Endowments

Endowed Funds differ from others in that they are the gifts that keep giving.  Instead of the entire amount of the gift being spent outright, the total amount of the gift is invested.  Each year, only a portion of the invested income earned is spent while the remainder is added to the original principal.  An endowment is a perpetual gift because only the interest is used to support the institute while the principal grows continually.  Through an endowment a donor can link their legacy with the future of the Institute forever.

Cash or Securities

Lamar Institute of Technology welcomes gifts in the form of cash (checks or credit cards) or marketable securities. Checks should be made payable to Lamar Institute of Technology.  The report date of cash gifts is the date that the Institute receives the gift. However, at year-end, the postmarked date is considered the gift date.

Deferred Gifts/Planned Giving

Planned giving allows a donor to make a gift commitment to Lamar Institute of
Technology with the convenience of delaying delivery of the final benefit of the gift until a later time.  Donors who make planned gifts to the Institute may receive tax and/or income benefits.  Some types of planned gifts result in lifetime income for the donor and/or other beneficiaries.  Some may entail reduction of income taxes, capital gains taxes, or estate taxes.

Donors may make planned gifts to the Institute through bequests and by making the Institute the beneficiary and owner of an insurance policy.

Bequests

A bequest (by will or revocable trust) may be unrestricted, which is to be used at the discretion of the president or department chair for the Institute’s highest priorities, or the donor may designate a bequest to support a specific program, such as a student scholarship, or an endowed faculty chair or professorship.

Life Insurance

Gifts of life insurance can be considered a gift only if the Institute has been named both owner and irrevocable beneficiary of the policy.

Matching Gifts

Many companies will match the gift of an employee, retiree, or the employee’s spouse.
Normally an employee will include a Matching Gift form with their gift.

Donor Directed vs. Donor Advised Funds

What constitutes the difference between these two funds is the issue of who retains controls.  In the case of donor directed funds, the donor retains control of the direction of and investment of funds (such as in private foundations).  In donor advised funds, which became very prevalent in the 90’s, the donor contributes to a fund such as a community foundation or Charitable Gift Fund and takes a tax deduction at the time of the gift.  The gift can earn income and the corpus can increase during the period before the funds are disbursed.

After making a contribution to a donor advised fund, the donor may suggest to the fund or foundation at sometime in the future to which charities to send contributions.  However, the community foundation or fund maintains control of the direction and investment of funds.  They try to follow donor wishes as long as it is in keeping with their mission.

When Lamar Institute of Technology Foundation receives gifts such as this, the fund or the foundation is the legal donor and is given credit for the gift.  The donor who advised that the contribution be given to Lamar Institute of Technology Foundation receives soft credit in the donor database, in addition to acknowledgement and recognition from the Institute.

Charitable gift funds require that their contribution be treated as an outright gift.  The donation cannot be applied to an individual’s pledge.  Many matching gift companies will not match employees’ donations given through donor advised funds. 

In the case of donor directed funds, the donor places funds in a charitable organization, such as a family foundation, and retains the right to determine what the organization will do with the gift assets.  The family foundation receives legal credit for the donation with the donor receiving soft credit.  Gifts can be applied to pledges, and matching gift companies will usually match the gift.

Real Estate

The Institute welcomes the opportunity to explore with donors proposed gifts of real estate.  In this highly specialized field, all potential gifts of real estate will be reviewed in accordance with the policies established by the TSUS Board of Regents.

Other Tangible Personal Property

In general, the Institute welcomes gifts of equipment and other tangible personal property (such as antique furniture and collections).

Such in-kind gifts may be used by the Institute for educational programs and activities or may be sold and converted to cash to be used for purposes listed in Section II-Gift Opportunities. As such, the gift terms of any collection of items should expressly authorize the sale of items subsequently deemed inappropriate or not useful to the Institute.  The proceeds from any such sale would be applied according to the original objectives of the donor.