This booklet is designed to show you the

The Charitable Gift Annuity T his booklet is designed to show you the many ways in which the Charitable Gift Annuity can aid in your planning. Highl...
0 downloads 2 Views 2MB Size
The Charitable Gift Annuity

T

his booklet is designed to show you the many ways in which the Charitable Gift Annuity can aid in your planning. Highlighted are such important matters as: n n

How a gift annuity may increase your spendable income; Advantages of joint and survivor annuities

and deferred gift annuities;

n How a charitable gift annuity can ease capital gains taxes;

n How the gift annuity can minimize your income and estate taxes and at the same time make a significant contribution to our future.

Inside This Guide Book How Does the Charitable Gift Annuity Work? . . . . . . . . . . . . . . . . . . . . 2

Funding Gift Annuities with Appreciated Securities . . . . . . . . . . . . . . 7

What Determines the Amount of the Annuity?. . . . . . . . . . . . . . . . 2

The Deferred Gift Annuity . . . . . . . . . . . . . . 8

How a Gift Annuity May Increase Spendable Income . . . . . . . . . . . . . 3

Federal Estate Tax Consequences of Gift Annuities . . . . . . . . . . . . . . . . . . . . . 10

Joint Annuitants May Make Sense . . . . . . . 6

A Final Word About the Charitable Gift Annuity . . . . . . . . . . . . . . . 11

How Flexible is the Charitable Gift Annuity? . . . . . . . . . . . . . . . 6

What About Gift Taxes? . . . . . . . . . . . . . . . 10

Notes for Tax Advisers . . . . . . . . . . . . . . . . 11

The Charitable Gift Annuity

The Charitable Gift Annuity NOTES

The Charitable Gift Annuity taxable portion by the life expectancy (15.9), the

exclusion of $28,000 per donee where the gift is

amount of the $510 annual annuity subject to the

made by either a husband or wife and the non-

capital gain tax is about $153. Reg. §1.1011-2(c).

donor spouse consents to treating the gift as being

18. Payout rates were computed under the follow-

made one-half by each spouse. Further, taxable

ing assumptions: quarterly payments, with the

transfers during life are included in the decedent’s

first payment occurring five, ten, 15 or 20 years

estate for purposes of computing the federal

after the date of the gift, plus three months.

estate tax [I.R.C., §2001(c)]. Gifts to a spouse quali-

19. The deduction is computed under special factors set forth by the IRS.

fy for the unlimited gift tax marital deduction. 22. The $5.34 million gift tax exemption is in effect through December 31, 2014. I.R.C., §2505(a).

20. I.R.C., §§6019(3). 21. I.R.C., §2503(b) allows an annual exclusion of $14,000 per donee. I.R.C., §2513 allows an annual

23. I.R.C., §2039. 24. I.R.C., §691.

The materials contained in this booklet are intended to show only some of the ways you can benefit our future and minimize your federal tax liability – with examples of anticipated federal tax liability. Thus, you should not take any action without first consulting your attorney.

Robin Hicks Nunley, CFRE Chief Philanthropic Officer

Council on Aging of Martin County The Charles and Rae Kane Center 900 SE Salerno Road Stuart, FL 34996 (772) 223-7862 Solicitation Registration No. CH2307

12

Copyright © Published by R&R Newkirk. All Rights Reserved.

The Charitable Gift Annuity As a nation of generous people, we almost all agree about the importance of leaving the world a better place for future generations. As a result, many people support our goals and programs. But our natural instincts also tell us that we must first be concerned with our personal and family security before we can consider being of financial assistance to charity – no matter how worthy the cause. The charitable gift annuity makes it possible for you to satisfy these dual objectives of personal and family security and to benefit our work. Indeed, this unique plan may permit you to make an immediate gift to us without loss of income. In many instances, the gift annuity can actually increase your spendable income.

HOW DOES THE CHARITABLE GIFT ANNUITY WORK? In exchange for your gift of money or securities, we will pay you a certain specified annuity for life.1 The annual amount of this annuity is fixed at the time of the gift and remains stable throughout your life. It does not fluctuate with the economy, so you know exactly how much income you will receive. It is also worth noting that no gift annuity payment has ever been missed in the history of our program. Example: Mr. Jones, at age 70, arranges

a charitable gift annuity with us. He makes a gift of $20,000, and we agree to pay him $1,020 each year for the rest of his life. Mr. Jones has no worries about the investment of the $20,000 because his annuity payments are fixed for life. He can’t possibly outlive these payments, and no change in our economy will affect the payments. Mr. Jones also has the satisfaction of knowing he has made a significant contribution to our future. The attraction, of course, lies in the fact that you can make an immediate contribution and still get the equivalent of the income from the money you give us for as long as you live.

