Accounting Office

General Accounting
General Accounting

Gifts & Endowments

Gifts and endowments provide vital support for UCR’s students, faculty, research, and programs. These funds must always be managed in alignment with donor intent, UC policies, and state and federal regulations. This page provides an overview of how gifts are accepted, recorded, and administered at UCR, as well as departmental responsibilities when spending from gift and endowment funds.

Understanding Gifts and Endowments

What is a Gift?

A gift is a voluntary contribution from a donor who receives no direct benefit and has no contractual obligations tied to the contribution. Gifts may support scholarships, fellowships, research, equipment, student programs, or other purposes defined by the donor. All gifts must be documented, approved, recorded, and spent exactly as the donor intended.

What is an Endowment?

An endowment is a donor-established fund intended to be invested in perpetuity. Only the annual payout (distribution) can be spent; the principal cannot be used. Each year, UCR allocates the distribution to the appropriate departmental fund in Oracle. Unspent distributions may be carried forward for future use. Common endowment purposes include scholarships, fellowships, programmatic support, faculty chairs, and research activities.

Gift Acceptance at UCR

All gifts received by UC Riverside must be approved by a staff member with delegated authority to accept gifts on behalf of the University. The VCUA Gift Acceptance System is the official platform for submitting and approving all gifts, ensuring required information is collected and gifts are recorded correctly.

Gifts Processed Through the Gift Acceptance System (aka Gift Acceptance Form)

  • Cash, check, and ACH gifts received by the Regents
  • Gift-in-Kind (GIK) contributions—non-monetary donations of goods or services

Grants and contracts must not be submitted through the Gift Acceptance System and should instead be routed through RED (Research and Economic Development).

The Gift Acceptance System collects:

  • Donor information
  • Gift type and related details
  • Purpose and intended use
  • COA information for recording the gift
  • Required documentation (e.g., agreements, donor letters)

Once approved by the appropriate roles (Department Gift Admin, Org Approver, Gift Processing, RED, Accounting), the gift is recorded and deposited into the appropriate COA-fund combination for departmental use. Note: The Gift Acceptance System is used only to submit and approve incoming gifts; spending from gift and endowment funds occurs in Oracle.

For access and detailed instructions, see:

How Gift Funds Are Managed

After a gift is accepted and deposited:

  • Funds are deposited into the appropriate Oracle fund
  • Departments manage spending directly through standard financial processes (e.g., procurement, travel, journals)
  • All spending must align with donor intent
  • Adequate documentation must be retained for audit and stewardship
  • Departments must ensure expenses comply with UC and Foundation policies

Allowable uses depend on donor restrictions and may include:

  • Student support
  • Research materials and activities
  • Programmatic expenses
  • Faculty support or professional activities

How Endowment Funds Work

Each year, UC Riverside receives an endowment distribution representing the amount available to spend from an endowment. This distribution is budgeted into the related fund and made available to departments in Oracle.

Departments are responsible for:

  • Using the funds only for the donor-specified purpose
  • Monitoring available balances
  • Retaining supporting documentation for all expenditures
  • Ensuring compliance with UC and Foundation policies

Unspent distribution balances remain available for future use.

Using Gift & Endowment Funds

Departments must ensure that:

  • Spending aligns with donor intent
  • Funds are used for allowable purposes
  • Adequate documentation supports each transaction
  • Available balances are verified before committing funds

Most gift and endowment spending occurs through:

  • Purchase orders
  • PCard transactions
  • Travel and entertainment reimbursements
  • Payroll expenses (when appropriate for purpose)
  • Financial journals

If departments have questions about donor restrictions, available balance, or appropriate use, they should consult University Advancement – Gift Administration or Foundation Finance.