Alumni Donations

[The Hippie Satan of Hyperbole]

I had a story like Chick's.

We had a call from a program that needed money to aid an at-risk student with strong intellectual skills who needed help. The question wasn't, well, "you can get it from ________________ (fill in big charity, large donor, other organization)." Instead it was, "how much do you need," and "should the money be wired in or can you wait for a check?"

I won't go into more detail because the issue is close to home, but suffice to say, we did what we were called to do. At Marquette, we've given money to scholarships. I've argued on these pages and elsewhere  that yes, I'm fearful that I'm subsidizing big tuition increases. But I don't throw the baby out with the bathwater. I know that if I'm not there, maybe some deserving student who would get from Marquette what did couldn't go!

When students called me about donating to the Alumni Memorial Union years ago, I politely asked them how they were paying for Marquette. They said, "scholarships," and I asked them "where do you think the money that supports those scholarships comes from?"

Bottom line folks (warning, mild political comment coming): If you want to be part of the solution, you educate people. Marquette is part of the solution and I'm proud our investment is helping to educate folks. Period.

P.S. -- We do not ignore other needs either. It's not an either/or.

A great deal of the money that support scholarships comes from other student’s tuition payments.

[forgetful]

I echo FBM here, because apparently I'm "uninformed" too.  How?

The concept is a bit of a logical fallacy. Lets say you donate $100 to a University with a an annual budget of $1000 to divide across 100 scholarships it gives across a student body of 1000 students.

That means on average each scholarship is $10. The $100 donation can allow the university to give out 10 new scholarships.

If you give the same $100 to a university with an annual budget of $10,000 to divide 1000 scholarships across a student body of 10,000 students. Again each scholarship is $10. So the $100 donation can allow the university to give out 10 new scholarships.

The net impact in terms of number of scholarships you are funding are identical.

That assumes that the efficiency of both universities is the same. The reality is that often the smaller institutions are less efficient, leading to some of that donation money going to infrastructure instead of the desired scholarship goal.

[dgies9156]

A great deal of the money that support scholarships comes from other student’s tuition payments.

Fluff, ole buddy. That wasn't a scholarship. That's all I'll say.

[dgies9156]

.

Yep.

I'd still love to hear how $100 makes a difference at MU if anyone wants to take on this argument.

I'll write the check tomorrow if the argument is convincing enough...

Brother Gyros -- Write the check.

The journey of 1,000 miles begins with a single step. Is the first step out the door any less important than the last step before you end your journey?

No, it isn't. Every step counts. You can't make the journey if you don't take every step. Some steps are bigger than others. Some smaller. Some are faster. Some are barely measurable.

Three weeks ago, I was in a glorious Cathedral in Bayeux, Normandy, France. Thousands upon thousands of stones were used to build the Cathedral. Tons of glass was fabricated in way that told the story of the angels and saints. Of God and Jesus Christ. Some of the stained glass is more obvious and more elegant than that the stones that comprise the walls that hold the building up. Yet skilled craftsmen were involved in every element of the building. No one stone nor one piece of glass is more important than the others. Some are bigger and smaller and some are more noticeable. But the Cathedral would not exist without each component and without the skills of tens of thousands of people who designed and build it.

Contributions are the same way. Some are larger. Some are smaller. Some are targeted and some go for unions, dorms and sports teams. Individually, none by themselves matter. But as a group, they allow a university to do great things.

Write the check, OK?

[forgetful]

.

Yep.

I'd still love to hear how $100 makes a difference at MU if anyone wants to take on this argument.

I'll write the check tomorrow if the argument is convincing enough...

What you have to do is direct the money to a specific cause. For instance, make a commitment to donate $100 a year to your department of choice to award a cash scholarship to the highest performing first-generation college student, or any caveat you wish to make sure it goes to a deserving cause.

An example student I know of, grew up in probably one of the worst areas in the country. He got a scholarship to go to a nice private high school, but it was almost 2 hours in bus rides to get to and from school each way. When he did get home he worked late shift jobs at a fast food place, to make sure that their was food on the table, and power in his house to support his siblings. He never had a computer, or anything to support his education, but he worked his tail off and was able to make it into a top 50 school.

With loans and everything he was barely able to get by. He got a $100 scholarship of this type from his department. He had tears in his eyes. To him, it was both a godsend in terms of money, but also validation for how hard he had to work to just be there.

To him, it "making a difference" is an understatement.

[The Hippie Satan of Hyperbole]

Fluff, ole buddy. That wasn't a scholarship. That's all I'll say.

Yes it is. The universitiy’s budget includes institutional scholarships and financial aid as an expense. Look at the various “scholarships” that students s can qualify for. Those aren’t all donor funded.

[warriorchick]

.

Yep.

I'd still love to hear how $100 makes a difference at MU if anyone wants to take on this argument.

I'll write the check tomorrow if the argument is convincing enough...

