Love Thee Notre Dame Boldly Impacting Notre Dame’s Future4 NOTRE DAME GIFT PLANNING IMPACT REPORT Dollars $235,325,682 Total Planned Gifts in Dollars Number of Gifts by Type New

2 NOTRE DAME GIFT PLANNING IMPACT REPORT

Love Thee Notre Dame Boldly Impacting Notre Dame’s FutureFrom the beginning, planned gifts have had a tremendous impact on Notre Dame. It was a planned gift of more than 500 acres of land from Father Stephen Badin which led to the historic founding of the University of Notre Dame by Father Edward Sorin in the year 1842.

Numerous members of the Notre Dame family have followed in Father Badin’s footsteps in their commitment to the future of Notre Dame through their planned gifts to the University. It is through these gifts that the University can look to the future with confidence, assured of the necessary resources to provide unsurpassed undergraduate education, world-class research, and unwavering commitment to its Catholic mission.

We are deeply thankful to our planned gift benefactors who generously endorse Notre Dame’s mission for future generations.

Thank you for your planned gift to the University of Notre Dame.

1NOTRE DAME GIFT PLANNING IMPACT REPORT

You become a member of the Stephen Theodore Badin Guildwhen you make a planned gift such as a bequest, a gift of real estate, or a life income gift such as a charitable gift annuity, charitable remainder trust, or donor advised fund. Named in honor of Father Stephen Theodore Badin, the first Roman Catholic priest ordained in America who made the first major benefaction to Notre Dame, the Badin Guild is our humble way to express our gratitude to benefactors who have made a planned gift to the University of Notre Dame.

The impact of your gift will last forever and provide future generations of students the gift of a lifetime, a Notre Dame education.

The Stephen Theodore Badin Guild

Office of Gift Planning Annual Report


Dollars

$235,325,682Total Planned

Gifts in Dollars

Number of Gifts by Type

New Planned Gifts Received 1

1 Includes outright gifts, non-deferred pledges, deferred pledges, and deferred gifts.2 Represents gifts made to new and existing charitable remainder trusts held in the Notre Dame Endowment.3 Includes all individual deposits to both Retained and Distributable Funds.4 Includes life insurance, notices of probate, and trusts held outside Notre Dame.

Total Number of Planned Gifts

1,085

Bequests 218 $137,236,907

Individual Retirement Accounts 438 $6,070,921

Charitable Gift Annuities 7 $709,960

Donor Advised Funds3 256 $48,842,763

Charitable Remainder Trusts2 134 $18,140,325

Other4 32 $24,324,806

FISCA L Y E A R 20 18


Assets Under Management

$401,895,189Total Assets

Under Management

Type of Planned Gift

Total Planned Gifts Invested in the Notre Dame Endowment

Gift Instruments749

AS O F J U N E 30, 20 18

Charitable Gift Annuities 139 $26,917,304

Donor Advised Funds 93 $133,319,429

Charitable Remainder Trusts 517 $241,658,456



Gift Planning Cash Receipts*

Realized Planned Gifts



Total Cash Receipts

Total FY18 Realized Gifts

$67,440,003

$97,076,740

1Includes distributions from IRA Charitable Rollovers and death benefits.2Includes life insurance and trusts held outside Notre Dame.

*Cash receipts represent actual dollars received by the University during this timeframe which are subject to restrictions.

$0M $10M $20M $30M $40M $50M $60M

Bequests$52,441,020

Other$1,642,1042

$49,027,449Donor Advised Funds

$3,763,447 1

Individual Retirement Accounts

$633,514Charitable

Gift Annuities

$17,779,040

$39,230,170

Charitable Remainder Trusts

Charitable Remainder Trusts

$0M $10M $20M $30M $40M $50M $60M


BequestsFor many alumni, parents, and friends, a bequest is the simplest and best way to create a meaningful and influential legacy at Notre Dame. A bequest allows you to retain control of your assets during your lifetime, while also making a significant gift to the University.

Thanks to the generosity of alumni, parents, and friends, in FY18, Notre Dame realized $52,441,020 from bequests that was allocated across Academics and Student Life, Undergraduate Financial Aid, and Unrestricted funding, which the University can allocate as needed. In the same year, Notre Dame received 218 bequest commitments valued at $137,236,907.

