How to Leave a Legacy Scholarship

Do you ever wonder how people will remember you after you have departed? Hopefully, my children (and grandchildren — hint, hint) will have fond memories of shared experiences, laughter and a tin full of recipes for favorite meals. Since I'm neither millionaire nor heir, creating generational wealth or a scholarship never crossed my mind. Not until recently.

While pondering my purpose, passions, values and the lives I have touched in a meaningful way, I read a feel-good story about a family in Naples, Florida, that advocates the essence of legacy. They inspired me to do something similar.

I discovered grants that run the gamut from traditional monetary awards for high-achieving students (with or without financial need) to specific groups, including teenagers and adults from marginalized communities, artists, even gardeners. Recipients can use the grants to pay for tuition, books, housing, travel or take a respite from the stress of school, as examples.

Setting up an endowment isn't as complicated as one might think. It doesn't require millions or even hundreds of thousands of dollars. Below are stories of two families keeping a loved one's memory alive by giving to others.

For more than 10 years, the Eghrari family has gathered at Thanksgiving to read college freshman essays with the intent of providing a little fun.

Jacqueline Eghrari, 60, daughter to Isabella, explained that while her parents came from different areas of the world — dad from Tehran, Iran, and mom from St. Louis, Missouri — they shared values, especially the importance of education. Her dad and his siblings all finished high school (very unusual in the 1930s), and her father attended medical school in France. Her mom, however, did not have a college degree when she and Dr. Massoud Eghrari married.

"Mom was always bothered she didn't have a diploma," Jacqueline recalled. "So, even though it wasn't common, she went back to college when I was in high school."

Isabella majored in English and received her MBA when Jacqueline was in high school. She and her two siblings each went beyond a four-year university: she became a physician and her sister and brother both became attorneys.

When Isabella turned 65, she splurged on what Jacqueline described as "one big honking diamond ring." Her mother told the family, "I'm going to enjoy this ring, but something good should come of its beauty. When I die, I want you to sell it and turn it into 'The Scholarship of the Ring.' "

Isabella passed away in 2008, aged 74. "We were all devastated," Jacqueline reflected. Not long after his wife's death, Dr. Eghrari relocated from Long Island, New York, to Naples, Florida, where he became acquainted with The Immokalee Foundation, named for the small agricultural community it serves. The foundation administers the Isabella Eghrari Memorial Scholarship.

"It was the perfect landing place for Mom's wish," Jacqueline said. Immokalee encourages career readiness and professional development for immigrants and young, non-English speaking students from kindergarten through college.

Eghrari's mother had always wanted to help college students feel like they fit on campus. "Mom worried whether kids had money to attend a football game, buy spirit wear or buy ice cream," Jacqueline said.

So, when Eghrari's father sold the ring in 2011, the Isabella Eghrari Memorial Scholarship was born. After completing their first semester of college, students can apply for a $500.00 award with only one submission requirement: write how the money will be used toward fun. Each year, there are approximately 10 winners, all financed through the investment of the ring.

Dr. Eghrari, now 93, his three children and several grandchildren vote on the most compelling story. Jacqueline said her father "ensures the next generation understands philanthropy, both to honor their grandmother and fuel the importance of contributing to the betterment of society."

The time of year for application and awarding was deliberate, so when students are home in December for winter break, they can celebrate at an honorary luncheon. "My dad remarried a wonderful woman, Tayebeh, and together they hand out the certificates," Eghrari said.

Juliana Rosales, 18, was one of the 2023 "Fun Scholarship" recipients. A freshman at the University of Central Florida in Orlando and a lifetime resident of Florida, Rosales wrote an essay that described how she didn't have money or time to visit theme parks. She would use anything leftover for a mental debrief from a stressful semester.

"I was honestly so surprised when I received my congratulations email," Rosales told me, beaming via Zoom. She said she spent her $500 to go to Disney's Hollywood Studios theme park in Bay Lake, Florida. "I felt like I landed on another planet when I was in the Toy Story exhibit," she said.

Rosales bought clothes with the remaining money. "Shopping was fun because I needed to update my wardrobe," she said. "Being in college, I wanted to walk around like it's a fashion show!"

Eghrari said the personal impact of giving was unexpected. "We are all reading through my mother's eyes as her stewards, picking the people she would have wanted," she added. "This money makes a difference, and it's such a wonderful tradition to honor my mom and keep what she wanted afloat and implemented."

Peggy Baze, 58, remembers waking up one morning in her Phoenix home and hearing her late father say, "Keep your chin up, kid." It was about a year since he passed from mesothelioma in 2018. George Keown, or GK, frequently used that expression with all four of his kids until he died at 71.

