Frequently Asked Questions about the Rutgers Club of Lehigh Valley Scholarship
Q ~ Eligibility: Who is eligible as a candidate for the scholarship?
Students living in Lehigh, Carbon, Monroe, or Northampton Counties who have enrolled for their freshman year at any of the Rutgers campuses. If no student from the designated area exists, the scholarship may be offered to a student from the North East Pennsylvania- or Philadelphia-area Rutgers Club.
Q ~ Financial Need: Is this scholarship subject to financial need?
Yes, we plan to use as a selection criteria “demonstrated financial need” and the pool of eligible students will be determined by Rutgers Financial Aid Department. However, to position this scholarship as an incentive to go to Rutgers it will be offered as a scholarship rather than a grant or loan which must be repaid. Remember, Rutgers, by policy, can only offer financial aid to an out-of-state student up to the level of an in state student thereby leaving $10,000 gap to be made up by the out-of state student. While leaving a gap, the scholarship monies are a reduction in the total cost for the out-of-state student.
Q ~ Merit Based: How does the student get selected?
The entire process for selection is handled by the Rutgers Financial Aid Department. They will select the specific student to receive the RCLV Scholarship from the pool of students needing financial aid. The criteria includes 1) Demonstrated performance in Academics, 2) Leadership in high school and/or community organizations, and 3) Active participation in community service organizations and/or initiatives.
Q ~ Scholarship Amount: What is the amount of the scholarship?
- Until we fully fund the endowed scholarship we will offer $1766 per year – a symbolic starting point.
- When we raise $50,000 thereby endowing the scholarship, the amount will be increased to about $2,500, depending upon the returns from the invested funds in the year.
- If we choose to continue fund raising above the $50,000 level, we will have the opportunity to offer a larger scholarship amount or to offer multiple scholarships.
- The amount and when we can offer the scholarship are dependent upon two things – your generosity and the investment returns, but if we do our job we can be assured that the scholarship will be funded forever.
Q ~ Donor Benefits: What benefits accrue to donors?
- All donations result in a personal tax deduction, the amount of the deduction being dependent on your gift amount and your level of taxable income.
- Appreciated investments may be given directly to the Rutgers Foundation avoiding all income taxes on the appreciated value (profit) of the assets.
- All donations are eligible for employer matching funds thereby increasing your contribution.
Q ~ Endowment: What are the benefits of creating an endowed scholarship?
By establishing an endowed scholarship managed by the Rutgers University Foundation we obtain the following benefits:
- The funds are managed professionally, thereby maximizing the opportunity for investment returns and minimizing the need for volunteers to manage the scholarship funds.
- Once endowed (funded) the scholarship fund returns will allow us to offer the scholarship every year, as long as the fund generates enough income.
- While the scholarship is being funded (has a balance of less than $50,000) we will be able to pay out the scholarship amount from the fund.
- The funding period is five years, if we fail to reach $50,000 in that timeframe, we will have the option of continuing to raise funds or to decide to terminate the scholarship, distributing the balance of the scholarship account as scholarships.
- We have the ability to continue fundraising beyond the $50,000 level if we choose to do so.
Q ~ Management Fee: Is there a management fee for managing the scholarship account?
Yes, we will pay the Rutgers Foundation 5% of the average account balance each year.
Q ~ Goals: What are the Club’s 2010 / 2011 Fund Raising and Participation Goals?
- We are attempting to raise $10,000 to $14,000 in 2010 / 2011.
- The Rutgers Annual Giving Department has agreed to send two types of letters to Rutgers Alumni in the Lehigh Valley. The first letter and a follow-up were sent to RCLV members only and the second type of letter will be sent to all Lehigh Valley Alumni who are not current contributors to Rutgers.
- The letter to all Lehigh Valley Alumni will be followed-up by the telethon call center.
- Our goal is to engage as many alumni as possible in this initiative, for there is significant leverage when all Alumni participate.
- Active RCLV Roster Members ~ !00% contact, 75% make donation,
- LV Alumni (non-roster members) ~ 75% contact, 25% engage / make donations
- Invite 100% of LV Alumni to become active in RCLV (contact for more information)
Be a donor, help create an opportunity for a Lehigh Valley student to attend Rutgers, become an active member of the Rutgers Club of Lehigh Valley (by being alumni of Rutgers you are already a member). We welcome all Rutgers Alumni working or living in the Lehigh Valley Area and are counting on you to help us celebrate our success.
Ready to join The Rutgers Club of Lehigh Valley or want more information?
Join with the other 2,500 Rutgers Alumni in Lehigh, Carbon, Monroe, and Northampton Counties. Contact for more information.