Like most other public universities, Binghamton University receives just a fraction -- approximately 16 percent -- of its revenue directly from the state. Federal dollars are sometimes allocated to a specified project or infrastructure needs. Tuition, which has failed to keep pace with inflation over the past decade accounts for a small percentage of University revenue.
Binghamton University must rely on private donors to support the rest -- everything from scholarships to faculty hiring and retention to equipment for classrooms and laboratories. When new buildings are built, state funds pay for the actual cost of construction -- but not for the furnishings needed to bring those spaces to life. Gifts and endowments also enable a university to weather the inevitable "lean years," when budget cuts and competing priorities result in greater challenges for public institutions.
An endowment preserves capital, overcomes inflation and provides long-term, reliable income to the University. For example, a $100,000 scholarship gift might be awarded to deserving students at $5,000 per year -- meaning the scholarship fund will be depleted in 20 years. But if that $100,000 were used to establish an endowment, the gift would be invested and a portion of the earnings used to award scholarships. Another portion would be used to increase the principal and offset investment costs. The endowment would therefore continue to grow over time, supporting scholarships for as long as the University exists.
I can't afford much, but I want to make a difference.
Every gift makes a difference. Through the Binghamton Fund, even relatively small gifts can have a major impact. Just $25 can purchase a new library book or slides and petri dishes for a chemistry lab. A $100 gift can help a student research an honors thesis. $500 can support an internship or award a stipend to a graduate student. And, when combined with hundreds or even thousands of other "small" gifts, the University can hire new faculty members, offer merit scholarships or meet a host of other critical, ongoing needs.
Endowments and scholarships are often named in honor of a family member or friend. Also, naming opportunities for classrooms and gathering spaces, laboratories and buildings are available for donors who wish to honor or memorialize their loved ones in this manner.
Yes, donors often choose to remain anonymous. Binghamton University always respects a donor's stated wish for privacy.
Yes, the Binghamton University Foundation is a federally-recognized 501(c)(3) non-profit organization. Gifts to the Foundation are therefore tax deductible to the fullest extent of the law.
As of June 30, 2013, Binghamton University's endowment was $87.2 million.
About 7 percent of Binghamton University's 105,563 alumni made financial contributions in support of the University this past fiscal year, which ended June 30, 2013.
Alumni participation is important because:
- It builds pride in the University and enhances the value of a Binghamton degree.
- It elevates the University's reputation. Publications such as U.S. News & World Report use the alumni participation rate when calculating rankings. Binghamton's ranking is consistently in the top 50 of all public national universities.
- Granting agencies take this rate into consideration when making funding decisions.