"My grief had been debilitating," Baze said, "and then, out of nowhere, I knew I had to turn my pain into purpose." Within hours, she designed the framework that would honor her father's memory.

Baze said her dad was a pillar of strength and "taught us about knocking down obstacles and the importance of a positive attitude." It was this mindset that moved Baze to create an award for adults. "I chose older people because they are a forgotten demographic and matched the sentiment of my dad," she said.

The Keep Your Chin Up Scholarship is considered a nontraditional award. Run twice per year, it is for two undergraduate students 25 years of age and older who are Arizona residents. Funding for tuition and books ranges from $500 to $5,000.

The GK Legacy Foundation has become a family affair, with siblings serving on the board and Baze's daughter as the scholarship director. Initially sponsored through family contributions, the organization has grown to include donations from friends and organizations.

Baze said the applicants' stories she and her family read are heartwarming if not tragic in some instances — candidates have included those who had been incarcerated, unhoused or experienced unthinkable tragedy in their families. Patricia Williams, a four-time recipient, is one of those individuals.

Williams, 37, is in her senior year of college and is scheduled to graduate this year. She was initially set to complete her bachelor's degree from the Arizona College of Nursing last year when one of her five children died.

"It was March 2022, and my son was murdered," Williams said. "So, I needed a hiatus. Now, I've gone back and am finishing this year. I want to do something that helps my kids and one day, grandkids, and leave a legacy for them. I need to set a high standard for them."

While maintaining a 3.6 GPA and making the Dean's List, Williams works as a patient care tech at one of Arizona's larger hospitals. "My youngest believes I'm a doctor because she sees I'm in the medical field," she said. "I tell her she can be whatever she wants to be."

Before returning to school, Williams applied for the scholarship once again. "I kept my essay raw and real," she said through tears of gratitude. "My story resonated, and they allowed me to win. I tell them they are my family now, too, because they've been helping me through such a hard time."

Baze is proud of how the scholarship has changed the lives of recipients. "What started as a single-person journey is about to close its 10th round," she said. "I could never have imagined a more impactful legacy."

Eghrari and Baze shared two suggestions for designing a fund in your name or someone else's memory: First, "just do it" — emphasizing that the rewards are everlasting. Second, "use an attorney."

Tracy A. Craig, partner and chair of the Trusts and Estates Practice Group at the law firm Seder & Chandler in Worcester, Massachusetts, said there are multiple ways to set up either a one-time gift or ongoing scholarship, each with its own tax laws, implications and consequences.

First, determine the amount you want to donate (or raise) — the magnitude will likely dictate how you proceed. Craig explained that unless a foundation can start with $5 million to $10 million or more, she usually directs clients to a lesser-known option: community foundations. They enable philanthropists to achieve their goals without taking on the administrative burden of running an independent nonprofit foundation.

There are more than 900 community foundations across the country; They bring together the financial resources of individuals, families and businesses to support nonprofit groups and activities in their communities. the Council on Foundations has an interactive map that will let you find one near you.

"Go to a community foundation while you're still alive," Craig advised, "and add the scholarship into your estate-planning documents." She suggested a personal meeting with a community foundation representative to document your request to establish a scholarship, name it, establish selection criteria, choose committee members and understand the administrative fees.

Benefits of working with community foundations include allowing donors and their families to decide how involved they wish to be, having the community foundation handle administrative and tax filings, and provide legitimacy to the funds. "Otherwise," Craig indicated, "people wonder, 'What's the catch?' "

Craig said foundations typically ask for a minimum of $10,000 to dedicate a self-perpetuating scholarship. The foundation then allocates 4% of the total dollar amount ($400 in this case) to be distributed annually, with the rest invested.

Alternatively, you can combine your bequest to a group that already is making grants in the field you want to support. "You don't have to reinvent the wheel," Craig said. You could offer grants with both benefactors' names on them or have foundations share administrative costs but still make separate grants in their own names. If you want to benefit a specific school or department, reach out directly for ways to help them during your lifetime or after your death.

One last option Craig mentioned is treating donations as gifts if the donor is unconcerned about the tax benefits of charitable giving. "Under the current law, a person can give up to $18,000 per recipient, and nobody (neither the giver nor receiver) has to report the money," she stated.

Ultimately, creating a legacy provides you peace of mind knowing your desires are in motion while bringing comfort to family members that a loved one's memory continues on. And it cascades benefits to those fortunate enough to receive a monetary gift.

In her young wisdom, Rosales said, "Even if the donation is a one-time grant, even $50.00 can go a long way for someone who doesn't have a lot of money. Please know that we who received it are amazingly thankful. You are changing a person's life."

Sheryl Stillman is a writer, professional coach, and change-management consultant focusing on helping older adults live their best lives. Learn more at Sherylonline.com. Read More