This guide explains what an endowment is, how and when to create an endowment, how endowments are invested, and how large a donation is required to establish an endowed fund. For community colleges, such contributions ensure long-term funding for critical needs such as student scholarships or instructional equipment to keep up with new technologies. For the donor, endowments can create a lasting legacy or memorial that ultimately affects the lives of thousands of students and families, and their communities.