Unrestricted

Academics & Student Life

Undergraduate Financial Aid

$ 6,167,754

$2,219,513

$44,053,753Realized

Bequest AllocationsFISCA L Y E A R 20 18

Total FY18 Realized Bequest

Allocations

$52,441,020


Charitable Gift AnnuitiesA Charitable Gift Annuity (CGA) is a gift that provides financial security to you or a loved one, while ensuring future resources for Notre Dame. Simply make a gift of cash or publicly-traded securities to Notre Dame and in return the University agrees to make fixed payments to you and your spouse and/or a designated beneficiary for life. A Notre Dame CGA is backed by the University’s full assets. Notre Dame holds a “Aaa” credit rating from Moody’s Investor Service.

As of June 30, 2018, Notre Dame had $26,917,304 representing 139 CGAs under management. In FY18, 7 CGAs valued in total at $709,960 were received as gifts.


Charitable Remainder TrustsBy establishing a charitable remainder trust with Notre Dame, you and your spouse will receive payments for life or for a specified number of years. Trust assets that remain following the end of the term or the death of the beneficiaries pass to Notre Dame,where they will be used as directed by you.

Charitable remainder trusts invested in the Notre Dame Endowment have the potential for significant growth, as the Endowment has historically outperformed market indices.*

As of June 30, 2018, Notre Dame had $241,658,456 under management representing 517 CRTs. In FY18, 134 gifts valued at $18,140,325 were made into new and existing CRTs, and terminated CRTs, valued at $39,230,170, were distributed to Capital Projects, Graduate Financial Aid, and Undergraduate Financial Aid.

Capital Projects

Graduate Financial Aid


$38,991,783

$ 110,727

$ 127,660

Realized Charitable Remainder Trust Allocations


Total Realized Charitable Remainder

Trust Allocated Allocations

$39,230,170

*Past performance does not guarantee future results.


Donor Advised FundsThe Notre Dame Donor Advised Fund is a powerful philanthropic vehicle that leverages the Notre Dame Endowment, one of the best-performing endowments in higher education. It maximizes the impact of your gift to Notre Dame as well as other qualified charitable organizations.

The Notre Dame Donor Advised Fund offers an alternative to the expense and legal complexity of operating a private foundation while simplifying your philanthropic giving. By establishing a Notre Dame DonorAdvised Fund, you enable Notre Dameto receive, invest, and administer giftsto the University and to make distributionsto other qualified charitable organizations,according to your recommendations.

As of June 30, 2018, Notre Dame had 93 donor advised funds under management with a market value of $133,319,429. Over $69 million is currently managed in Retained Funds, which will ultimately benefit Notre Dame.

Twenty-one new donoradvised funds valued at $21 million were created in FY 2018. Benefactors alsotransferred over $16 million from their donor advised funds to fund programs at theUniversity during this time period.

Donor Advised Funds Market Value of Funds Designated

for Notre DameAS O F J U N E 30, 20 18

Total Donor Advised Fund

Market Value of Retained Funds Designated for

Notre Dame

$69,712,565

Academics and Student Life


Athletics

Catholic Mission

Capital Projects

Financial Aid

Financial Aid

Unrestricted

$5,287,067

$635,640

$615,180

$1,190,000$5,500,000

$2,446,750

$3,097,499

$1,115,000

Donor Advised Fund Transfers to Notre Dame


Total Donor Advised Fund Transfers to Notre Dame

$16,153,997

Catholic Mission$3,426,934

Unrestricted

Undesignated

$524,282

$62,028,210


Individual Retirement AccountsAn Individual Retirement Account (IRA) offers two ways to make an impact at Notre Dame: 1) through IRA Charitable Rollovers during your lifetime, and 2) by making a charitable bequest of part or all of your IRA (or other retirement account) to Notre Dame.

IRA Charitable RolloverIf you are 70 ½ years of age or older you may be able to reduce your annual taxable income by donating part or all of your required minimum distribution (RMD). Through an IRA Charitable Rollover gift, you can use your RMD to make a gift to Notre Dame. This gift allows you to avoid including all or some of your RMD in your taxable income, thereby reducing your tax liability.

An IRA Charitable Rollover gift may benefit you as an exclusion from your gross income.It is an easy and convenient way to make a tax-free gift from one of your major assets.For your gift to qualify:

• You must be 70 ½ years of age or older at the time of your gift.

• The transfer must be made from your IRA directly to Notre Dame.

• Your total annual IRA Charitable Rollover gift(s) cannot exceed $100,000 in the calendar year.

• Your gift must be outright.


Retirement Account Charitable BequestBy designating Notre Dame as a beneficiary of your IRA or other retirement account, you may reduce or eliminate estate and/or income taxes at your passing. A bequest of your retirement account is one of the most tax-efficient ways to fund a charitable gift from your estate.

