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Gift?

  • 1.  Gift?

    Posted 6 days ago

    Hey everyone!

     

    I need some guidance on this situation.

     

    We have a donor who likes to purchase gifts (desk clocks) for the student scholarship recipients.  The development officer purchases them from the operating account and the donor writes a check back to us.  The only thing that causes me to pause is the donor wants the funds to go to the endowed scholarship account and be counted as a gift.  I don't think the funds should go to the scholarship account, but rather to a  current use fund for this purpose.  Am I thinking too much into this?  Is this any different where a donor underwrites an event?   Seems like we are putting ourselves in the middle of a transaction where we don't need to be.

     

    Thank you!

     

    Michele

     

     

     

    Responsibility ~ Self-Assurance ~ Arranger ~ Relator ~ Input

     



  • 2.  RE: Gift?

    Posted 6 days ago
    If the gift is buying clocks for the students, it's not a gift anyway.  You cannot make deductible donations that benefit specific individuals.

    Now, if you ALWAYS gave students clocks (and reported the value to Financial Aid) out of your budget, that's up to you.  The donor can make any additional gift they want to the scholarship fund - as long as it is NOT tied to giving the kids anything of value.

    John


    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987