endowment’s purpose of helping to provide for the long-term financial security of SASP.

Two Boards Protecting These Funds
The creation of this endowment as “board-designated” reflects that both the SASP and FWE boards of directors created the structure of the Endowment through their approval of the MOU. While FWE has ultimate legal responsibility for the Endowment, the reasonableness of any future withdrawals of principal from the Endowment has the protection of decisions by both boards: SASP’s Board requests the funds and the FWE Board has the legal fiduciary responsibility to ensure the reasonableness of the request.

We hope that this dual future responsibility will further ensure the confidence of our community in supporting the Endowment. SASP and FWE have a good working relationship and expect to work closely, as directed by the MOU, in ensuring that gifts are properly directed, processed, invested and disbursed.

Current Gifts to the Endowment
To contribute to the endowment directly, you may send a check to the Foundation for World Education.

Payable to: Foundation for World Education
Check Memo: SASP New Creation Fund
Mail to: PO Box 11135, Loudonville, NY 12211

It is imperative that the check Memo mentions the “SASP New Creation Fund”. A Memo of just “Endowment” is not sufficient, since FWE manages multiple endowments.

We welcome your telling us of your contribution so we can ensure you gift is received and properly credited.

Through an Estate Plan
Any estate plan gifts intended for the Endowment through wills, trusts, beneficiary designations or other means, must be designated to FWE for the benefit of (or “FBO”) the SASP New Creation Endowment Fund. Gifts intended for the Endowment must be designated this way, and not directly to SASP. More information is available on the Estate Planning page.

Any estate plan gifts not specifically designated to FWE for the benefit of SASP, but which are designated directly to SASP, will be treated as unrestricted gifts to SASP.  SASP will exercise its discretion as to how to use those gifts based on current needs at the time of receipt, including how much to spend for current annual needs, and how much, if any, to send to FWE for adding to the SASP Endowment. 

SASP is grateful for estate plan gifts of any type and for current gifts to fund our current operations and the Endowment. We hope when considering a gift for our long-term benefit, you will keep in mind our need for continuing ongoing annual support. We are always happy to discuss our financial needs with you to assist you in your planning. Discussion with us can be especially helpful for long-term estate plan gifts to ensure that your intentions are later met. Please feel free to contact us anytime.