Charitable Gift Annuities

This charitable gift option is of real value for retirement planning. A charitable gift annuity is a life income program that enables the donor to make a meaningful gift, receive a fixed stream of income for life, and derive significant income tax benefits. In exchange for the gift, the Foundation will agree to pay the donor a fixed annual sum. The payment rate will depend upon the age of the beneficiary(ies) at the time of transfer. The older the beneficiary(ies) is at the time of the gift, the greater the fixed income amount. The payment may also continue after death to the donor’s surviving spouse.

In addition to the charitable income tax deduction realized in the year the gift is made and the subsequent cash savings from the tax deduction, a portion of the annuity payment is tax-free since the payment represents the portion of the return of the principal that was a charitable gift.

At the donor’s death, the remainder of the gift not used to provide life income will go to create an endowment to support a donor’s charity of choice.

Benefits of charitable gift annuities:

• You can ensure a guaranteed stream of income that will be partially
  tax-free for yourself, your spouse or another loved one
  
• You can usually receive a higher rate of return on your investment
  than on bank CD or savings accounts.
  
• You can claim a charitable income tax deduction for the portion
  of the transfer that represents the charitable gift.