WHAT DETERMINES THE AMOUNT OF THE ANNUITY? Generally speaking, the amount of the annuity is determined by two factors: the age of the donor and the size of the donor’s gift.

1

The Charitable Gift Annuity 65 years of age and will receive a 4.7% annuity. Mr. Charles makes a gift of $10,000, but Mr. Anderson makes a $20,000 gift. Mr. Charles will receive an annual annuity of $470; Mr. Anderson will receive an annual annuity of $940.

The Charitable Gift Annuity tax-free payouts should use the lowest midterm

After 15.9 years she will no longer receive tax-

rate possible. See Notice 89-60, 1989-1 C.B. 700.

free return of principal [Code §72(b)(2)].

7. The deduction must be computed using IRS factors. 8. The dollar tax savings will depend on the tax bracket of the donor. If Mrs. Johnson were in a 25% tax bracket, the tax savings would be

HOW A GIFT ANNUITY MAY INCREASE SPENDABLE INCOME First, consider the age factor. As the following table shows, the older the donor is at the annuity’s starting date, the higher the payout rate.2 Age of Donor3

Payout Rate

Age of Donor

Payout Rate

60

4.4%

76

6.0%

62

4.5

78

6.4

64

4.6

80

6.8

66

4.8

82

7.2

68

4.9

84

7.6

70

5.1

86

8.0

72

5.4

88

8.4

74

5.7

90 and up 9.0

The second factor affecting the amount of the annuity is the size of the donor’s gift. Obviously, the larger the gift, the larger the annual annuity. Example: Two different donors, Mr. Charles and Mr. Anderson, enter into gift annuity arrangements with us. Both are

2

The attractiveness of the charitable gift annuity is greatly enhanced by a number of tax benefits that Congress has provided to encourage your support of charitable institutions. The two basic benefits are: (1) an immediate and substantial income tax charitable deduction; and (2) favorably taxed annuity benefits. To understand how these two tax breaks work, let’s consider the case of Mrs. Johnson, a fictitious person with many real counterparts in life. At age 70, she arranges a gift annuity and makes a $10,000 cash transfer. We agree to pay her $510 annually for the rest of her life.4 The $510 annuity exceeds the interest she would have received on savings, because it also includes some return of principal. But in addition to this 5.1% annuity, Mrs. Johnson also enjoys the two major tax benefits that may substantially increase her spendable income. First of all, she can claim – like any other donor entering into a gift annuity agreement – a sizable tax deduction in the year she

about $975. 9. Assuming a 33% income tax bracket. If Mrs. Johnson were in a 25% bracket (see Note 8), the investment would be $8,774 and the effective rate would be about 7%. 10. Regulations issued by the IRS (§1.72-9) contain

11. The best tax benefits are generally produced when the annuity is annual and the first payment is made one year after the gift. 12. The calculations as to amount of annuity, income tax deduction and tax-free portion of annuity payments will depend on the age of the annuitant, not on the age of the donor. 13. The difference between the cost of the securities and the sale price is generally a capital gain. Assuming the securities had been held for more than one year prior to their sale, the gain is long-term. The gain is taxable at 20% for tax-

a so-called Table V, a series of expected return

payers in the 39.6% bracket, 15% for taxpayers

multiples for a single life annuity. The life

in the 25%, 28%, 33% and 35% brackets on

expectancy of the annuitant is multiplied by

assets held more than one year. Taxpayers in

the amount of the annuity to ascertain how

15% or 10% brackets pay 0% tax.

much the annuitant will probably receive. A donor at age 70 has a life expectancy of 16 years which is adjusted for frequency of pay-

14. I.R.C., §1411. 15. See I.R.C., §1011(b).

ments – 15.9 for quarterly. Mrs. Johnson,

16. Reg. §1.1011-2(c).

receiving a $510 annuity, can expect to receive

17. Assets transferred to a charitable organization

$8,109 adjusted for quarterly payments.

