How Educational Foundation restricted funds can support your chapter
A restricted fund, established through the Pi Lambda Phi Educational Foundation, is a designated fund for a specific purpose such as chapter support. The donations to the fund must meet the IRS and Pi Lambda Phi Educational guidelines in order to allow the donors to make their donations as charitable gifts.
A number of chapters have created these funds to financially support their re-established chapters, or ensure the longevity of their chapters.
“Investing in your chapter isn’t just about giving money — it’s about preserving traditions, strengthening brotherhood, and ensuring future generations have the same life-changing experiences”.
– Michael Hunn, Drexel University
Through a restricted fund, alumni and donors can provide contributions and scholarships to directly benefit their chapter and brothers in meaningful and sustainable ways.
What is a restricted fund and what can the funds be used for?
A restricted fund is a financial account where donations are earmarked for specific purposes, ensuring that the money is used only for its intended goals. For a Pilam chapter, a restricted fund can directly support its operations, growth, and history in several ways:
- Scholarships and Member Support – Funds can be designated to provide financial aid for membership dues, or academic excellence awards.
- Leadership & Educational Programs – Covering costs for leadership retreats, conventions/conclaves, and educational workshops that develop members’ skills.
- Philanthropy and Service Initiatives – Supporting in charitable efforts and ensuring their impact.
- Historical restoration – Passing on the history of a chapter by preserving artifacts.
- Housing – Educational items for chapter houses may be allowable. The regulations are complex and require case by case review.
How restricted funds have recently supported Pilam chapters
Lehigh University
The re-establishment of the Lehigh chapter in 2024 spurred a groundswell of support for the PA Lambda chapter. There were 70 unique donors and a total of 116 donations to the Lehigh Fund to support a successful return to campus.
In a very unique situation that may not apply to many of our chapters, the Foundation was able to find a way to use funds to furnish their house. Because the house is university-owned, the money flows back through Lehigh University as a grant, which was allowed by IRS guidelines.
The fund also dedicated financing to restore composites and other historical artifacts, so the new brothers could appreciate the proud history of one of our oldest chapters, founded in 1915. Alumni are contemplating growing the fund to provide some merit based scholarships for E-Board officers and potentially, a live-in officer/advisor position.
UW Madison
In 2022, WI Omega alumni bought a house that the chapter had been renting for several years. Now they are using the Foundation to raise funds for renovations and enhancements. They recently built the “Pi Lam Varsity Terrace,” a patio and tailgating area in front of the chapter house.
Dedicated scholarships
The following chapters have endowed funds to provide annual scholarships to their brothers. An endowed fund must maintain a minimum balance of $10,000.
- Drexel University
- Indiana University
- University of Virginia
Establish a restricted fund for your chapter
If you would like to establish a restricted fund for your chapter, contact us at foundation@pilambdaphi.org.
If you would like to donate to a restricted fund, these chapters have established funds dedicated to supporting their chapters:
- Drexel University
- University of Florida
- Florida State University
- Indiana University
- Lehigh University
- Ohio State University
- Penn State University
- Temple University
- University of Virginia
- University of Wisconsin
The Educational Foundation is a 501(c)(3) nonprofit and donations are tax-deductible. Your employer may also offer a matching gift plan.