An endowment preserves capital, overcomes inflation, and provides long-term, reliable income to the College. For example, a $100,000 scholarship gift might be awarded to deserving students at $5,000 per year - meaning the scholarship fund will be depleted in 20 years. But if that $100,000 were used to establish an endowment, the gift would be invested and a portion of the earnings used to award scholarships. Another portion would be used to increase the principal and offset investment costs. The endowment would therefore continue to grow over time, supporting scholarships for as long as the College exists. A minimum of $10,000 is needed to establish an endowment.