Sustainability is everywhere at MICDS: in the cultivation of our buildings, our grounds, the nurturing of our students–and just as importantly, our finances. There are many ways we work toward protecting the resources we have and mindfully steward every gift in our tradition of excellence.
Where does your gift go?
1. The Annual Fund: Educational projects, trips, faculty excellence and the arts
2. Capital “Brick-and-Mortar” Projects: Building and facility improvements and environmental additions
3. Endowed Gifts: Financial aid, faculty professional development and student programs
What Are Endowed Gifts?
Unlike the Annual Fund, endowed gifts are not designed to be spent all at once. Instead, MICDS spends only 4.3 percent of the endowment’s seven year average market value, calculated on a 28 quarter basis for smoothing purposes.
Myth: Because of our significant endowment, we are not “in need.” Or, we can simply “tap” into our endowment reserves whenever we need to.
Fact: It’s not that simple.
At MICDS, we determine our endowment draw each year by calculating the average market value of the endowment from the past seven years. Then, we replenish the funds drawn and spent with long-term investment returns. By doing so, we are able to preserve the value of the original gifts in perpetuity—as well as allow them to grow.
Myth: Endowed funds can be used however the School decides.
Fact: Many of the endowed funds are restricted, and we are committed to upholding the donor’s intentions for the funds. For example, if endowed funds are restricted to international programs, we cannot use the funds to pay the electric bill.
Funding the MICDS Endowment through Bold Action
As we head into the final phase of the Bold Action Campaign, we are focused on two major areas of endowment funding:
- Faculty Tuition Benefit allows our school, in perpetuity, to offer a competitive benefits package to attract and retain the best teaching staff who wish to have their own children attend MICDS. Faculty whose children are enrolled in our school commit more fully to the life of school, which enriches our entire learning community.
- Apprentice Teaching Fellowship allows MICDS to attract and develop young men and women with extraordinary talents in key disciplines who are new to the teaching profession. This also provides a mentoring relationship between the aspiring teacher and a senior member of our current faculty.
- Financial Aid allows us to attract bright, young students who might not otherwise have the opportunity to attend the School and guarantees a socioeconomically diverse community. Endowed funds help us reduce the reliance on tuition dollars to support this particular operation of the School.
- Assistance Beyond Tuition ensures that all students are able to participate in the full MICDS experience. It covers costs of programs and activities not covered by tuition, such as an art history field trip to Chicago, an instrument rental or an AP textbook fee.
Did You Know?
- MICDS has 224 individual endowed funds.
- Collectively they form our $96 million endowment
- Of those endowed funds, 56% are restricted with the largest areas of distribution going to financial aid, Chairs of Distinguished Teaching, faculty professional development and student programs.