Endowment funds are funds provided to Rutgers that are restricted for a particular use by an outside party (and in some cases, by Rutgers). Rutgers receives these funds from donors, organizations, or other outside sources and holds the principal either in perpetuity (true endowment) or for a specified period (term endowment). These funds are invested in the University’s Long-Term Investment Pool (LTIP). Rutgers also holds quasi- endowment funds. A quasi-endowment is created when the Board imposes a restriction on the organization’s own general operating funds; this is not considered a permanent restriction because the board can remove the restriction at any time. Typically, quasi-endowments established by the University are categorized as “unrestricted quasi-endowments”. In some cases, a donor may wish to create a quasi-endowment for a specific purpose; these are categorized as “restricted quasi-endowments”. Quasi-endowments function like a true or term endowment without the legal restriction to hold the fund permanently. University Accounting sets up these funds in endowment projects which begin with a #6XXXXX and have a task #600.
Endowment projects also include restricted and unrestricted endowment operating funds. Restricted endowment operating projects include revenues and expenses generated from restricted Quasi, Term and True Endowments. Unrestricted endowment operating projects include revenues and expense generated from unrestricted quasi-endowments and the purpose of the use is not restricted. Endowment operating projects are set up in a #6XXXXX project and have a task #601.
Our department is also responsible for opening new restricted projects and securing the appropriate correspondence necessary to support the creation of new projects. Please contact Research Financial Services to open a sponsored project in any instances when restricted contributions are given to Rutgers to support sponsored research activities.
Restricted gifts are unconditional gifts attached to nonreciprocal conditions from donors to be used for a specific purpose/program specified by the donor. Restrictions empower donors to tailor how their gifts will be used, motivating them to support specific areas of their choice. Learn more about the criteria and process for opening new gift projects.
To request a new Endowment or Restricted Gift Project, contact Rani Masanam at 848-445-8266 or email firstname.lastname@example.org for the appropriate form.
Federal Student Aid are grants provided by the Federal government to support students’ academic needs. Examples include Pell grants and Federal Supplemental Educational Opportunity Grants (FSEOG).
State Student Aid are grants provided by the State of New Jersey government to support students’ academic needs. Examples include New Jersey Tuition Aid Grants (TAG) and the New Jersey Stars.
Federal and State Student Aid projects are restricted in nature and are managed by University Accounting in conjunction with Financial Aid.
The department of Unrestricted Operations oversees unrestricted internally designated funds pertaining to unrestricted projects. Unrestricted internally designated projects support a variety of programs or purposes, including faculty funds and internally designated general funds that are not subject to restrictions placed on them by external sources.
To expedite the process, have all necessary approvals in place prior to completion and fill out the questionnaire in its entirety. Please provide a brief explanation of the account’s intended purpose and suggest a title for the account. You will be notified when the account has been approved.