for an annuity are treated in part as a gift and

The “cost” of the annuity is the amount of the

in part as the purchase of an annuity under the

gift less the amount of the deduction allowable

“bargain sale” rules. To the extent that the

(see note 7). In Mrs. Johnson’s case the “cost”

transfer is a gift, there is no capital gains tax

of the annuity is $6,099. The IRS figures that

liability. But to the extent the transfer is a pur-

Mrs. Johnson will get back her investment of

chase of an annuity, there is a capital gain. For

$6,099 over her 15.9-year expected return mul-

example, if a 70-year-old donor transferred

tiple, and this sum will be tax free. The rest of

property worth $10,000 to charity for a $510

what she expects to receive ($2,010) will be

annual annuity, there would be a gift of $3,901

income to her. Thus, a percentage of each gift

and an annuity purchase for $6,099. Assuming

equal to $6,099 over $8,109 is tax free.

the donor had a cost basis of $6,000, 60.99% of

Expressed differently, a percentage of each

the $4,000 paper profit ($2,440) would be tax-

payment equal to $2,010 over $8,109 is taxable.

able; the balance would be tax free. Dividing the

11

The Charitable Gift Annuity estate tax attributable to the survivor’s annuity is allowed as an income tax deduction to the surviving annuitant over his or her life expectancy.23 And if the joint annuitants are husband and wife, the estate tax marital deduction will eliminate any tax.

A FINAL WORD ABOUT THE CHARITABLE GIFT ANNUITY The charitable gift annuity can be tailored to meet a variety of personal and financial objectives. Indeed, it is this very flexibility that makes the charitable gift annuity so attractive. In summary, some of the more important benefits are: n n

n n n n

A stable, nonfluctuating income for life. In many instances a greater payout than is currently available on savings or securities. Substantial income tax savings. Possible savings on capital gains taxes and gift and estate taxes. The right to have another beneficiary receive the annuity for life as your survivor. Personal satisfaction . . . the pleasure of knowing that your gift will ultimately serve and benefit society.

We urge you to give careful consideration to the charitable gift annuity. Our staff will be more than happy to help you plan a personally satisfying gift arrangement.

10

NOTES FOR TAX ADVISERS 1. The annuity payments are a legal and binding obligation. Generally, we will make a written commitment to the donor to pay a specified annual sum to the annuitant, in specified installments, until the annuitant dies. 2. Most of the charitable institutions that are willing to pay an annuity to a donor use these rates. Indeed, the rates are recommended by an organization of educational and charitable institutions. 3. Age to nearest birthday at the time of the gift is generally used to determine the rate of annuity that a charitable institution will pay. 4. A glance at the table on page 3 will show that an annuity of 5.1% of the value of the gift is payable to a person age 70. 5. I.R.C., §170(f)(1). The charitable deduction is generally limited to 50% of the adjusted gross income of the donor; or if the gift consists of property that has appreciated in value (and

The Charitable Gift Annuity makes the gift. And should the amount of her deduction exceed 50% of her adjusted gross income (30% if the gift is made with long-term appreciated property), she can deduct the excess for up to five years.5 The amount of the charitable deduction allowed for a gift annuity must be computed under the tables developed by the Internal Revenue Service. For most annuitants, it usually will be about 25% to 50% of the amount of the gift. The table below shows the deduction allowed for a $10,000 transfer and an annuity paid quarterly.6 By looking at the table, one can easily determine Mrs. Johnson’s deduction. Since she is 70 years old and is making a $10,000 gift, her deduction is $3,901.7 The actual dollar savings that result from her charitable deduction (assuming she is in the 33% tax bracket) is about $1,287.8

would give rise to a long-term capital gain if sold at its fair market value), the deduction cannot exceed 30% of the donor’s adjusted gross income. In all events, however, any excess amount can be carried over and deducted in a succeeding year, with this carryover being available for up to five years. 6. These deductions assume a federal midterm interest/discount rate of 2%. Deductions will vary, depending upon which midterm rate is used. Generally, however, donors seeking a large charitable deduction should use the highest midterm rate available; those seeking larger

Age of Deduction for Donor $10,000 Gift 60 62 64 66 68 70 72 74

$2,582 2,858 3,151 3,323 3,664 3,901 4,060 4,263

The table below is based on the amount generally paid to an annuitant of a particular age. For example, we assume that Mrs. Johnson is getting a 5.1% annuity. But we assume that a person age 86 is getting an 8.0% annuity. You can approximate the deduction allowable for a gift at your age. For example, assuming a federal midterm interest rate of 2%, a gift of $10,000 for an annuity payable to a person age 71 would be about halfway between $3,901 (the deduction at age 70) and $4,060 (the deduction at age 72). So we can approximate the deduction as being about $3,981. Our staff, of course, will be happy to give you the exact figures for any age.

