The Latymerians' Challenge
A gift costing a higher rate taxpayer donor £3,850 - net of tax - benefits the Latymer bursary programme by £21,000
How is that possible?
- Join a group of alumni donors who each give the equivalent of one term’s fees (or 2 or 3….)
- Once 21 pledges of £7,000 have been made, then that will provide the funding for one full bursary for a child to study at Latymer for 7 years from 11+ entry through the Sixth Form
- 21 Latymerians give £7,000 = £147,000 which funds a full bursary from 2017
- This triggers £300,000 to be allocated to the bursary endowment (£150,000 from the challenge fund and £150,000 from the Latymer Foundation)
- Higher rate tax payer writes a cheque to the Latymer Foundation for £5,600
- 25% Gift Aid is added worth an additional £1,400
- This covers one term of fees of £7,000
- 45% tax payer claims tax relief worth £1,750*
- Net cost to donor is £3,850
- Challenge Fund matches the gift with £7,000 to the bursary endowment
- The Latymer Foundation matches this £7,000 gift
A small group of alumni have established a “challenge fund” to match these 21 gifts. The matching funds will go to the Latymer’s endowment for bursaries and would themselves be matched by the Latymer Foundation. Thus, if we were successful in securing funding by February 2017 for all 21 terms, not only would a new 100% bursary be created for a young person starting at Latymer in September, but as a result £300,000 would be assigned to the endowment to provide funding for such bursaries in perpetuity.
The compounding effect turns your initial £1 gift into £3
The effect is even greater if you include the effects of Gift Aid and tax relief, especially for a higher rate UK tax payer:
*These figures are indicative and professional advice should be taken as to your own personal tax situation.