At the end of each fiscal year, all UNCG current spending fund balances over an amount designated annually by management will be moved to a quasi-endowment. These unspent funds are placed into a quasi-endowment fund associated with the current spending fund. Immediately following the withdrawal, the next year’s annual spend amount will be deposited in the UNCG current spending fund ensuring continuous availability of funds for annual activities. This annual move of unspent funds takes the funds from a non-interest-bearing environment back into the endowment investment portfolio generating additional revenue for the endowment’s intended purpose. The quasi-endowment funds can be accessed by the authorized endowment spending manager whenever requested. To keep spending authorities and departments aware of this activity, a quarterly report can be provided indicating the available quasi fund balance, upon request. The investment gains (or losses) will be credited to the quasi-endowment existing spending fund through an additional fund account held in the University Investment Fund portfolio.

Instructions for Requesting Quasi Endowment Funds

Any holder of a spending fund that was reinvested as a quasi-fund may request to withdraw the amount and move funds back to the current spending funds. Quasi requests are not processed from May-July; therefore, all requests must be made before May 1 and the requested funds must be spent by June 30 of the fiscal year.

Please note that requests to withdraw funds could take up to sixty (60) days to process. The timing depends upon the amount requested, the time of year, and other factors. All efforts will be made to complete the transaction as quickly as possible. The withdrawal process will begin by completing the request form found on the Foundation Finance website. The form must be approved by an authorized spending fund manager before being sent to Foundation Finance for processing. The form must be sent to Mitzi Cartwright via e-mail, [email protected], upon approval to be processed.

Accounting Information

Separate account numbers have been set-up for each of the endowment funds that have a quasi reinvested. Each activity related to endowed spending accounts will be completed by a separate line item in Banner (a separate Journal Entry) so the department will have record of all transactions. The accounting for the annual cycle of endowed funds receiving and having funds withdrawn will be as follows:

  • “Sweep” of current fund year-end balance (as of June 30) – over management designated threshold
    • Timing: By end of August (on the same day as #2)
  • Annual Spending Distribution – into current spending fund
    • Timing: By end of August (on the same day as #1)
  • (Optional)
    • Repopulation of quasi fund balance to current spending fund
    • Timing: Upon request (see below for process)
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