Class of 1959 Class Gift Q & A

From the 1959 Class gift Q&A

Q. What are the qualifying criteria for the tomorrow’s leader scholarship?

A. The criteria are as follows: the student must be a person of good character, maintain a “B” average, and neither use drugs nor abuse alcohol.


Q. What portion of a student’s tuition, room and board is paid by an endowed scholarship?

A. The minimum endowment level is $50,000. A full tuition scholarship would be endowed at approximately $400,000. The annual scholarship is paid from the earnings of the endowment, with the principal remaining intact. In recent years the amount paid out annually has been equal to 5% of the principal (at the beginning of the fiscal year). Today at Saint Mary's University of Minnesota, annual tuition, room, board, and fees total approximately $26,600.


Q. How would one go about establishing another scholarship endowment as part of the class gift?

A. An individual, or group of people, would earmark their gift(s) for a scholarship endowment in the name of the person or persons being honored. The funding should be completed prior to Homecoming 2009. Typically such endowments are established to honor family members, teachers, or deceased classmates. We highly recommend this form of gift.


Q. Will I have the opportunity to designate that my gift be used for a purpose other than those mentioned in the letter?

A. The answer is yes. The donor always has the option of restricting or designating the gift. Any restriction, however, should be noted on your contribution.


Q. How were the suggested gift categories selected?

A. The university selected scholarships (particularly endowed scholarships) and the campus entrance as its highest current gifting priorities.


Q. Who will determine whether unspecified gifts go toward leadership scholarships or the campus entrance project?

A. Prior to Homecoming 2009 those contributing unspecified funds will be polled for their preferences.


Q. Will all gifts between now and Homecoming 2009 count toward our 50th anniversary class gift?

A. The answer is yes. For administrative purposes, please note all gifts and pledges: “class of ’59 class gift.” Accumulating class gifts over multiple years is a huge opportunity, not utilized by previous classes. We still have almost 3 years to accumulate a class gift, and donors can take advantage of charitable tax deductions over the 4 year period, 2006 through 2009.


Q. If I choose to make a donation in the form of stock, bonds, life insurance or other assets will the University accommodate my preference?

A. The answer is absolutely and enthusiastically “YES!” concerning stocks, bonds and life insurance. Stock can be a particularly tax-wise way to give. The answer concerning other assets such as real estate, art, IRAs, and so on depends on many factors. Please contact Anne Morgan, director of gift planning at the university, at 800-635-5987, ext. 1791 for further information.


Q. I understand that, in certain instances, IRA distributions can be made directly to charitable institutions with favorable tax consequences. Is the University prepared to handle such transactions?

A. The answer is again, “YES.” However, the benefits to the donor can vary, so you are again encouraged to contact Anne Morgan, director of gift planning at the university, at 800-635-5987, ext. 1791 for further information.


Q. How was the $1 million goal established?

A. First of all, the goal was established by members of the Class of 1959, not by Saint Mary’s. There were many factors considered such as: we have multiple years to accumulate the gift, class pride, attachment to the university, the consideration that if we do not make the effort now when will we, and very importantly this will be the last time most of us will get together as a group. In a sense this is our swan song. It would be nice to make an exceptionally positive statement to the university from the Class of ‘59.


Q. What is my fair share?

A. There is no answer to this question. We ask everyone to give according to their means. Obviously the goal is very high. It will only be reached with greater levels of participation and generosity than experienced in the past. The question each individual needs to ask himself is “If not now, when?”


Q. Can I spread my gift out over time?

A. Absolutely. We welcome pledges spread over the time period between now and Homecoming 2009. Let’s take full advantage of the four years of charitable deductions between 2006 and 2009.


Q. I have retired this year and have some fairly large non-recurring income. Is it generally tax effective to concentrate gifting in such a year as opposed spreading it out over several years?

A. That depends on each person’s situation. Charitable donations can be an effective way to reduce tax liability. Consult your tax advisor with regard to your particular situation. For more information on tax-wise ways to give, contact Anne Morgan, director of gift planning at 800-635-5987 c1791 or go to www.smumn.edu/plannedgiving.