Private School Endowments

[Anonymous]

Private schools are clever when it comes to fundraising. They typically announce projects then try to raise the money for them later. If you are being pitched for Giving Tuesday, or taken for tea by a development officer, or pitched to donate to a particular fund, or are just considering enrolling --you have the right to ask how much long and short term debt your school carries, how big the endowment is, what the strategic plan is etc.  It's important to understand the financial health of a school, especially if you are considering investing 8-10 years of approximately $40-60k into it. Just like any other $200k-$600k investment, it makes sense to get the full picture. 

For starters, here is a snapshot of the end of year endowment funds reported on many DC Privates’ 990’s. (Religious schools such as Sidwell, Cathedral, St Albans , do not have to report on same forms so they are not listed). While endowments don't tell a full story they are a piece of the puzzle.

Madeira $74,328,182
GDS $71,560,246
Potomac $ 62,576,002
Holton $46,683,595
Maret $24,592,423
Landon $22,079,303
Norwood $19,563,635
St Andrews $10,742,213
Bullis $9,966,287
Langley $9,566,473
WIS $8,316,938
Sheridan $5,290,001
Lowell $4,950782 
Barrie $1,607,944
Burke $1,157230  
Field $485,167

[Anonymous]

So Fields entire endowment is 25% less than the annual salary of the HoS. That seems normal and fiscally responsible.

[Anonymous]

Are these endowments or “asset”?

[Anonymous]

It is also really interesting to compare these endowments by age of the school as well.

[Anonymous]

Anonymous wrote:Are these endowments or “asset”?

I'd think that most of these schools have assets (assuming you mean land, buildings, etc.) well in excess of the endowment numbers. Just taking the first one, Madeira's 990 indicates assets of more than twice the endowment number cited.

[Anonymous]

Why such a big range?

[Anonymous]

It’s directly tied to several factors:
1. The age of the school (more years of being in business = more years to raise and grow an endowment.
2. The demographics of the school and their graduates. More financially successful people tend to give more because they have the means to do that.
3. The makeup of the families. For schools that are transient or very international (like WIS), it can be a great place but Americans are unique in viewing schools philanthropically. In other words, folks from other parts of the world are not accustomed to donated to schools and their giving patterns reflect it.
4. To a lesser extent, the duration that someone is at a school is tied to affinity. In many cases, one is more likely to give to a K-12 and than a K-8. The propensity for a family to give iss higher as the kids get older.
5. Management of fund. Money grows so wise investment pays off.

[Anonymous]

These endowments are all on the low side, even at the top of the list.

[Anonymous]

What is the purpose of the endowment? Is it from tuition fees or donations or both? Doesn’t a huge endowment mean people have been overpaying?

[Anonymous]

Anonymous wrote:Private schools are clever when it comes to fundraising. They typically announce projects then try to raise the money for them later. If you are being pitched for Giving Tuesday, or taken for tea by a development officer, or pitched to donate to a particular fund, or are just considering enrolling --you have the right to ask how much long and short term debt your school carries, how big the endowment is, what the strategic plan is etc.  It's important to understand the financial health of a school, especially if you are considering investing 8-10 years of approximately $40-60k into it. Just like any other $200k-$600k investment, it makes sense to get the full picture. 

For starters, here is a snapshot of the end of year endowment funds reported on many DC Privates’ 990’s. (Religious schools such as Sidwell, Cathedral, St Albans , do not have to report on same forms so they are not listed). While endowments don't tell a full story they are a piece of the puzzle.

Madeira $74,328,182
GDS $71,560,246
Potomac $ 62,576,002
Holton $46,683,595
Maret $24,592,423
Landon $22,079,303
Norwood $19,563,635
St Andrews $10,742,213
Bullis $9,966,287
Langley $9,566,473
WIS $8,316,938
Sheridan $5,290,001
Lowell $4,950782 
Barrie $1,607,944
Burke $1,157230  
Field $485,167

Saint Andrews is an Episcopal school. It’s listed. Are you saying that religious schools have the option of keeping the information quiet or are required to?

[Anonymous]

Anonymous wrote:Private schools are clever when it comes to fundraising. They typically announce projects then try to raise the money for them later. If you are being pitched for Giving Tuesday, or taken for tea by a development officer, or pitched to donate to a particular fund, or are just considering enrolling --you have the right to ask how much long and short term debt your school carries, how big the endowment is, what the strategic plan is etc.  It's important to understand the financial health of a school, especially if you are considering investing 8-10 years of approximately $40-60k into it. Just like any other $200k-$600k investment, it makes sense to get the full picture. 

