Giving to NYIT


A contribution is defined as a transfer of cash or non-cash assets to a not-for-profit entity that requires nothing in return.

Endowment Fund
An endowment is a fund whose principal is restricted as specified by the terms of the endowment agreement. Endowments usually carry restrictions regarding earnings generated. Only the interest generated from an endowment fund may be used for either "restricted" or "unrestricted" activities.

A pledge is an agreement, or "promise to give," either a cash or non-cash contribution within a specified period of time. A pledge may be oral or in writing.

Restricted Fund
A restricted gift is a contribution of either cash or property given with a specific intent or purpose as defined by the donor. Restricted funds greater than $500 are assigned a unique "restricted" account. Restricted funds less than $500 are included in the general "restricted" fund.

Types of restricted gifts include:

  • Scholarships
  • Awards
  • Capital Projects
  • Other

Unrestricted Fund
An unrestricted gift is a contribution made, either in cash or property that may be used at the discretion of the college.

Gift Processing

See cash gifts, endowment funds, scholarships, non-cash gifts, pledge gifts and/or matching funds for guidance and procedures governing specific transactions.

Cash Gifts

Faculty and staff who receive cash gifts, excluding endowments, must complete the Cash Donation Form and submit it along with all supporting documentation, including pledge card, matching gift form, etc., to the Office of Development for processing. Individuals making contributions to the same fund for less than $1,000 each may submit one form with an attachment listing the names, addresses and gift amounts of all donors.

Wires, credit cards, checks and cash are all acceptable forms of payment. Acceptance of any type of gift may be arranged through the Office of Development. Credit card transactions may be processed by obtaining the donor credit card number, name on the card, and expiration date for contributions greater than $25. Gifts made by check, must be payable to the "NYIT."

Endowment Funds

Endowment agreements should be prepared by the Office of Development in conjunction with Financial Affairs, Legal and the Department initiating the request. New endowment funds and/or agreements may be established for funds greater than $25,000.

To initiate an endowment agreement, please contact the Office of Development for assistance. The Office of Development will engage the appropriate parties necessary in drafting the endowment agreement and terms.

Endowment Agreements typically include the following information:

  • Name of Fund;
  • Description of source of funds;
  • Purpose of fund including restrictions on distributions and interest income earned;
  • Title of person awarding funds, and procedures for awards issued;
  • Disclosure of investment practices;
  • Policy for additional contributions, including terms;
  • Process for endowments that do not reach the required minimal funding level;
  • Process for amending an endowment agreement.


Scholarships created in honor of and named for an individual may be initiated with a contribution of $10,000 and a commitment to future contributions at predetermined intervals.

Non-Cash Gifts

Faculty and staff who receive non-cash gifts must complete the Non-Cash Donation Form and have it completely authorized prior to accepting the gift. The Office of Development is responsible for authorizing or obtaining authorization of all non-cash gifts from the appropriate level of senior management. Once you have received a signed copy from the Office of Development, you may arrange to have the non-cash gift sent to the college.

Pledge Gifts

Faculty and staff who receive pledges should confirm the donor's intent by acknowledging the gift in writing. Nominal gifts may be acknowledged by sending a thank you letter and remittance card to the donor.

Pledges of major gifts should be confirmed in writing by sending the donor a thank you letter and letter of intent requiring the donor's signature, see Sample Letter (Word). Letters of intent including recognition over and above that extended to all donors is at the discretion of the President of the college.

Matching Gifts

Many parent companies and corporate foundations in the United States have a matching gift program. The intent of the matching gift program is to encourage donors who are employees of companies and corporate foundations to donate to organizations such as educational institutions by matching the employee(s) contribution. In some cases, the program may also apply to contributions made by spouses, retirees and board of director members.

The employer generally requires the employee to complete a matching gift form to initiate the process. The matching gift form may be obtained from the employer. Upon completion of the form, the donor may submit the matching gift form along with their contribution to the college.