If the 87% of alums who don't currently contribute each donated $100, it would fund almost 250 full scholarships.


The people who say "$100 doesn't matter" are the same folks that say "my vote doesn't count" and then bitch about who is elected.

[warriorchick]

Yes it is. The universitiy’s budget includes institutional scholarships and financial aid as an expense. Look at the various “scholarships” that students s can qualify for. Those aren’t all donor funded.

I am pretty sure all scholarships are listed as an expense, whether they are funded by donations or not.

In other words, let's say that an endowment that is set up to fund scholarships earns $100 in investment income.  They used that money to give someone a $100 scholarship.  That would be reflected on Marquette's books as  $100 of revenue and $100 of scholarship expense.

[dgies9156]

I am pretty sure all scholarships are listed as an expense, whether they are funded by donations or not.

In other words, let's say that an endowment that is set up to fund scholarships earns $100 in investment income.  They used that money to give someone a $100 scholarship.  That would be reflected on Marquette's books as  $100 of revenue and $100 of scholarship expense.

Sister Chick, don’t confuse laymen and lay women with double entry accounting.

😱

[forgetful]

Yes it is. The universitiy’s budget includes institutional scholarships and financial aid as an expense. Look at the various “scholarships” that students s can qualify for. Those aren’t all donor funded.

Your logic here is misleading at best, and genuinely inaccurate.

It's akin to saying if you buy a candy bar at the campus store, you are supporting a scholarship. Because it gets listed as revenue, and revenue is used to offset expenses.

Quit being misleading.

[Frenns Liquor Depot]

I think Chick summed it up well, but here is the case for small donations.

25 classes with 25% of people giving $100 is just shy of $2M per year.  If that is a 30 year payment stream it is the equivalent of a ~$30M donation today.  So a big deal - and many scholarships funded, if that is where you designate the donation.

If you don't believe that MU will deploy those funds to a good cause, that's your prerogative.  However, it does matter and it would make an impact to have a higher level of ENGAGEMENT from the masses.

[Dr. Blackheart]

I think Chick summed it up well, but here is the case for small donations.

25 classes with 25% of people giving $100 is just shy of $2M per year.  If that is a 30 year payment stream it is the equivalent of a ~$30M donation today.  So a big deal - and many scholarships funded, if that is where you designate the donation.

If you don't believe that MU will deploy those funds to a good cause, that's your prerogative.  However, it does matter and it would make an impact to have a higher level of ENGAGEMENT from the masses.

Multiply that by two for a matching gift.

Just by my season ticket donation, I am a six figure donor in that time or less.

It takes a Scoop.

[Coleman]

The people who say "$100 doesn't matter" are the same folks that say "my vote doesn't count" and then bitch about who is elected.

That's actually a great analogy, let's say we are comparing it to a Presidential election.

Of course your vote counts no matter what. But it does count more in a swing state like Wisconsin than it does in solid blue Illinois. The size and nature of the organization does make a difference in impact. Some people would prefer their vote (or donation) to have a more tangible impact, and I don't think there is anything wrong with that.

[The Hippie Satan of Hyperbole]

Your logic here is misleading at best, and genuinely inaccurate.

It's akin to saying if you buy a candy bar at the campus store, you are supporting a scholarship. Because it gets listed as revenue, and revenue is used to offset expenses.

Quit being misleading.

It's not misleading and it is entirely accurate.

Anytime you have a system whereby certain people pay more than others, those who pay more are subsidizing those who pay less.  Marquette is discounting its tuition by various amounts.  They label that discount as "awards" or "scholarships," but in reality they are not entirely covered by gift income or endowment income.

So for a number of the scholarships on this page, especially those under "General Awards"?  Certain students are subsidizing others.

https://www.marquette.edu/explore/scholarships.php

So there is nothing misleading about my statement "A great deal of the money that support scholarships comes from other student’s tuition payments."  It is 100% accurate.

[dgies9156]

That's actually a great analogy, let's say we are comparing it to a Presidential election.

Of course your vote counts no matter what. But it does count more in a swing state like Wisconsin than it does in solid blue Illinois. The size and nature of the organization does make a difference in impact. Some people would prefer their vote (or donation) to have a more tangible impact, and I don't think there is anything wrong with that.

I vote in Florida.

I promise you, my vote matters!

[forgetful]

It's not misleading and it is entirely accurate.

Anytime you have a system whereby certain people pay more than others, those who pay more are subsidizing those who pay less.  Marquette is discounting its tuition by various amounts.  They label that discount as "awards" or "scholarships," but in reality they are not entirely covered by gift income or endowment income.

So for a number of the scholarships on this page, especially those under "General Awards"?  Certain students are subsidizing others.

https://www.marquette.edu/explore/scholarships.php

So there is nothing misleading about my statement "A great deal of the money that support scholarships comes from other student’s tuition payments."  It is 100% accurate.