When a retirement account owner dies, estate and income taxes on a retirement account may total 60 percent or more of the retirement account assets. By transferring your retirement account to Notre Dame directly upon your death, your estate may be able to claim a charitable estate tax deduction. In addition, your estate and your heirs will not report any taxable income from the gift related to the retirement account distribution to Notre Dame. Notre Dame will then receive the portion of the retirement account assets designated to the University and will apply the proceeds to an area of impact important to you that you designate during your life.

In FY18, 438 IRAs valued at $6,070,921 were designated to benefit Notre Dame. In that same time period, $3,763,447 in IRA gifts were realized through charitable rollovers and death benefits. These gifts were allocated to Academics and Student Life, Athletics, Capital Projects, Graduate Financial Aid, Other, Undergraduate Financial Aid, Undesignated, and Unrestricted.


Athletics

Capital Projects

Graduate Financial Aid

Unrestricted

$1,250,701

$1,150

$225,168

$180,270

$914,909

Realized IRA Allocations*FISCA L Y E A R 20 18

Undesignated


Other

$354,487

$779,669

$57,093

*Includes distributions from IRA Charitable Rollovers and death benefits.

Total Realized IRA Allocations

$3,763,447

Impact Stories


Dennis ’78 and Dawn Doughty

Benefactor Impact

Dennis and Dawn Doughty’s Notre Dame story began in 1974 when Dennis came to Notre Dame from Bishop Lynch High School in Dallas, Texas. On a campus visit, he stayed with some fellow Texans in Alumni Hall and soon was sold on the school, the people, and the Notre Dame spirit. Dennis was named a Notre Dame Scholar and subsequently awarded a financial aid package, which included a scholarship from the John and Mary Boyle Scholarship, as well as loans and campus employment. He was also awarded a scholarship grant from the Notre Dame Club of Dallas. Together with his savings, this financial support made his Notre Dame dream possible. Dennis went on to graduate in 1978 with a degree in Electrical Engineering. That same year he began giving back to his alma mater, initially with gifts to the Notre Dame Fund and then to the Sorin Society, beginning in 1991. Dennis and Dawn have maintained their Sorin membership since that time, contributing at the Sorin Gold level for almost two decades. In 1993, Dennis and Dawn became Badin Guild members with their first planned gift to the University. When asked what inspired him to give back, Dennis immediately mentioned his desire to pay forward the gift of financial aid he received when he was an undergraduate, without which he would not have been able to attend Notre Dame. Broadening their commitment to financial aid, the Doughtys established the Dennis O. and Dawn R. Doughty Scholarship in 2003. As of the 2017-2018 academic year, this scholarship has benefitted 15 individual students at Notre Dame.

PAYIN G IT FO RWA RD WIT H GIF TS TO FIN A N CIA L AID


Over the years, Dennis and Dawn have deepened their commitment to Notre Dame in many ways. Dennis has served on the College of Engineering Advisory Council since 2001, and they have established both a Charitable Remainder Trust (CRT) and a Donor Advised Fund (DAF). Because both the CRT and DAF are invested in the Notre Dame Endowment, the Doughtys have realized the outstanding performance of the Endowment while receiving the tax advantages unique to each of these gift structures. Using their DAF, they have augmented their time commitments to local charities with meaningful financial support, without the time and expense needed to manage an independent foundation. Thank you, Dennis and Dawn, for your commitment to Notre Dame and for allowing us to share your story!


Sophie Lillis

Sophie Lillis was a Class of 2018 Marketing majorwith an Art History minor. She was a recipient of theVictoria Lizzadro Romano Scholarship for deservingundergraduate students with demonstrated financialneed studying at the Mendoza College of Business.

As a high school senior from Austin, Texas, Sophiewas introduced to Notre Dame while visiting her sister who was a first generation Domer at that time. Sophie witnessed the positive experiences her sister had at the University, from the numerous opportunities for Catholic faith formation and service, to the incredible support of the broader Notre Dame family.

When it was Sophie’s turn, she applied to Our Lady’s University and was thrilled to be accepted. However, her Notre Dame dream did not become reality until she learned she was a recipient of a scholarship established through a planned gift from Victoria Lizzadro Romano.

Sophie says that her faith would not be where it is today without coming to Notre Dame, a place where faith is fostered and celebrated as fundamental to the student experience. Sophie found many opportunities to express and deepen her Catholic faith through her daily reading of the FaithND Daily Gospel Reflections and ministering at the Basilica as a reader and Eucharistic Minister.

