Gift Annuity Campaign
The Charitable Gift Annuity was established by Section 72 of the Internal Revenue Code.
Benefits for the Donor: A Gift Annuity provides a guaranteed, lifetime income for the donor which usually represents substantially increased earnings. In addition, the donor may realize a wide range of tax benefits, based upon one’s individual situation.
- Benefits for the Charity: At the donor’s passing, what remains is distributed to the charity. Additionally, the gift annuity can be structured to provide current benefit for the designated charity as well.
Three Donors That May Welcome the Gift Annuity
Small Business Owner or Professional Needing a Retirement Bailout:
The Gift Annuity provides a special tax sheltering opportunity for the business owner or a professional that drastically reduces the cost of saving for their retirement.
The Real Estate Owner Who’s Grown Weary of Landlord Headaches:
The Gift Annuity provides a bypass of capital gain tax when liquidating appreciated rental property. Generally, this will greatly enhance one’s retirement income potential, while eradicating the landlord headaches.
The Senior Citizen Struggling Due to Low Interest Rates:
For the senior struggling to make ends meet on a fixed income, there is often no wiggle room. With the current economic environment, with its all-time low interest rates, the difference between perishing and surviving is based upon one’s interest rate. The gift annuity can bring about a stabilizing of the senior’s income by providing a lifetime of a decent, guaranteed rate of return.