In 1936, a small group of alumni, friends, and members of the Indiana University community founded the IU Foundation to fulfill a dream of educational opportunity for all.
A not-for-profit corporation, IUF is dedicated to maximizing private sector support for IU. State appropriations provide less than a third of IU’s operating budget, so private gifts are vital to keeping an IU education both exceptional and affordable.
You will find essential information about IUF’s leaders, staff, and operations below.
IUF does exactly what you intend. We deposit 100% of your gift into one or more of the accounts established at IUF by IU's president, provosts, chancellors, deans, department chairs, and program managers to hold their gift funds. We then confirm the designation in a thank-you receipt. The IU staff member in charge of the account submits a request for your gift. After ensuring that the request meets the account's guidelines, IUF issues a check.
Unrestricted gifts: IU designates about 2/3 of your unrestricted gifts to developing student leaders, rewarding outstanding teaching and academic performance, recruiting faculty, and conducting events that showcase the University. The remainder of the unrestricted funds supports IUF communications and fundraising or, at IU's request, important University initiatives for which other funding is not available.
IUF's operating budget has three sources:
- A fee paid by IU to IUF for fundraising, investment management, and associated administrative services. The University contracts with IUF for these services.
- An administrative fee of 1% on the assessed market value of the IU endowment.
- Income from rents, royalties, IUF's operating endowment, and unrestricted gifts.
- Confidentiality: Laws mandate that records and meetings of state institutions be open to the public. Because IUF is separate from IU, it is able to keep confidential gift records, wills, trust agreements, correspondence, and other highly personal documents related to gifts.
- Return on investment: State statutes limit how state institutions can invest their funds. IUF, subject to different though equally stringent rules and regulations, can realize a significantly higher return on IU's endowment.
- Flexibility: IU prepares budgets two years in advance and has limited discretionary funds. Gift funds, administered by IUF, add to the pool of discretionary funding. Gift funds can also be used in ways that state moneys cannot, such as faculty research in other countries.