Endowed Scholarships

Q&A: Endowed Scholarship

Q: What is an endowed scholarship?
A: An endowed scholarship fund is a permanent, self-sustaining source of funding for financial aid to students. Endowment assets are invested. Each year, a portion of the value of the fund is paid out to support the fund’s purpose, and any earnings in excess of this distribution are used to build the fund’s market value. In this way, an endowment fund can grow and provide support for students in perpetuity. When you create an endowed scholarship, you create a permanent legacy of support for Geneva College and our students. 

Q: How much money does it take to start an endowed scholarship fund? 
A: The College has set a minimum funding level of $25,000 to establish a new endowed scholarship fund. A pledge to create an endowed fund can be paid out over as many as five years.
 
Q: What else does it take? 
A: An endowment agreement. This agreement between the donor and the Geneva College Foundation permanently defines the purpose of the fund. The agreement also outlines the Foundation’s standard procedures for managing endowment funds and encourages award recipients to learn more about you, the donor, and why you’ve made this gift. 

Q: Why is scholarship support so important for students at Geneva College? 
A: Scholarship aid is an increasingly essential part of our ability to recruit and retain talented and compassionate students. Nearly all our students require some form of assistance to pay for their education.

Q: Whose name is on an endowed scholarship fund? 
A: You can name an endowed fund for yourself, your family, in memory of a loved one, your company – the choice is yours. Your endowment will be recorded as “The [Name of Your Choice] Endowed Scholarship Fund.” 

Q: Can I create an endowed scholarship fund with a gift through my estate plan?
A: Yes! In fact, many alumni and friends have established endowed scholarship funds through their estate and retirement plans, sometimes with helpful tax benefits for themselves or their families. For example:     

• You can include a bequest to the Geneva College Foundation in your will.
• You can make the Geneva College Foundation a beneficiary of your IRA or life insurance policy.
• You can allocate some or all your annual Required Minimum Distribution from your IRA as a Charitable Distribution to the Geneva College Foundation.

Q: May I specify how the endowed scholarship will be awarded? 
A: Donors may set general restrictions in terms of the academic program in which the student who benefits will be enrolled. Some donors include more specific preferences (i.e., major, GPA, etc.), which our Financial Aid staff try to honor whenever possible. All scholarship recipients must have a demonstrated need for financial assistance; be enrolled at Geneva College; and be in good academic standing. 

Q: How do I find out about my endowed fund after I have made a gift? 
A: Once an endowed fund reaches the minimum funding level and starts generating spendable income, Geneva College will provide you with information about the value of the fund, the impact of your philanthropy, and the student(s) who have been awarded your scholarship. We will also share a fund profile about your scholarship with the student recipients, to educate them about your reasons for giving and to tell them about the fund honoree, if applicable. 

If you have an interest in learning more about endowments, please contact us.