Anyone ever set up a scholarship fund at their alma mater?

[BlondeSpiders]

I just graduated from college and I'm interested in setting up one or two different types of scholarships: one for members of my business fraternity and one for members of a Women in Business club I started on campus. 

Did you go directly through the college, or should I contact the individual groups? Did you pool with others or just fund it yourself? My WiB co-founder would like to contribute so it would be jointly funded. I really have no idea where to start! All of my searches on my university's website show how to apply for scholarships, not from the donor's side.

Any advice? TIA!

[sarahsays]

Look for an advancement or development office at the university. Your alumni association may also be able to help.

Personally, I set up a scholarship through a program at my undergrad university. We have a program where you can establish a scholarship by donating $25k over a period of 5 years (5k/year). Scholarships can be established by individuals or groups and the development office assists in creating the criteria.

You can also donate to any existing alumni scholarship.

The development officer should be able to answer all of your questions and help you to determine the best way to set up your scholarship.

[carmenere]

Nov 19, 2019 20:28:11 GMT -5 sarahsays said:

Look for an advancement or development office at the university. Your alumni association may also be able to help.

Personally, I set up a scholarship through a program at my undergrad university. We have a program where you can establish a scholarship by donating $25k over a period of 5 years (5k/year). Scholarships can be established by individuals or groups and the development office assists in creating the criteria.

You can also donate to any existing alumni scholarship.

The development officer should be able to answer all of your questions and help you to determine the best way to set up your scholarship.

Yes. Scholarship funds are typically managed through a university's endowment, so if you're setting up a new scholarship they will want an agreement stipulating the use of those funds. The development officer can help you decide how to structure the gift. Getting to know people in Development can also get you access to some donor perks and opportunities for meaningful engagement with the university.

[Cappy]

Yes! I have done this recently. The other posters are correct-- reach out to the Development Office/ Foundation of the university. The pathway will depend on how much you want to give and if that gift is going to be annual or a lump sum. This will also determine who you work with at the school.

If you are able to give over a certain threshold (our school this is 25k) then the fund can be endowed, meaning the pot of money is self-sustaining and can award scholarships out of the growth of the fund, keeping the 25k in tact. In my case I did not have 25k so I started a regular named fund with $1k (our school's minimum to open a fund) and have a goal (but not a requirement) of contributing each year and encouraging others to do the same until we bump it up to endowed level. I was involved in naming the fund, deciding how the funds are awarded, and writing the fund history. This was one of the more meaningful parts since the fund is for study abroad and that's also my line of work here at the school. My name is not in the fund but it is in the history and it's great to know I created something that's hopefully lasting.

If you can't do 1k you can give annual gifts in any other amount to an existing fund OR you can do what I did and use your support to fundraise to meet your minimum. My fund started as a 40th birthday Facebook crowdfunding that then seeded the fund. In year 2 I participated in our school's day of giving crowdfunding to help raise another $900 or so. Your post reminds me I need to set up payroll deduct to contribute monthly in 2020.

Now that the standard deduction is what it is, we don't itemize federal so there's no tax benefit at the level we give. But in our state every dollar we give as a couple, up to $400, results in a 50% tax credit which is also nice.

[BlondeSpiders]

Thanks for the advice, folks! I'm excited to get these up and running.

[LoveTrains]

Please talk to the development folks - they want to help! Where I work it’s a minimum gift of $250,000 to do an endowed scholarship but every school is different.