In addition to her time serving at the Basilica, Sophie was active as a student assistant for the Alliance for Catholic Education program, as well as President of the ND Kind Club, a group that promotes random acts of kindness on campus. Sophie was also a member of Notre Dame’s Right to Life since her freshman year, in addition to being a President’s Circle mentee.

CL ASS O F 20 18M A RK E TIN G M A J O R WIT H A RT MIN O RVICTO RIA L IZ Z A D RO RO M A N O SCH O L A RSHIP

Student Impact

Sophie credits her time at Notre Dame with transforming her faith, developing her as a person, and establishing lifelong friendships. As Sophie says, the University facilitates strong relationships, pushing students to engage, inspire, and explore deeper conversations with each other. Sophie also noted that Notre Dame focuses on creating wholesome, well-rounded people who intend to use their time, talents, and knowledge to do good. “I don’t know how to describe Notre Dame, but it’s a special place that helps people make a positive difference in the world.”

At the time of her graduation, Sophie planned to pursue either a career in the art world or working for the Catholic Church in some capacity. Whatever Sophie does, she is thankful for the gift of her Notre Dame education and the planned gift that helped make this education possible.


Raul Lema

Raul Lema was a Class of 2018 Mechanical Engineering major. He was a recipient of the Joan Hoffman DeCrane Scholarship for highly talented students who have a cumulative GPA of at least 3.75, are on the Dean’s List and demonstrate financial need.

Raul’s mother had attended an American school in Bolivia, so Raul was raised speaking both Spanish and English. When it was time to make a decision about college, he set his sights on schools in the United States. Raul applied to several universities, but quickly learned they would not offer enough, if any, financial aid. Friends of the Lema family, who are Notre Dame alumni, encouraged him to apply to Notre Dame. Raul was accepted, and thanks to a planned gift made by Joan Hoffman DeCrane, received a four-year scholarship that made it possible for him to receive a Notre Dame education.

While at Notre Dame, Raul appreciated being academically challenged. He found a community of students who were as committed to academic excellence as himself and shared the same sense of purpose to use their Notre Dame education to better the world. Raul felt welcome by the Notre Dame family and discovered football to be both a new cultural experience and a way to deepen friendships outside of the classroom.

Raul wants benefactors to Notre Dame to know that his experience under the Dome has made a huge difference in his life, and he would like to see the same happen for others. Raul feels strongly that people from all over the world deserve a chance to receive this education of mind and heart. Raul is currently pursuing his Ph. D. in nanomanufacturing at the University of Texas at Austin. Raul says that it is hard for him to truly convey the immense gratitude he has for members of the Notre Dame family.

CL ASS O F 20 18M ECH A NICA L EN GIN EERIN GJ OA N H O FFM A N D ECR A N E SCH O L A RSHIP

Student Impact

Planned Gifts at Notre Dame


Gift Options and Benefits BequestA gift made by naming Notre Dame in your will or testamentary trust or by naming Notre Dame as a beneficiary of your insurance policy, bank account, or securities account. Life Income: Not applicable Minimum Gift: Any amount

• Make a gift of any amount while retaining control of your assets during your lifetime• May be modified at any point in time• An outright gift from your estate is entirely free from federal taxes, permitting Notre Dame to utilize the full amount of your gift

Bequest of Retirement AssetsBy designating Notre Dame as a beneficiary of your retirement account, you may reduce or eliminate estate and/or income taxes at your passing. A bequest of your retirement account is one of the most tax-efficient ways to fund a charitable gift from your estate. Life Income: Not Applicable Minimum Gift: Any Amount

• Avoid income and estate tax of your retirement account by naming Notre Dame as the beneficiary• Change the beneficiary at your discretion• Continue to receive retirement benefits during your lifetime

Charitable Gift AnnuityA gift of cash or publicly traded securities made to Notre Dame, and in return, the University agrees to make fixed-income payments to you and your spouse, or a designated beneficiary for life. Life Income: Lifetime of fixed payments Minimum Gift: $20,000

• Receive guaranteed fixed payments for life, backed by the University’s full assets. Notre Dame holds a credit rating of “Aaa” from Moody’s Investor Service• Income payments may be greater than many securities and CDs• Ideal to supplement other retirement income• Immediate income tax deduction for a portion of the gift

The University of Notre Dame is an educational institution and does not provide tax, legal, or financial advice. Any document or information shared by our staff is intended to be educational. Notre Dame strongly encourages all benefactors to seek counsel from their own legal and financial advisors. Please know that information or documents shared by Notre Dame cannot be used to avoid tax-related penalties.