For starters, here is a snapshot of the end of year endowment funds reported on many DC Privates’ 990’s. (Religious schools such as Sidwell, Cathedral, St Albans , do not have to report on same forms so they are not listed). While endowments don't tell a full story they are a piece of the puzzle.

Madeira $74,328,182
GDS $71,560,246
Potomac $ 62,576,002
Holton $46,683,595
Maret $24,592,423
Landon $22,079,303
Norwood $19,563,635
St Andrews $10,742,213
Bullis $9,966,287
Langley $9,566,473
WIS $8,316,938
Sheridan $5,290,001
Lowell $4,950782 
Barrie $1,607,944
Burke $1,157230  
Field $485,167

For perspective, are you able to provide Harvard Westlake private high school in Los Angeles? Or Brentwood Academy and Campbell Hall in Los Angeles private K-12s?

[Anonymous]

Anonymous wrote:It’s directly tied to several factors:
1. The age of the school (more years of being in business = more years to raise and grow an endowment.
2. The demographics of the school and their graduates. More financially successful people tend to give more because they have the means to do that.
3. The makeup of the families. For schools that are transient or very international (like WIS), it can be a great place but Americans are unique in viewing schools philanthropically. In other words, folks from other parts of the world are not accustomed to donated to schools and their giving patterns reflect it.
4. To a lesser extent, the duration that someone is at a school is tied to affinity. In many cases, one is more likely to give to a K-12 and than a K-8. The propensity for a family to give iss higher as the kids get older.
5. Management of fund. Money grows so wise investment pays off.

Huge emphasis on the schools’ persistence and eloquence in soliciting donations; in conjunction with extremely smart management of the funds

[Anonymous]

Anonymous wrote:Private schools are clever when it comes to fundraising. They typically announce projects then try to raise the money for them later. If you are being pitched for Giving Tuesday, or taken for tea by a development officer, or pitched to donate to a particular fund, or are just considering enrolling --you have the right to ask how much long and short term debt your school carries, how big the endowment is, what the strategic plan is etc.  It's important to understand the financial health of a school, especially if you are considering investing 8-10 years of approximately $40-60k into it. Just like any other $200k-$600k investment, it makes sense to get the full picture. 

For starters, here is a snapshot of the end of year endowment funds reported on many DC Privates’ 990’s. (Religious schools such as Sidwell, Cathedral, St Albans , do not have to report on same forms so they are not listed). While endowments don't tell a full story they are a piece of the puzzle.

Madeira $74,328,182
GDS $71,560,246
Potomac $ 62,576,002
Holton $46,683,595
Maret $24,592,423
Landon $22,079,303
Norwood $19,563,635
St Andrews $10,742,213
Bullis $9,966,287
Langley $9,566,473
WIS $8,316,938
Sheridan $5,290,001
Lowell $4,950782 
Barrie $1,607,944
Burke $1,157230  
Field $485,167

Approve the Washington Post. Sidwell’s endowment is 52 million.
https://www.iwf.org/2020/05/13/it-helps-to-have-friends-sidwell-gets-5-2-million-ppp-bailout/

[Anonymous]

Anonymous wrote:

Anonymous wrote:Private schools are clever when it comes to fundraising. They typically announce projects then try to raise the money for them later. If you are being pitched for Giving Tuesday, or taken for tea by a development officer, or pitched to donate to a particular fund, or are just considering enrolling --you have the right to ask how much long and short term debt your school carries, how big the endowment is, what the strategic plan is etc.  It's important to understand the financial health of a school, especially if you are considering investing 8-10 years of approximately $40-60k into it. Just like any other $200k-$600k investment, it makes sense to get the full picture. 

For starters, here is a snapshot of the end of year endowment funds reported on many DC Privates’ 990’s. (Religious schools such as Sidwell, Cathedral, St Albans , do not have to report on same forms so they are not listed). While endowments don't tell a full story they are a piece of the puzzle.

Madeira $74,328,182
GDS $71,560,246
Potomac $ 62,576,002
Holton $46,683,595
Maret $24,592,423
Landon $22,079,303
Norwood $19,563,635
St Andrews $10,742,213
Bullis $9,966,287
Langley $9,566,473
WIS $8,316,938
Sheridan $5,290,001
Lowell $4,950782 
Barrie $1,607,944
Burke $1,157230  
Field $485,167

Saint Andrews is an Episcopal school. It’s listed. Are you saying that religious schools have the option of keeping the information quiet or are required to?

It is an option. Nationally, some Quaker and Episcopal schools file the 990 and others file under the religious exemption.

[Anonymous]

Anonymous wrote:These endowments are all on the low side, even at the top of the list.

This depends on what you are comparing to, of course.