A bright future for Sauk Valley Community College means a bright future for our communities, our region and beyond, and endowments are critical to securing that future.
Gifts to endowments are not spent; rather they are invested by the Sauk Valley College Foundation to maximize the return on investment and create income that is used to fund specific areas as designated by the endowment’s creator. The result is a steady flow of funding each year with an endowment that continues to grow, and which generates greater levels of income and impact.
The financial stability that endowments provide enables our talented students and faculty to push boundaries, take risks and pursue solutions to any new issue that arises.
To learn more about creating a lasting legacy through an endowment, fill out the below contact form and our development team will reach out with more information.
Endowments are permanent capital and exist in perpetuity. The larger the endowment, the larger the income stream for earnings. If a student continues to meet requirements, a scholarship is usually a 1-2 year commitment.
$10,000 is the minimum endowment level at SVCC.
It is simple. Contact us at xxxxxxxxxxxx, and we will draft a brief Gift Agreement that will govern your gift according to your wishes.
Yes. Additional gifts, investments, and earnings may be made at any time and allow the funds to grow.
Principal is the total gifts made to an endowment. Only earnings on the principal are spent in an endowed fund. When there are earnings in excess of the amount allocated for spending, they are accumulated as a reserve for market fluctuations.
Interest, dividends, realized and unrealized gains and losses are all used in calculating earnings or losses.
Earnings or losses are allocated to individuals funds each on a quarterly basis.
The amount of earnings added to the fund fluctuates with the markets. Although the portfolio is well diversified, some investments might occasionally lose value. The spread of the investment allocation helps to compensate for losses by a particular style of investment and takes advantage of earnings that can be realized when an investment style is in favor with the market.
Absolutely, as long as it is consistent with College policy and state and federal laws. Once a gift is accepted, the conditions of the gift are followed in perpetuity.
As the College’s needs change, unrestricted funds allow the flexibility necessary to meet those needs. Unrestricted funds are controlled by the Finance division of the SVC Foundation with oversight conducted by the Finance Committee of the Foundation Board of Directors.
Certainly. We realize that gifts of appreciated property can have significant tax benefits to donors. We work with a number of brokers so securities may be transferred simply and easily. Real estate also is a welcome gift, but certain basic requirements must be met related to environmental issues and a marketable title.
Hundreds of students receive proceeds from endowed scholarships each year. Some endowment funds make scholarship awards to multiple students. Students who receive scholarships from endowed funds are provided contact information regarding the donor and are encouraged to express their gratitude to their donor for giving to the College.
Glossary Of Terms:
Amount charged annually by the SVC Foundation for management of the endowment fund. The current rate is xxxxxxxxxxx (x.x%), the fund’s fiscal year-end market value.
Amounts distributed to beneficiaries as specified by the donor in the endowment agreement.
A gift which is immediately expendable for the purpose specified by the donor.
A donor gift with the restriction that it never be spent. The gift is invested in perpetuity so as to generate earnings that can be spent for purposes defined by the donor.
The amount of spendable income resulting from investment of the endowment principal that will be distributed to the beneficiary(ies) stipulated in the endowment agreement
The amount of the original endowment gift plus any subsequent gifts. Endowment principal may also include any accumulated investment earnings (in excess of spendable income) that have not been distributed to endowment income.
The amount earned through investment of the endowment principal during the fiscal year including interest, dividends, realized capital gains/losses and unrealized capital gains/losses.
The reserved earnings balance represents the project’s market earnings. Realized and unrealized market gains and losses, dividends, interest, and administrative fees affect the earnings balance. In addition, at the beginning of each fiscal year, annual spendable funds are transferred out of the reserved earnings balance into the spendable balance. The reserved earnings balance is not available for spending.
The amount of endowment income permitted to be spent on purposes designated by the donor
A 501(c)(3) incorporated organization charged with securing, managing and distributing private support to enhance the growth and development of Sauk Valley Community College.
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