The receiving department should complete either a cash donation form, or a non-cash donation form (for gifts of securities) and forward it along with any supporting documentation, including cash and checks received, to the Office of Development for further processing. Matching gift forms should be completed by the donor and sent with the donor's contribution to the Office of Development. Matching gift forms may also be collected by departments sponsoring campaigns; however, must be sent to the Office of Development with contributions received upon completion of a campaign.

Check to see if your company has a matching gift policy

Pledge Processing

A pledge is an agreement or "promise to give" either a cash or non-cash contribution within a specified period of time. Pledges may be paid in a single lump sum payment or multiple payments. A pledge may be oral or in writing. All monetary pledges must be processed through the Office of Development.

Departments soliciting pledges should notify the Office of Development of the following:

  • Campaign
  • Who they will solicit
  • Purpose of the Campaign
  • Financial Goals
  • Expected start date
  • The Office of Development will notify departments of potential conflicts with other campaigns.

Single Pledge

Upon completion of a campaign, the sponsoring department must submit the Pledge Campaign Log and send out acknowledgement letters and remittance cards confirming pledges made. Remittance cards may be obtained from the Office of Development. Copies of letters acknowledging pledges should be sent along with the Pledge Campaign Log to the Office of Development for further processing.

The Office of Development in coordination with the donor will arrange payment schedules which will result in routine pledge reminders to donors.

Pledge dollars received may be batched and processed by campaign using the Cash Donation Form.

Multi-Year Pledge

Multi-year pledges may also be recorded on the Pledge Campaign Log. Multi-year pledges are a good option for those wishing to donate cash over a period of years.

Multi-year pledges greater than $10,000 are recorded at net present value for the entire pledge in year one. Multi-year pledges recorded and not fulfilled in any given year will be written off entirely at the end of the fiscal year.

The Office of Development is required to send the Controllers Office notification of all new multi-year pledges on an annual basis at the end of the fiscal year.

Non-Cash Gifts (Including Securities)

Before accepting non-cash gifts review the approval process for accepting non-cash gifts and procedures pertaining to publicly traded securities and tangible items included in this policy.

Publicly Traded Securities

Gifts of publicly traded securities provide a creative idea for making a contribution with attractive tax incentives.

Types of securities publicly traded and most commonly donated include:

  • Stocks
  • Bonds

Donors are encouraged to "transfer" securities due to preferential tax considerations. Transfer of securities may be arranged by calling the Office of Development for broker instructions.

Donors holding securities in certificate form may send them directly to the Office of Financial Affairs located in the Gerry House in Long Island. Securities mailed to the college require a "stock power" certificate with a signature guaranteed by a loan officer. Stock power certificates should be sent to the Office of Development. On the stock power, fill in only the description of the security and sign your name exactly as it appears on the face of the certificate. Do not fill in New York Institute of Technology as transferee or attorney to transfer on either the certificate(s) or stock power(s).

The college reserves the right to keep the securities or sell them upon receipt. Sale of securities is at the discretion of the institution.


Donated securities are valued at fair market value as of the date the gift was donated or transferred (or postmark date on envelope, if mailed) to the college. The fair market value is the estimated going rate a seller can obtain on the open market, or more specifically, the average high and low market rate as of the transfer date.

View IRS Publication 561, "Determining the Value of Donated Property"

Donor Tax Considerations

Capital gains on appreciated long-term held securities (held for more than 12 months) are excluded from taxable income if the donor "transfers" the securities to the college. In addition, the donor may take a federal income tax charitable deduction.

Donors who have securities that have depreciated in value are advised to sell the securities prior to donating the proceeds to take advantage of the capital loss.

Recording of Securities Donated

Securities donated are generally sold upon receipt and are recorded as cash.

Notification of securities sold must be provided by completing a Securities Memorandum and sending it to the Office of Development.

Tangible Gifts


Tangible gifts include personal property, or anything with physical substance that can be touched, excluding real estate and securities.


Contributions of property are valued at the fair market value as of the transfer date of the contribution. The fair market value is the estimated going rate a seller can obtain on the open market. Donors wishing to deduct contributions greater than $5,000 are responsible for obtaining an independent appraisal.

