Private schools finance their operating expenses with tuition and fees. In other words, a school's income from tuition and fees offsets salaries, utilities, and all the other line items in a school's operating budget. Assuming that the admissions staff fill all the places and that the finance people have calculated projected income and expenses correctly, the school hopefully will break even at the end of the fiscal year. But remember that running any enterprise like a school also includes anticipating unexpected expenses. It's much the same situation that you and I find ourselves in when we suddenly have to pay for an unbudgeted expense. When that happens, you and I dip into our savings or charge the expense to our credit cards. That's fine for you and me; however, a private school doesn't operate that way. Instead, the treasurer maintains a rainy day fund or funds held in reserve. That's where endowing a teaching position comes in.
Giving during your lifetime
Discuss your idea with the school. Begin by speaking with the head of school, even if he or she is someone you do not know very well. The head of school can and will champion your proposal. He will also facilitate meetings with your financial people and his business manager to draw up a memorandum of understanding for your gift.
Discuss your proposal with your financial and legal advisors. You have been successful throughout your career because you listen to advice from professionals. Do the same thing


