For many students, the tears shed on graduation day consist of equal parts sense of accomplishment and relief from escaping the onerous financial liability that accompanies attending a 4-year private university.  But for several students, the tuition paid for "the best 4 years of their lives" (or "the best 6 years" for some) only represents the beginning of a lifelong financial commitment to their alma mater.  Nationally, 12.8% of alumni donate to their alma maters and at Harvard, the rate peaked at nearly 50% earlier this decade. 

Beyond the emotional implications of donating money to one’s alma mater, there are financial benefits in the form of tax write-offs.  But, whereas most foundations are obliged to spend at least 5% of their average endowment size over the previous 3 years, universities are exempted from any stipulations governing how they spend their endowment.  So, Harvard is free to not spend a dime of its $37B endowment if it so chooses.  Some people feel this violates the implicit justification of tax write-offs: tax revenues foregone by the government should be used by charities and universities to achieve societal benefits.  One such person is Ben Miller, who lays out a compelling case in this article.