View IRS Publication 561 for more

Other costs to consider prior to accepting a tangible gift include:

  • Maintenance Costs
  • Storage Requirements
  • Installation
  • Delivery

Contribution of Hardware/Software

Gifts of hardware and software should be pre-approved by OIT prior to acceptance. OIT can help assess compatibility with existing systems and potential costs associated with acceptance.

Recording of Property Donated

The Office of Development is required to notify Accounting upon receipt of a non-cash gift. As stipulated by the Financial Accounting Standards Board (FASB), No. 116, contributions of a personal property should be recognized as an asset. Revenue on "restricted" assets is recognized upon meeting the conditions established by the donor. Revenue on "unrestricted" assets is recognized in the period it was received.

The recording of artwork and collectibles is optional if the following conditions are met:

  • Asset is held for public exhibition, education or research.
  • Asset is protected, preserved and unencumbered.
  • Proceeds from the sale of the asset are used to purchase other items for the collection.

Recording Activity

Based on pre-determined criteria established by the Office of Financial affairs, the Office of Development will determine whether or not to request a new account number.

For non-cash donations, see non-cash gifts.

Assigning Account Numbers

  1. Restricted Accounts:
    • Restricted contributions to a fund greater than $500 are assigned an activity code beginning with a "6."
    • Restricted contributions less than $500 are recorded to the "General Fund" activity code, 651005.
    • Unused monies on restricted accounts are brought forward into the next fiscal year. Interest income earned on restricted contributions is institutional funds.
  2. Endowments:
    • Existing and new endowments funds generally begin with an activity code of "3."
    • Unused monies on endowments accounts are brought forward into the next fiscal year. Interest, restricted and/or unrestricted, associated with an endowment is also recorded to the same activity code and managed according to the terms of the endowment agreement.
  3. Unrestricted:
    • Contributions with no specific purpose, also referred to as unrestricted, are generally credited to the Alumni Fund or some other specified account, used to fund operating expenses.

Budget Setup

Departments receiving gifts from external parties, or who plan to coordinate a fundraiser and/or NYIT sponsored program need to contact the Office of Development. The Office of Development must complete a New Account Form to initiate the opening of an account. Financial Affairs will determine the type of activity code required, and setup the appropriate budget account to track revenues and expenses.

It is also important to note that gifts are recorded in the fiscal year that they are received. The college fiscal year is from September 1 – August 31.

  • Restricted Gifts:
    Restricted gifts are charged to the deferred revenue account. Since deferred revenue is a balance sheet account, there is no budget. "Actual" revenue is recognized as expenses are incurred. As expenses are incurred, budget transfers are made to cover payment, and revenue is recognized and budgeted in the same amount. For example:
    • Contribution Received = $10,000
      Expense incurred in first month = $1,000
      Monthly Reports - Actual Dollars
      Revenue = $1,000
      Expense = $1,000
  • Endowments:
    Endowments are budgeted as revenue in the fiscal year they are received. Interest income on existing and new endowments is budgeted to interest income based on carried forward fund balances and additions. Expenses are budgeted to the appropriate expense accounts based on the terms of the endowment agreement.

Financial Reporting

On a monthly basis the Budget Department distributes a "Budget Status Report" to each department in the college. Each account in the general ledger has a designated owner and/or approver. These individuals are the recipients of the reports.

The "Budget Status Report" displays financial information by activity code and object code. It is the object code that further defines the activity by expense types.

Additional information on this report includes the following:

  • Revised Budget (latest version of the budget)
  • Year-to-Date Actuals
  • Year-to-Date Encumbrances (charges against the budget whether they have been paid out or not)
  • Available Budget (difference between the Revised Budget and Year-to-Date encumbrances)
  • Percent used (percent of "budget" used)

This report is a useful tool in monitoring activity in the restricted and designated accounts.

Tracking and Reconciling

The Office of Development is the liaison between the donor and the college for questions pertaining to donations.