A point to remember: Taking the charitable deduction into consideration, Mrs. Johnson’s payout is actually a great deal higher than 5.1%. To figure her effective payout rate, her after-tax cost should be used as the base for computations instead of the amount of her gift. Age of Deduction for And the most logical way to look Donor $10,000 Gift at her after-tax cost is to subtract the actual dollar savings that result 76 $4,501 from her charitable deduction 78 4,685 from the amount of the gift. Using 80 4,908 this figure ($10,000 – $1,287 = 82 5,162 $8,713)9 to compute the payout 84 5,438 rate, we find the rate is about 5.8%. 86 5,729 Favorably taxed annuity 88 6,028 benefits: In addition to receiving 90 6,243 a substantial charitable deduction,

3

The Charitable Gift Annuity

The Charitable Gift Annuity

You can estimate the amount of tax-free payments you can receive at your particular age at something between the figures for the two ages closest to your age. Another point to note: to receive an equivalent amount of spendable income in her 33% tax bracket, Mrs. Johnson would need interest income each year of about $699. The combination of a donor’s charitable deduction tax savings plus partially taxfree income results in an “effective” payout rate that is even higher than discussed on the previous page. We noted that Mrs. Johnson’s $510 income is equivalent to $699 (in a 33% tax bracket) because $384 is tax free. That $699 Taxation of Annuity Paid on a $10,000 Gift is being paid from $8,713, not Age of Annual Tax-Free $10,000, because her charitable Annuitant Annuity Portion deduction results in a $1,287 tax 60 $440 $308 savings. So her effective payout is 65 470 340 $699 divided by $8,713, or 8.0% – 70 510 384 well over the listed 5.1% rate. 75 580 450 In summary, here’s what the 80 680 542 tax rewards for a gift annuity mean: An annuitant, instead of For most annuitants, this tax-free losing income as a result of a gift, will amount will be 60% or higher. The exact usually have more spendable income. The amount, as the table above shows, reason: To encourage the support of charidepends on the age of the beneficiary.10 ties through charitable gift annuity arrangements, the government has proIn Mrs. Johnson’s case (she is 70 years vided these two splendid tax benefits: of age), the amount that is completely tax First, a sizable charitable deduction; secfree is $384. Only $126 out of the total ond, tax-free payments which will usually $510 annual annuity will be taxed as ordirun 50% or more of the annual annuity. nary income during her life expectancy. Mrs. Johnson receives another important tax benefit. A large part of the payment she will receive each year from the annuity will be free of income tax during her life expectancy, as determined by IRS tables.

4

WHAT ABOUT GIFT TAXES? Generally speaking, a gift made to fund a charitable gift annuity is exempt from any federal gift tax. No gift tax return is required when you set up a single-life annuity for yourself, unless payments are deferred to a future year.20 Even annuities established for others can avoid gift taxes, with careful planning. A gift tax might occur if the charitable gift annuity involves a gift to a friend or relative. For example, if a donor enters into a charitable gift annuity arrangement in which his son receives the annuity, the donor has made two gifts – one to the charitable institution and one to the son. The gift to the charitable institution is not taxable. The gift to the son might be taxable – but the $14,000 gift tax annual exclusion may prevent any gift tax liability from arising.21 Another situation in which a gift tax might be incurred is where a survivorship annuity is funded with the donor’s separately owned property. For example, a donor may make a gift under which he is paid an annuity for his life, and the annuity

is to be paid to his sister for her life after he has died. The sister’s right to possibly receive an annuity is a gift. But the value of the gift will generally be quite low. In the vast majority of cases the donor can avoid any possible gift tax by retaining the right in the gift annuity agreement to revoke the survivor’s right to receive annuity payments. The donor does not have to exercise this right and undoubtedly has no intention of doing so. The mere retention of the right in the agreement can avoid a possible gift tax. If the gift to the son exceeds $14,000, the gift will almost always be sheltered by the current $5.43 million gift tax exemption.22

FEDERAL ESTATE TAX CONSEQUENCES OF GIFT ANNUITIES No federal estate tax should ever be due if you arrange a gift annuity and reserve lifetime payments only for yourself, or for yourself and a spouse.23 If you set up a gift annuity and tell us to make the payments to a friend or relative, no estate tax will result so long as your gift was sheltered by the $14,000 gift tax exclusion mentioned above (this includes most gift annuities funded with $20,000 or less). A joint and survivor annuity funded with separately owned property, however, will be included in the donor’s gross estate if the second beneficiary survives the donor. The amount included is the value of the survivorship annuity. But in situations like this, it is important to note that any

9

The Charitable Gift Annuity (30% for gifts of appreciated securities). Any excess can be carried over and deducted in future years.

