Newsletters: Volume 4 - Spring 2000
 Fatuma Mussa, GTL's 100th scholarship recipient. Tambaza High School, Dares Salaam Tanzania |
56 Scholarships Awarded
The Scholarship Committee chaired by board member Sandra Savage has completed its review of current applications. The committee awarded GTL scholarships to 56 girls and young women who are eager to continue their schooling. This number represents an increase of 24 over last year. And it means that since GTL was born we, all of us together, have now given assistance to 100 applicants!
Conditions Deteriorate in East Africa
One of the four volunteer scholarship coordinators in Africa who assist GTL by matching girls with schools, Florence Nyamu of Kenya, explained in a recent interview the effect that the declining economy has had on the cost of education. "Many parents have no employment, and the industries of coffee and tea that they depended on have also been affected, and there is very little income," she said. "Consequently, many parents with more than one child cannot pay for schooling. A number of them choose to educate boys when the funds are limited. The girls are left out or married out early."
The need for help with education is evident. So is the appreciation for help received. Perhaps the words of a grateful student express best the meaning that contributions to GTL can have on a young woman's life. Grace Nantale was awarded a scholarship by GTL to complete her schooling at Mount St. Mary's College, a secondary school in Uganda. In a letter to Roger Whiting last fall, she wrote: "I do not know what words to use to express my excitement about the scholarship you gave me. I lost both my parents. My mother died when I was eight years old and my father when I was seventeen. I was born in a very poor family that, even when my father was still alive, I used to beg for my school fees. I have even, at time, taken up very dirty jobs in search of my school fees, like carrying garbage to the main dumping pit."
 Grace Nantale |
Grace is determined to make the most of her education and plans someday to return the benefits bestowed on her by helping send other poor children to school. She continued in her letter: "I'll do this by either paying for these children myself or by making contributions to organizations like Growth Through Learning."
Reaching Out
In early March President Roger Whiting spoke about GTL to 260 eighth graders at the Quabbin Middle School in Barre, MA, and presented slides of his last trip to Africa. The children were quite interested in the presentation, and not just in the animals, but in the condition of the African schools and homes. There is talk of the possibility of the class sponsoring one or two students in Africa. In the near future Roger hopes to make a similar presentation at Wachusett Regional High School, and the Worcester Rotary Club.
Matching Gifts
I'm sure that most of you are aware that many companies have a Charitable Matching Gift Program. This usually mean that an employee can double his or her charitable donation by utilizing the company's benefit program. Most often companies have a requirement that the charitable gift must somehow benefit the local area where their employees reside. Funding girls' scholarships in East Africa hardly complies with this requirement. However, please read the second portion of the GTL Mission Statement that says, "...the organization encourages a cross-cultural exchange of information and ideas between countries." To that end, Growth Through Learning is now developing a short video program about East Africa and its educational system. This video will be shown to school classes, church groups, and social and service clubs. As noted above, we have already accepted several speaking engagements in order to expand the level of knowledge and understanding between cultures. Please check with your employer regarding the opportunity for a matching gift. You might be surprised to discover how easy it is to "double" your tax-deductible donation to Growth Through Learning.
From The President
This has been an extremely busy and gratifying year for Growth Through Learning. We expect to nearly double our fund raising this year, and have already increased the number of scholarship awards from 32 to 56. In the meantime, we managed to reduce our overhead expenses to less than 13 % of income. I am sure this percentage will decline even further as we approach the end of our fiscal year in July.
During the year we have also strengthened our Board of Directors and are working on developing an Advisory Board whom we can call on from time to time for advice and counsel. In addition, GTL is relying heavily on its various committees for immediate decisions rather than relying on the full Board. This streamlining of our operation has helped considerably.
Sincere thanks go out again to Troy Thompson for developing and hosting our Web page. His help has been invaluable during our initial critical stage of development. At Troy's suggestion we now have our own domain located at www.growththroughlearning.org. Having our own domain makes it easier for people to find us on the Web and learn more about our program.
We are also receiving recognition by the press. Articles have been published in two local newspapers, the January 30, 2000 edition of the Sunday Telegram and the September 16, 1999 edition of The Landmark. This added exposure of GTL to the public has been extremely well received, and I am optimistic that our more visible image will enhance our efforts considerably.
Charitable Giving
I am well aware that your mail, like my own, very often includes appeals for donations from organizations such as ours. Fund raising is both a necessity and a burden for nearly all non-profit corporations. There is no other way to grow and to sustain the mission. Perhaps it will be helpful if I briefly outline an idea that might make charitable giving a little easier for you.
Donations of Appreciated Stock
For the past several years we have realized incredible growth in the values of common stock. If a person wishes to donate some of these added assets to some charitable cause, he has two choices:
- Sell the stock, pay the capital gains tax, and donate what is left.
- Donate the stock directly to the non-profit organization.
The advantage of the latter method is suggested in the chart below. In the example, it is assumed that the cost basis of the stock is $4,000, the capital gains tax = 20%, and the relevant income tax rate is 36%.
| Sell $10,000 of Stock & donate the Proceeds |
Donate the stock directly to the charity |
|
|---|---|---|
| Value of Stock | $10,000 | $10,000 |
| Capital Gains Tax | $ 1,200 | $ 0 |
| Gift to Charity | $ 8,800 | $10,000 |
| Total Tax | ($ 1,968) | ($ 3,600) |
| "Cost" of Donation | $ 8,032 | $ 6,400 |
What a great way to minimize your cost and to maximum the amount received by the charity of your choice! Please be advised that we are not tax consultants, and everyone's situation is different. Consequently we highly recommend that you consult with your tax advisor to see how a gift of appreciated stock will work for you.
Trusts and Annuities
There are other methods of charitable giving as well by using various forms of charitable annuities and trusts. Depending on your finances and methods used a charitable gift can even reduce your income and capital gains taxes, preserve assets for your heirs, and maximize your personal after-tax cash flow. Ask your advisor about a:
- Charitable Remainder Trust
- Charitable Remainder Annuity Trust
- Charitable Gift Account
- Charitable Gift Annuity
Very possibly you will find an alternative method of charitable giving that is appropriate for you that will both maximize your gift and minimize your income and capital gain taxes.
No matter how you make charitable donations, please know that they are both needed and appreciated. Please think of the plight of Daisy and Doreen whom I met in Kampala, Uganda. Their father is deceased, their mother is seriously ill and unable to work, and they would not be attending school without the aid of Growth Through Learning. Please help us to continue to make possible education for these girls, and for countless others like them. Please make a donation today.
Last modified: May 11, 2003, 19:00 EDT