ESTABLISHING NEW AWARDS: DONOR’S GUIDE
Whether you want to give once, give monthly, or donate a security or mutual fund for greater financial benefits, with the AREF Endowment Fund you can establish a scholarship in memory of a loved one, in the name of a family member, a business or yourself.
Disbursement to scholarships can be started with a donation of as little as $10,000. Your endowment will be invested and with an expected annual return of 3-4% form the investment. It is only these profits that will be disbursed to the scholarships. Your principal donation will never diminish. Any profits over and above 4% will be reinvested. You will watch your principal amount grow year after year, insh Allah.
By applying your donation to the AREF Endowment Fund, your scholarship will be awarded yearly, in perpetuity, insha Allh.
Profits will be distributed annually, in perpetuity. In other words, once your monthly or one-time donation reaches $10,000, AREF will begin disbursing the scholarship in your name or a name you choose.
You will also determine to what field of study you wish the scholarship will be awarded.
By following the next few steps, you guarantee that your endowment is placed:
Determine the type of award you want to create
- donors may wish to establish a named award to recognize the life and accomplishments of a friend, mentor, or family member.
- awards in the form of scholarships.
- determine the field of study for the scholarship e.g. science, arts, religious studies, etc.
Decide how you will fund your Award
- any amount
- through either a direct deposit or credit card
- once the endowment reaches $10,000, disbursement to Scholarships at the rate of 3-4% annually will be made
- any amounts over and above $10,000
- scholarships will be disbursed at the rate of 3-4%
- additional gifts can be added to the endowment at any time.
Set the Terms and Conditions of your Award
- donors may designate award to a specific faculty, department, degree program field of study, or year of study
- alternatively, donors may choose to designate an “open” award with no faculty, field or year of study restrictions.
- The terms and conditions of your award will be subject to approval by and should be compliant with those set by AREF Scholarship and Awards Committee.