What if you find deferred annuities appealing, but can’t pinpoint the exact year you would like payments to begin? A flexible planning option allows you simply to make a “ballpark estimate” of when the first check should be sent. You won’t be locked in to that date, however, and the longer you wait to start payments, the larger those payments will be. The deferred payment gift annuity can be an excellent way for you to augment your retirement savings and provide for our future at the same time. Even if you are already contributing the maximum amount allowable to your Individual Retirement Account, 401(k) retirement plan or company pension plan, you can still have taxsheltered retirement savings through a gift annuity. Part of everything you contribute will be tax deductible (25% to 40%).19 The only limit is the deduction ceiling of 50% of your adjusted gross income

8

People who need to supplement IRA contributions might consider establishing annual deferred payment gift annuities. You would simply purchase a deferred annuity every year until retirement, and a large part of your contributions would be deductible as charitable gifts. Deferred payment annuities also can be an ideal way for parents to provide for the retirement security of adult children who need more savings, receive tax deductions and help provide for our future. Here are the results of a 10-year series of deferred annuities where the donor starts giving at age 55, with payouts at 65:

Year of Purchase Contribution

Charitable Payout Payout at Deduction Rate Age 65

2015

$10,000

$3,077

2016

10,000

3,111

6.3

630

2017

10,000

3,146

6.1

610

2018

10,000

3,183

5.9

590

2019

10,000

3,223

5.7

570

2020

10,000

3,266

5.5

550

2021

10,000

3,311

5.3

530

2022

10,000

3,229

5.2

520

2023

10,000

3,275

5.0

500

2024

10,000

3,324

4.8

480

$100,000

$32,145

TOTAL

6.5%

5.6%

The Charitable Gift Annuity JOINT ANNUITANTS MAY MAKE SENSE Gift annuities may be arranged for two lives as well as for a single life. And such an arrangement may be desirable to accomplish the financial objectives of certain donors. By far the most common arrangement for two lives is the joint and survivor annuity. With a joint and survivor annuity, annuity payments are made to one annuitant and then continue to another after the first annuitant’s death. For example, a husband will frequently want the annuity paid to himself and then to his wife after his death. The joint and survivor annuity makes it possible for him to accomplish this objective. The condensed table below shows how the rates for joint and survivor annuities are determined.

$650

$5,620

Age of Older Life 80

75

70

65

Age of

80

5.7%

Younger

75

5.3

5.0%

Life

70

4.9

4.8

4.6%

65

4.5

4.5

4.4

4.2%

60

4.2

4.2

4.1

4.0

60

(age 70) will receive a 5.1% payout rate; two 70-year-old annuitants under a joint and survivor annuity will receive a 4.6% payout rate. The reason for the difference is that payments are likely to continue for more years when two people are enjoying the benefits of the gift annuity. The size of the charitable deduction and the amount of tax-free income will also be somewhat different when another annuitant is involved. But in general, a donor can expect the benefits to be highly favorable. And whether he or she decides on a single-life or two-life annuity depends primarily on the financial objectives he or she is trying to accomplish. It’s not possible to include tables in this booklet for the many variations that can exist with two-life annuities. The two benefits mentioned before, an immediate tax deduction and favorably taxed benefits, exist. Our staff will be pleased to give you exact figures for any two-life arrangement you may find attractive. We’ll tell you the amount of the annuity that will be tax free. Just call or write giving us the necessary data. We think you’ll find the twolife annuity quite an attractive way of making a memorial gift for our future.