Except for the fact that it is 100% inaccurate with the way university budgets and accounting are conducted.

You can believe anything you want...but you are still wrong.

Chick did a great job of explaining general aspects of how the accounting is done and why what you are saying is false.

[The Hippie Satan of Hyperbole]

Except for the fact that it is 100% inaccurate with the way university budgets and accounting are conducted.

You can believe anything you want...but you are still wrong.

Chick did a great job of explaining general aspects of how the accounting is done and why what you are saying is false.

If you have two students, both in the same major, and Sally is paying less than the cost to educate her while Fred is paying more than the cost to educate him, how is Fred not subsidizing Sally's education?  Especially when donations and endowment income do not make up for that entire difference.

So it's not wrong.  It's not misleading.  And chick's explanation did not address this point.

You should probably give up now.

[Cheeks]

I vote in Florida.

I promise you, my vote matters!

Unfortunately so do the hanging chads.

[forgetful]

If you have two students, both in the same major, and Sally is paying less than the cost to educate her while Fred is paying more than the cost to educate him, how is Fred not subsidizing Sally's education?  Especially when donations and endowment income do not make up for that entire difference.

So it's not wrong.  It's not misleading.  And chick's explanation did not address this point.

You should probably give up now.

You've made an assumption here that donations and endowment income, and other financial aid sources that are obligated to go towards specific students, do not make up the entire difference.

Your assumption is wrong.

[jsglow]

What he said was that he felt his contribution would have more impact to a smaller organization.  A totally legitimate position.  Glow's response was, "you couldn't be more uninformed."  If you're all about encouraging people to be honest about why they don't give to Marquette, I'd think Glow's smug response would strike a cord with you.

I was specifically referring to '$100 or $1000 doesn't really matter', not the part distinguishing between large and small organizations.  Perhaps I should have bolded that part in the copied segment. 

[jsglow]

Brother Gyros -- Write the check.

The journey of 1,000 miles begins with a single step. Is the first step out the door any less important than the last step before you end your journey?

No, it isn't. Every step counts. You can't make the journey if you don't take every step. Some steps are bigger than others. Some smaller. Some are faster. Some are barely measurable.

Three weeks ago, I was in a glorious Cathedral in Bayeux, Normandy, France. Thousands upon thousands of stones were used to build the Cathedral. Tons of glass was fabricated in way that told the story of the angels and saints. Of God and Jesus Christ. Some of the stained glass is more obvious and more elegant than that the stones that comprise the walls that hold the building up. Yet skilled craftsmen were involved in every element of the building. No one stone nor one piece of glass is more important than the others. Some are bigger and smaller and some are more noticeable. But the Cathedral would not exist without each component and without the skills of tens of thousands of people who designed and build it.

Contributions are the same way. Some are larger. Some are smaller. Some are targeted and some go for unions, dorms and sports teams. Individually, none by themselves matter. But as a group, they allow a university to do great things.

Write the check, OK?

Very well written dgies.

[The Hippie Satan of Hyperbole]

You've made an assumption here that donations and endowment income, and other financial aid sources that are obligated to go towards specific students, do not make up the entire difference.

Your assumption is wrong.

Nice (unsupported) shifting of the goalposts.  Talk about misleading.

[forgetful]

Nice (unsupported) shifting of the goalposts.  Talk about misleading.

I never shifted goalposts. I told you that your statements were misleading at best, and genuinely inaccurate. It is incorrect.

I (and Chick), explained that your ideas regarding how these were funded, and how the accounting was done is incorrect.  It is incorrect.

You tried to justify your assertions, by making an incorrect assumption. I informed you that assumption is also incorrect.

My support for this, is I have two decades of experience in this arena. You are welcome to go on and continue to believe whatever you wish. Personally I don't care what you believe.

My concern is that other people will see what you wrote, and incorrectly decide donating for scholarships is not worthwhile, or come to other false conclusions, based on your incorrect and/or misleading statements.

[dgies9156]

Unfortunately so do the hanging chads.

We don’t have that anymore. Instead, we have Palm Beach and Broward Counties, where the election commissioner can’t count ballots no matter how hard they try.

[The Hippie Satan of Hyperbole]

I never shifted goalposts. I told you that your statements were misleading at best, and genuinely inaccurate. It is incorrect.

I (and Chick), explained that your ideas regarding how these were funded, and how the accounting was done is incorrect.  It is incorrect.

You tried to justify your assertions, by making an incorrect assumption. I informed you that assumption is also incorrect.

My support for this, is I have two decades of experience in this arena. You are welcome to go on and continue to believe whatever you wish. Personally I don't care what you believe.

My concern is that other people will see what you wrote, and incorrectly decide donating for scholarships is not worthwhile, or come to other false conclusions, based on your incorrect and/or misleading statements.

Actually I know exactly of what I am speaking and you are wrong.

Still.

Again.

Your two decades of experience has really taught you nothing.