Anyone on campus who wants to establish an endowed “32″ account should call the development director assigned to his or her college or school. Several factors need to be taken into account, and the dean or director will need to approve the fund before it is established.
What are the considerations before a faculty member can establish a fund?
- You cannot establish a fund with tax deductible gifts solely to benefit yourself or your direct family.
- If you set up a fund, you cannot have spending authority for it.
- Funds usually need to be transferred into a University gift account for disbursement and are subject to the usual University spending guidelines.
- You cannot transfer a fund to another institution.
- Funds flowing into the account must be gifts to the University, not payments for contracts or services provided by faculty or staff in their roles as University employees.
- Fund qualifications should not be so restrictive that the gift is unlikely to be used.
How much do I need to set up an endowed “32” account?
Endowed “32” accounts require a minimum beginning balance of $10,000.
How much do I need to set up an endowed professorship?
Generally, you will need $1 million to set up a professorship that provides about $45,000 a year in income.
Here are examples of how much it costs to establish other named funds:
- Department chair: $5 million minimum endowment
- Great People. Great Place Named Graduate Scholarships (partial graduate students support): $500,000 minimum endowment.
- Named Wisconsin undergraduate scholarship (full tuition): $180,000 endowment/ $8,000 limited endowment (minimum, four years)
For more information about setting up a named professorship, fellowship, scholarship or other faculty and student support funds, contact the development director who works with your department or program.