Charitable Remainder TrustA gift of cash or other assets to establish a charitable remainder trust which provides payments to you and your spouse or other named beneficiary while making a generous gift to Notre Dame. The payments may continue for the lifetimes of the beneficiaries you name, a fixed term of not more than 20 years, or a combination of the two. Life Income: Lifetime or term of variable payments Minimum Gift: $100,000

• Receive payments for life or for a term of years• Leverage investment in the Notre Dame Endowment without incurring management fees• Income payments may be greater than many securities and CDs• Ideal to supplement other retirement income and diversify your portfolio• Immediate income tax deduction for a portion of the gift

Charitable Rollover of Individual Retirement AccountsIf you are 70½ years of age or older, you can make an immediate impact at Notre Dame through an IRA Charitable Rollover gift. An IRA Charitable Rollover gift can be used to meet your annual required minimum IRA distribution and is excluded from your taxable gross income. Life Income: Not Applicable Minimum Gift: Any Amount

• Avoid income taxes on transfers of up to $100,000 from your IRA to Notre Dame• Satisfy part or all of your required minimum distribution (RMD) for the year• An easy and convenient way to make a gift from one of your major assets

Donor Advised FundA gift of cash or other property to establish a Notre Dame Donor Advised Fund, which allows you to support Notre Dame and other qualified charities. Life Income: Not Applicable Minimum Gift: $500,000

• Receive an immediate income tax deduction based on the fair market value of your gift; avoid capital-gain tax on gifts of appreciated assets; and remove assets from your taxable estate• Centralize the investment and administration of your gift assets• No fund management or administrative fees • Leverage the historic strength of the Notre Dame endowment to aid other charities

Gift of Real EstateYou may deed part or all of your real estate property to Notre Dame. Life Income: Not Applicable Minimum Gift: Any Amount

• Avoid paying capital gains tax on the sale of the real estate• Receive a charitable income-tax deduction based on the value of the gift


1 The Trust Universe Comparison Service (TUCS) Large Fund Median is a compilation of returns of endowment, pension and foundation investors greater thans $1 billion.2 The 60% Equity / 40% Bond is an index blend of stocks / bonds as represented by the MSCI All Country World Investable Index and the Barclays Capital U.S. Aggregate Bond Index.3The Strategic Policy Portfolio is Notre Dame’s internal benchmark consisting of indices representative of the target investment portfolio. Past performance is no guarantee of future results.

Notre Dame Unitized Endowment Pool TUCS Large Fund Median1

60% Equity / 40% Bond2 Strategic Policy Portfolio3

Notre Dame Endowment Pool PerformanceAS O F 6/30/ 18 A N N UA L IZED RE T U RNS

15%

12.2

7.46.5

8.2

10.4

7.56.8 6.3

7.3

6.15.5

4.4

10.3

6.0 5.76.1

12%

9%

6%

3%

0%1 Year 5 Years 10 Years 20 Years


Notre Dame Endowment Pool Value Creation

The chart evidences the long-term value differential for the endowment provided by the University’s investment management program compared to the value that would have been achieved had investment returns equaled those of the benchmarks shown in the previous chart.

(Millions)

$14,000

$12,000

$10,000

$8,000

$6,000

$4,000

$2,000

$13,110

$6,021$5,562$5,064

July 1, 1998 - June 30, 20181998 2018$0

Notre Dame Unitized Endowment Pool TUCS Large Fund Median

60% Equity / 40% Bond* Strategic Policy Portfolio

*60% MSCI ACWI, 40% Barclays Aggregate Bond Index


Gift Planning TeamLaura Snell WalkerAssociate DirectorBadin [email protected]

Carolyn LaxAdministrative AssistantGift Planning [email protected]

Jennifer KoebelAdministrative AssistantGift Planning [email protected]

Patrick Brennan DirectorOffice of Gift [email protected]

Ken HendricksDirectorGift Planning [email protected]

Raelee ReaAssociate Program DirectorGift Planning Administration [email protected]


TJ PillariDirectorOffice of Gift [email protected]

Rich NaponelliSenior DirectorOffice of Gift [email protected]

Chris DeTrempe DirectorOffice of Gift Planning [email protected] 574-631-7872

Michelle ShakourDirectorOffice of Gift [email protected]

Anne WieberSenior CoordinatorGift Planning [email protected]

University of Notre DameOffice of Gift Planning

1251 N. Eddy Street, Suite 300South Bend, IN 46617-1478

plannedgiving.nd.edu

Documents

Love Thee Notre Dame Boldly Impacting Notre Dame’s Future4 NOTRE DAME GIFT PLANNING IMPACT REPORT Dollars $235,325,682 Total Planned Gifts in Dollars Number of Gifts by Type New