The Office of Development ensures the accuracy of the records by reconciling reports provided by Financial Affairs to local records.


The Office of Development is responsible for logging in all contributions made to the college. In addition, it is responsible for tracking all restricted contributions, including endowments, and sending out renewal letters on a timely basis.

Tracking should include the following key elements:

  • Donor Name/Organization
  • Department Receiving Funds
  • Funds Receipt Date
  • Applicable Program/Campaign/Fund Name
  • General Ledger Activity Code
  • Contribution Amount
  • Tax Letter Verification
  • Matching Fund Verification

The Office of Development is the designated custodian and safe keeper of all original donor related documentation including all agreements, acknowledgements and authorizations.



The Office of Financial Affairs is charged with tracking the activity in the endowment accounts. Endowments generally operate on the interest income generated from the investment of the funds. Endowments normally are invested on a pooled basis. Interest income earned on endowment investments should be allocated to each fund in order to better meet and manage fund requirements.

Tracking reports are to be supplied to the Office of Development on a quarterly basis.

Restricted Gifts

The Office of Financial Affairs is charged with tracking the activity in the restricted gift accounts for contributions and/or funds greater than $500. Restricted fund balances are recorded to deferred revenue. The deferred revenue account tracks the current available balance for an individual fund.

Tracking reports are to be supplied to the Office of Development on a quarterly basis.

General Fund

The accounting for the General fund is the same as the accounting for the restricted gift funds, however this fund tracks the activity of all contributions under $500. Although tracking these funds is the same as it is for restricted gifts, the Office of Development requires detail information on the General Fund including Donor Name/Organization and activity in order to determine the need for renewal letters.

Tracking reports are to be supplied to the Office of Development on a quarterly basis.

Approval Process

The Office of Development requires proper authorization of contributions to ensure the guidelines for acceptance are met.

Acceptance of Contributions

All gifts should be processed through the Office of Development and recorded in the fiscal year they are received.

The college strongly encourages the solicitation and acceptance of gifts, which enable it to fulfill its purposes of teaching, research and community service contributions are an essential component of the financial support necessary to meet these objectives in the modern world. Because NYIT is a tax-exempt organization pursuant to Section 501(c)(3) of the Internal Revenue Code, donors may also enjoy tax deductions for the value of their gifts to the college.

Gifts may be sought from individuals, corporations, foundations and the federal, state and local governments. Gifts will be accepted only for the purposes, positions, and programs in accordance with the college mission, see the Administrative Policy, Section A-1 for more.

All non-cash gifts must be pre-approved prior to receipt of the gift by the donee. Acceptance of gifts by the donee with the intent of disposal in less than 2 years is discouraged (unless the disposal is in exchange for similar property).

No individual, club or organization, including those within the campus community, may solicit contributions for the college until after the plans have been reviewed and approved in writing by the Office of Development. This will help to avoid duplication of effort and scheduling conflicts.

The failure to comply with these procedures may jeopardize the tax-deductibility of contributions or subject the college to legal liabilities.

Required Authorization

Cash Gifts

Cash gifts should be recommended for acceptance by the department receiving the gift and approved by the Vice President of the Development Office up to $100,000. Contributions greater than $100,000 must be authorized by the President of the college.

Non-Cash Gifts

Prior to accepting a non-cash gift, the receiving department should complete the Non-Cash Gift Donation Form, which must include the signature of the receiving party and the Administrator or Dean of the respective school/department. The Vice President of the Office of Development must approve all non-cash gifts prior to acceptance. Non-Cash gifts with an established value greater than $25,000 require the President's authorization as well.

Sale of securities requires the authorization of the Chief Financial Officer.


New endowment funds may be established by the Office of Development in accordance with the terms specified by the donor, but must be approved by the President of the college.

Matching Gifts

Authorization for donations accompanied by a matching gift form require the appropriate level of authorization for the total amount of the contribution including the fair market value of the matching gift as indicated on the matching gift form.

