Manchester University / Alumni / @manchester Newsletter July 2021 / The endowment – gifts that keep on giving

The endowment – gifts that keep on giving

endowments-vs-annual-fund-flierBefore making their gifts, donors often ask, “Where will my money do the most good?”

One of the best ways to maximize your impact is with an endowment gift.

Endowment funds are permanent assets designed to earn income and endure through perpetuity. Typically, some of the earnings from an endowment gift are used for Manchester’s various needs, while the rest of the earnings stay in the fund and are reinvested to grow the principal.

Endowment gifts can be restricted or unrestricted.

With restricted gifts, donors designate how they want the funds used. “That may be a scholarship named to honor a special person,” says Melanie Harmon, vice president for advancement. “A restricted gift also may support a specific program at Manchester that reflects your values, such as peace and social justice programming, or the Medical Practicum.”

A restricted endowment gift is an ideal way for donors to leave a lasting legacy and to know they are helping Manchester students for generations to come.

Unrestricted general endowment gifts, on the other hand, allow MU to use the revenue stream for the University’s greatest needs at the time. “That revenue may help Manchester launch a new academic program,” explains Harmon. “It also serves as a buffer against an economic downturn or enrollment fluctuation.”

Because endowment gifts provide revenue for many years, “they help secure Manchester’s financial stability,” says Harmon. “A strong endowment sends a message of long-term stability for the University and provides for future needs that we haven’t yet imagined.”

If you would like to learn more about how to give a lasting gift to Manchester’s endowment, please contact Harmon at mbharmon@manchester.edu or 260-982-5211.