Endowment Frequently Asked Questions
Q: How much income will my fund earn this fiscal year?
The amount of income available to be spent in the fiscal year is determined by taking the number of shares the fund “owns” and multiplying by the distribution rate per share determined by the College. The income is posted to the gift in twelve postings. Additional gifts will result in increased income.
Q: What is the difference between an endowed fund and a grant?
An endowed fund is usually given to the College with the intent that it is a permanent fund for the support of the College, usually with a specific intent such as scholarship, prize, professorship, etc. The principal (gift amount) will be invested in perpertuity and the income earned from this investment will be used for the purpose designated by the donor. For example, a donor my give the College a $1,000,000.00 with the intent that the income earned will go to support Financial Aid.
A grant usually requires deliverables, financial reports, a time restriction and a budget. Typically, the funds are exhausted by the end of the grant or the balance should be returned to the grantor.
Q: How much do I have to spend today in my fund?
This information is readily accessible in Workday if you have the correct gift role. View the 'FIN Gift Spendable Balance' for the gift. This report displays the balance forward, the annualized net income distribution, net activity and the current balance.
Q: If I receive a check from a donor, where should I sent it?
It should go to Donor Relations Development Services (DR/DS) to be processed. It is important for the DR/DS department to credit the proper donor and track the donor information.
Q: What happens if I don't spend all of my income or gift during the fiscal year?
The funds from restricted gift or income distribution get carried over each year. You can see the balance in the gift in 'FIN Gift Spendable Balance.'