Conflicts of Interest

Contributions made by the board of trustees, senior management, and employees to the college, must align with the mission and goals of the institution and should not benefit the donor and/or family of the donor either directly or indirectly in any way.

Administrative Policy A-1


Like its sister institutions, New York Institute of Technology aspires to excel in the traditional spheres of higher education activity: teaching, research, and service. What makes NYIT distinctive is its commitment to the concept of open access by reducing the barriers that limit that access. Three key features that have been a part of NYIT's mission since its founding are especially geared to promoting access to opportunity.

The first of these key features is career orientation. NYIT respects students' career concerns and schedules students to begin career-related courses in their first year. Not all students want this approach, but those who do thrive at NYIT. Career orientation constitutes a special challenge in dealing with liberal arts subjects, but here the College is guided by the belief that education that starts with a career interest can and should branch out to develop more completely the full range of the person's capabilities for speculation, heightened social awareness, and an openness to alternate views. Because of the faster pace at which future members of the work force will change careers, NYIT aspires for its graduates to acquire competencies to pursue lifelong learning. The core curriculum, which is liberal arts-based and interdisciplinary in nature, is structured to help students improve written communication skills, mathematical reasoning and technological literacy across all semesters of the college experience.

The second of these key features is open access which does not mean open admissions, yet makes higher education possible for individuals who otherwise would not have the opportunity. While admission to many NYIT programs requires high academic standards, the inventory of degree majors provides career choices to students of various levels of academic achievement. Commitment to access involves having academic offerings, which span the ability continuum and provide a highly supportive student environment. Open access at NYIT carries with it the obligation to provide success opportunities for a heterogeneous population, so that each individual has access to a variety of achievement levels and formats from credit and non-credit certificates through professional undergraduate and graduate degrees.

As part of this second institutional feature of the mission, the College is dedicated to service to students, to having the full attention of the College devoted to recruiting, motivating and stimulating students to meet the academic, social and professional expectations of the college. NYIT seeks full mobilization of campus resources in providing service to students, not relegating this critical effort to student affairs personnel alone.

NYIT believes in extending access to opportunity to members of historically disadvantaged groups; thus, the college has participated in all four of the New York State access to opportunity initiatives: Science and Technology Entrance Program (STEP), College Science & Technology Entrance Program (CSTEP), Higher Education Opportunity Program (HEOP), and Teacher Opportunity Corps (TOC). Other operational definitions of access include providing higher learning through the college's distance learning coursework, expanding the availability of classes to evening and weekend times perceived as most conducive to the needs of working adults, and implementing need-based financial aid initiatives aimed at helping the less affluent students to bridge the gap to independent higher education. A primary component of the NYIT's access to opportunity mission remains its moderate tuition structure, still thousands of dollars less than that of its sister independent institutions.

The third key feature is technologically-based instruction as a means of enhancing access to opportunity. Supported by college-sponsored instructional development activities and a growing body of research from other settings, NYIT aspires to implement improved instructional modes that utilize the full power of emerging technologies. These three key features provide a context within which the college addresses the traditional mission categories of higher education: teaching, research and public service.

The mission of the College, as it relates to teaching, reflects the full scope of the College's commitment to career education, expanded opportunity, and alternate instructional approaches. Teaching at NYIT serves the needs and aspirations for all students, not just the gifted and the motivated. In the professions, teaching inculcates the norms, the expectations, and the highest ethics of these professions. In all subjects, teaching must encourage the humane application of knowledge to the highest purposes.

Research at NYIT is an integral part of the total mission. Whenever possible, faculty research should enrich teaching and learning while making a recognized professional contribution.

Public service at NYIT is at the heart of what it means to be an independent institution. As part of its contribution to the surrounding community, NYIT combines teaching, research, and expert training provided for public and private sector organizations.

External Requirements/Reporting

Contributions made to nonprofits defined as 501(c)(3) organizations are required to follow the tax law established by the Internal Revenue Service (IRS) governing contributions.

