The University of Wisconsin Foundation staff and Board of Directors believe strongly that expense management is a top priority in achieving good stewardship. An important part of stewardship for a charitable organization is the ratio of administrative expenses to contributions. Figures below show the Foundation’s administrative expenses compared to contribution revenue for the past five years. Administrative expenses, excluding investment expenses, are compared to contributions to reflect the cost of raising a dollar. Total administrative expenses include investment expenses incurred by the Foundation’s external investment activity. These expenses are paid directly from the individual investment funds. Over the past five years, the Foundation’s average cost of raising a dollar has been 10.3 percent, well below national averages.
University of Wisconsin Foundation Administrative expenses as a percent of contributions
| Administrative Expenses (excluding investment expenses) | Total Contributions | Administrative Expenses (excluding investment expenses) as a % of Contributions | Total Administrative Expenses | |
|---|---|---|---|---|
| 2010 | $21,036,415 | $165,667,841 | 12.7% | $31,047,155 |
| 2009 | 20,882,697 | 156,118,593 | 13.4% | 29,483,743 |
| 2008 | 25,339,190 | 160,979,453 | 15.7% | 33,451,702 |
| 2007 (unaudited) | 19,555,283 | 334,390,947 | 5.9% | 32,564,664 |
| 2006 | 17,129,624 | 193,010,650 | 8.9% | 25,430,410 |
| 5-year totals | $103,943,209 | $1,010,167,484 | 10.3% | $151,977,674 |
Note: 2007, 2008, 2009 and 2010 figures are reported on the accrual basis of accounting; 2006 is reported on a modified cash basis of accounting.