Glossary of Giving Terms

Annual Fund – Annual giving of current use funds provides the life blood for any organization.  Annual fund support is given regularly usually as a response to letter or email solicitations and funds are usually designated to current use funds.

Alumni Participation – The alumni participation rate is determined by calculating the percentage of alumni donors out of a pool of active alumni.

Bequest – A sum of money committed to an organization by will or trust and made available upon the donor’s death. The donor retains all assets during his or her lifetime.

Capital Campaign – An organized drive to raise substantial funds in support of an institution’s major needs such as construction or renovations, endowment, or special programs.  Campaigns are traditionally seven years.

Challenge Grant – A grant made on the condition that other contributions will be secured, usually according to a particular formula and usually within a specified period of time. The objective is to encourage expanded giving from additional sources.

Current Use Funds – A current use fund is a fund from which dollars are used on an as needed/annual basis without preserving a minimum dollar level.

Discretionary Funds – Funds that are distributed at the discretion of the President for greatest needs on campus.

Endowment – An endowment is a permanent fund whose principal remains intact and is invested. The income generated is either reinvested into the fund or is used to support programs or activities.

Fiscal Year – AULA’s fiscal year runs from July 1 to June 30. The Annual Fund runs on the same fiscal year as AULA, and this is also considered the Annual Fund crediting period.

Gifts-in-Kind – Non-cash gift of services or of tangible property—equipment, works of art, books, etc.—rather than of cash or appreciated property. In-kind contributions must be appraised or evaluated before they are accepted by AULA by qualified appraisers.

Matching Gifts – A grant program whereby a company will contribute a specific amount of money to AULA based on the amount of a gift made by an employee (and sometimes by the employee’s spouse or a retiree) to AULA. Specific guidelines are set by each employer. Matching gifts are included in the Annual Fund dollar total, and are added to an individual’s gift total for purposes of donor recognition.

Memorial Gift – A gift to commemorate a family member, classmate, faculty member, or friend.

Operating Support – Contributions made to cover an organization’s day-to-day, ongoing expenses (e.g., salaries, utilities, office supplies).

Planned Gifts – A form of charitable contribution whereby the donor retains assets for life (in the case of bequests), or the donor and/or the donor’s beneficiaries are given payments for life or for a specified term of years (in the case of life income funds), after which all remaining funds are transferred to AULA.

Restricted Gift – Contribution restricted by the donor for a clearly specified purpose and none other.

Unrestricted Gift – A gift whereby the donor authorizes AULA to decide how the money will be used.  The President’s Discretionary Fund is an unrestricted fund.