This simulation examines the effects of altering the percent payout for an endowed fund. The fund is assumed to start with $45,000,000 and changes year by year depending on three parameters: percent payout, annual gift income, and return on investment of the endowment. The simulation calculates the total, cumulative payout and the final size of the endowment, each as a function of the annual percent payout for the length of time of selected. The calculation depends on the three adjustable parameters: annual gift income, ROI, and the span of years of interest.

Left Plot: Total, cumulative payout for the number of years selected, as a function of annual percent payout.

Right Plot: Final size of the endowment after the number of years selected, as a function of annual percent payout.