Charitable Gift Annuities
A Charitable Gift Annuity is an irrevocable, simple agreement between the donor
and the Fort Wayne Community Foundation. The donor gives assets (cash or stock)
to the Community Foundation for which they receive fixed quarterly income
payments, guaranteed for life. At termination of the annuity, the remaining
assets go to an endowment fund established by the donor, to an existing fund at
the Foundation, or to a fund that a charitable organizations has established
with the Community Foundation.
Reasons for a donor to open a Gift Annuity:
- Personal satisfaction from knowing a permanent legacy has been put in
place to benefit your organization forever.
- Gift Annuity rates are attractive, typically ranging from 6% to 11%
depending on the age of the annuitant. Rates increase with age.
- Often a significant portion of a gift annuity is tax deductible in the
year established. Additionally, part of each payment is tax-free for the
annuitant for a period of time.
- Payment is guaranteed and is backed by the assets of the Fort Wayne
Community Foundation.
- May enjoy reduced probate costs and estate taxes.
- Can be used to make significant one-time gift or a series of smaller,
repeat gifts.
About Gift Annuity Rates
Payment rates are reviewed periodically and are thus subject to change. A
number of factors including age, interest rate assumptions, number of payment
recipients, and other factors are considered when determining payment rates and
tax benefits. Once a gift annuity is completed, the rate for that particular
annuity will never change.
A "Double-Duty" Annuity
It is possible for two persons to enjoy payments from a charitable gift
annuity.
Providing for Others
A charitable gift annuity can also make it possible for an individual to
make a charitable gift while helping meet the long-term financial needs of a
loved one.
Deferred Gift Annuity
A donor can make an immediate gift for our benefit of the Foundation and
receive the annuity payments at some future time. The date the annuity payments
start is determined by the donor. Often a person with a large income will make a
gift and the Foundation will agree to start annuity payments at age 65 or an age
when the donor expects to retire.
| Rates for
various ages are as follows: |
| Age of Donor |
Annuity Rate |
| 55 |
5.8% |
| 60 |
6.0% |
| 70 |
6.7% |
| 80 |
8.3% |
| 90 |
11.5% |
How can I learn more?
To receive a personalized illustration of your potential gift annuity
benefits, including income payments, tax savings, and projected charitable
gifts, fill out our online
form or simply contact us with the following information:
- Amount you would consider investing in a gift annuity
- Date of birth for each beneficiary
- Name, Address, City, State, Zip
- Telephone
See also:
Advantages of the Community Foundation
Ways to Give
Types of Funds
Establishing Scholarships
Charitable Gift Annuities
Frequently Asked Questions
<< You can also access the above links using the navigation to
the left.
|