3.9%

If you compare the rates for joint and survivor annuities with those for single life annuities, you’ll find they are somewhat lower. For example, one annuitant

HOW FLEXIBLE IS THE CHARITABLE GIFT ANNUITY? The charitable gift annuity is highly flexible and can be tailored to meet a wide variety of personal needs and financial

5

The Charitable Gift Annuity objectives. As a donor you have several options available to you: n

The frequency of annuity payments. You can receive your annuity payments annually, semiannually or quarterly. This decision can have some small effect on the deduction and the taxation of annuity benefits.11

n

The choice of beneficiary. You can have the annuity paid to yourself or to another as a single life annuity;12 you can have it paid to both yourself and another as a joint and survivor annuity. n

The choice of gift. You can fund the annuity with cash or securities. Some of the advantages of using appreciated property are discussed later in this booklet.

n

Arrangements by will or IRA. You can set up a gift annuity by will or through an IRA. An annuity bequest set up by will or IRA provides for the annuity payments to begin for some designated beneficiary after your death. n

Immediate payments or deferred. You can have the annuity payments start any time during the first year after your gift or you can have them deferred, starting at a later period in your life. More will be said about this in our discussion of the deferred gift annuity. The point to keep in mind is that the gift annuity can be set up to meet your personal objectives, your own financial requirements and the needs of your beneficiaries.

6

The Charitable Gift Annuity

FUNDING GIFT ANNUITIES WITH APPRECIATED SECURITIES

for you – and that your gain may be taxed in lower tax brackets.

Your charitable gift annuity may be funded with investment assets as well as cash. The kind of assets you use – such as bonds, paid-up life insurance or corporate stock – is up to you. But many donors who fund a gift annuity with assets prefer to use securities that have gone up in value. The reason: Such an arrangement is a good way to minimize and defer the capital gains tax and investment income tax.

To illustrate the savings that may result when appreciated securities are used to fund a gift annuity, let’s assume Mrs. Johnson’s $10,000 gift was made with securities that cost her $6,000. The following table shows the amount of savings:

Look at it this way: Any securities you own that have appreciated in value will be subject to a capital gains tax when you sell them.13 In addition, taxpayers with income over $200,000 (single) or $250,000 (couples) are subject to a 3.8% tax on net investment income.14 The entire amount of the tax must be paid when you file your next tax return. The tax on a long-term capital gain may be large enough to deter you from selling the securities.

Amount of capital gain under bargain sale rules . . . . . . . . . . . . . . . . 2,440 17

But what happens if you use the securities to fund a charitable gift annuity? First, because the transfer of securities for a gift annuity is considered to be part gift and part purchase of an annuity, some of your capital gain escapes taxation.15 Second, as a donor, if you are the sole annuitant or one of the annuitants in a two-life annuity, your remaining capital gain will be reported ratably over your life expectancy.16 In other words, instead of paying the entire tax in the year you make the gift, you can spread it over the years you will be receiving the annuity. This means you will have more money left to work and earn income

Fair market value of securities . . . $10,000 Cost basis of securities . . . . . . . . . . . . 6,000

Net investment income tax . . . . . . . . . 152 Mrs. Johnson’s life expectancy . . . . . . 15.9 Annual annuity payment . . . . . . . . . . . 510 Amount of tax-free income . . . . . . . . . 384 Amount taxed as capital gain . . . . . . . . 61 Amount taxed as ordinary income . . . . 65

THE DEFERRED GIFT ANNUITY A special kind of gift annuity you may want to consider is the deferred gift annuity. This unique arrangement allows you to make an immediate gift for our benefit and to receive the annuity payments at some future time. The date the annuity payments start, of course, is determined by you. For example, a person age 55 could make a gift and we would agree to start annuity payments at age 66 or an age when he or she may expect to retire. What advantages do you receive from such an arrangement? You will be allowed an immediate income tax deduction in the year you make the gift. This deduction, in effect, reduces the cost of your gift substantially. And the deduction is much larger than the deduction that would be allowable if you had waited until age 65, for example, and then made a gift for an immediate annuity. Note: The payments will also be much larger than if you set up an immediate payment annuity.

Because of these tax advantages, it often makes good financial sense to fund a Deferred Gift Annuity Rates – charitable gift annuNumber of Years from the Date of Issue ity with appreciated Present of Agreement to Annuity Starting Date18 securities. Of Age of course, whether you Donor 5 years 10 years 15 years 20 years decide to make a transfer of appreci55 5.1% 6.5% 8.2% 11.0% ated property or 60 5.5 7.0 9.3 12.9 cash depends on 65 6.0 8.0 11.0 14.7 your own personal situation.

7

Suggest Documents