Deferred Charitable Gift Annuity
confirmation
...supporting the spiritual, educational and social needs of the Catholic community.
Deferred Charitable Gift Annuity is similar to a regular Charitable Gift Annuity in that the donor receives a life income in exchange for an irrevocable gift of cash, securities or other assets. However, in this case the lifetime annuity payments are deferred to a future date set by the donor. The donor qualifies for a Federal income tax deduction at the time of establishing the gift annuity. A minimum $10,000 is required to set up a Deferred Charitable Gift Annuity. This is ideally suited for a younger donor who could use the tax deduction today but doesn’t need the income until retirement.

EXAMPLE: A cash gift of $50,000 from donors aged 60 and 58. They choose to postpone receipt of annuity payments for 10 years. They receive a 9.3% rate or $4,650 annually for their lives and are eligible for a $12,304 Federal income tax deduction (IRS discount rate of 4%). The donor designates how the remainder is to be used upon death (such as, to establish an endowment fund to benefit the donor’s parish or other charitable organization).

To learn how what kind of lifetime income you can receive from your gift, use our Gift Calculator.  Or for more information - Contact Us.