Derek Tamm remembers what it was like for him as a high school senior, wondering if he'd be able to afford Saint John's University.
"I grew up as a farm kid in Albany, Minnesota," he recalls. "My family certainly wasn't affluent by any means, so I was heavily reliant on financial support when I was at Saint John's. My academics didn't hurt, but it took the financial resources that were available to me to make being there a reality.
"I was the beneficiary of someone else's foresight."
Now Tamm, a 2004 graduate who has gone on to a successful career in financial planning, hopes to use his own foresight to assist future Johnnies.
That's why the managing director at Northwestern Mutual-Minneapolis elected to designate Saint John's as the beneficiary of a life insurance policy, meaning the contributions he's making today will result in a much larger benefit to the school sometime in the future.
"By doing it this way, I can turn a $500-month contribution into half-a-million of death benefit to the university after I pass away," Tamm explained. "It's a way that - without requiring a significant amount of money - that allows you to do something really extraordinary down the line.
"Instead of making a contribution to SJU every year, this way a check gets written to the insurance company now, but the proceeds will go to Saint John's when I pass away. Especially if you plan when you're still relatively young, it offers you a way to make a much larger donation than you might otherwise have been able to."
And that's important to Tamm, who said his time at SJU helped prepare him for the success he has gone on to achieve after graduation.
"The scope of the liberal arts education there was so comprehensive that it made me a much more well-rounded person," said Tamm, an economics major. "I established lasting relationships, not just with my classmates, but with alums. Those relationships have made a big difference to me over the years.
"When they say (SJU) alums pay it forward, that's a real thing. We're all part of this community."
Tamm said his approach may not be right for everyone, but for those seeking a chance to pay it forward in the future, it might be worth looking into.
"Before anyone does anything like this, I'd tell them to make sure they have their own plans in place," said Tamm, whose family includes his wife Melinda - who owns Ms. Melinda's Dance Studio in Waite Park - and two boys ages 6 and 8. "Like they say on an airplane, make sure you have your own mask on first before assisting others.
"But once you get your own plan on track, and you're able to start thinking about how you can help, this is one of those ways."
Please contact Saint John's Planned Giving at (320) 363-2116 if you're interested in learning more about gifting life insurance.