IRS Requirements


New York Institute of Technology is a nonprofit tax-exempt corporation and under the IRS rules for 501(c)(3) organizations, the college is required to provide written acknowledgement for all contributions equal to or greater than $250 in value.

In addition, under Internal Revenue Code 6115, the college is required to provide written disclosure to donors who receive goods and services in exchange for their contribution if the total amount received exceeds $75. For example, if a donor attends a fundraising event and pays $100 to attend and receives a meal worth $40, the donor has made a quid pro quo contribution. In this example, the charitable contribution is equal to $60. Even though the deductible part of the payment is not more than $75, a disclosure statement, i.e., fair market value of the meal, is required. The department organizing the affair must estimate the fair market value of goods and services received by the donor.

Non-Cash Contributions

The donor may report non-cash charitable contributions, including securities, to the Internal Revenue Service on Form 8283. Reported non-cash contributions, excluding most publicly traded securities, greater than $5,000 per item or group require an appraisal. The donor is responsible for obtaining an independent appraisal. The donor must also obtain the donee's signature (appropriate person at the college having the authority to sign the college tax return, the Chief Financial Officer) acknowledging the appraised amount in the appropriate space on Form 8283, Section B.

If the college wishes to sell, transfer or dispose donated property that has been reported to the IRS within two years after receiving it, the college must file Form 8282, Donee Information Return. Exceptions include items (not belonging to a set) valued under $500, and items that are consumable, i.e., medical supplies. A copy of this form must be sent to the original donor.

For more information regarding the reporting of non-cash gifts, including artwork, collectibles and publicly traded securities, see IRS publications 544 and 561.

Gift Acknowledgement

The Office of Development is responsible for officially acknowledging all gifts made to the college. A tax letter is sent to the donor upon receipt. Tax letters should be signed by the Vice President of Development.

Departments soliciting and/or receiving gifts are encouraged to send a note in appreciation and thanks. Gifts of $1,000 or more towards the annual fund and/or major campaign should receive a thank you letter from the Office of the President. Copies of all communication with donors, including thank you letters and notes, should be forwarded to the Office of Development.

Tax Letter

Gifts received with an estimated/appraised value greater than $250 require a letter acknowledging receipt. The content of this communication should include minimally the following:

Cash Gifts

  1. Name of the qualified organization or college
  2. Acknowledgement of goods or services received in return
  3. Value of the gift

Non-Cash Gifts

  1. Name of the qualified organization or college
  2. Date transferred and location of contribution
  3. Description of the donated property
  4. Acknowledgement of goods or services received in return
  5. Good faith estimate of the goods / services donated

For further information see IRS Publication 1771

Donor Recognition Plan

The Office of Development is responsible for ensuring donors are recognized appropriately under the recognition plan established by the college.

Donor Anonymity

Donors may elect to remain anonymous and request not to be identified in any publication issued by the college.

Marketing and Publications

Donors who have contributed to the college during the fiscal year are recognized and grouped by levels of recognition in the Annual Giving Report. Donors who elect to remain anonymous are not listed and do not receive a copy of this report.

Role and Responsibilities

Policy Owner Responsibilities

  • Maintain the subsidiary ledger for all gift activity.
  • Review quarterly fund balances.
  • Establish accounting processes in conjunction with the Office of Financial Affairs.
  • Manage external relationships with donors and program sponsors.
  • Acknowledge contributions received.
  • Authorize and/or obtain proper authorization for gifts donated.
  • Maintain college gift recognition program.
  • Identify potential donors.
  • Define mission statement.
  • Establish institutional goals.
  • Assess need for additional policies and procedures based on new requirements.

Policy Owner

Office of Development
NYIT de Seversky Mansion, 2nd Floor
Northern Boulevard
Old Westbury, NY 11568-8000
Tel (516) 686-7644
Fax (516) 686-7628

Mailing Address
New York Institute of Technology
Office of Development
NYIT de Seversky Mansion, 2nd Floor
P.O. Box 8000
Old Westbury, NY 11568-8000