Endowed scholarships may be named by a donor who wishes to provide educational assistance in perpetuity for deserving Millsaps Students. The minimum gift amount for a named endowed scholarship is $50,000. To fund a full scholarship (tuition, room and board, fees, etc.) an endowed fund of approximately $1 million is required. An endowed fund of approximately $600,000 will fund a full tuition scholarship. Endowed scholarship gifts may be made in one gift or paid over a period of 3-5 years.
The scholarship is typically not awarded until the fund reaches at least the $50,000 level. In the case of endowed scholarships, the principal is invested along with other endowed funds and only a portion of the earned income is awarded each year. The remaining earned income is reinvested so that the fund continues to grow. In advising donors regarding the amount of award they might expect their gift to produce, we use a conservative 5%. So, if a donor gives $50,000 for an endowed scholarship, the award will likely be $2,500 annually.
Scholarships may be funded with immediate gifts of cash or stock or through planned gifts such as annuities, bequests, trusts, insurance, real estate, etc.
The donor may have special interests for awarding the scholarship that need to be clearly determined and stated in the scholarship agreement. In establishing a scholarship, an attempt should be made to keep criteria as simple as possible. IRS rules dictate that selection of the scholarship recipient is determined strictly by the college. NCAA rules prevent the awarding of athletic scholarships.
Endowed scholarship funds follow the standard investment policies of the College.
For more information about getting involved with funding Millsaps Scholarships, contact the Office of Institutional Advancement at 601.974.1035.