Wednesday, August 07, 2013

The Demise of Alumni Donations

One of the most valuable assets of a college or university is its alumni association. One of the critical metric's that determines the strength of a school's alumni group are the percentage of alumni who give money to a school every year. Alumni wouldn't likely hand over money to a school if they felt no affinity toward the institution. However, I do believe many colleges and universities receive large donations from alumni and others are that these donations are tax deductible. 

With all that being said I firmly predict the demise of this revenue stream for one simple reason - "STUDENT DEBT." Loyalty to one's school is a big reason for giving but if one leave's that school with a large student debt that now becomes a monthly payment for the rest of one's life not giving an annual alumni donation (at the least very small amount) is going to go by the wayside.
Why should a student give back or donate to a school or an education system that is extorting (perhaps "usury" is the better term) money from individuals because too many jobs today require a degree (many advanced).

Each month I get phone calls at home from five different colleges/universities that my children and I graduated from asking for donations. I tell them once are student debt is paid I then may give back to the college. Then and only then will I feel the so-called institution of higher learning deserves my support. 

I believe others feel the same way I do and are not giving like they used too because there children and grandchildren are strangled in debt. I guess the only thing the school will do is to increase tuition and fees thus causing not only the "Demise of Alumni Donations" but the "Demise of the American Educational System" except for a few.

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