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Legacy Giving

Charitable Gift Annuities

Goal: Receive guaranteed fixed income that is partially tax-free
Benefit: Current and future savings on income taxes, plus fixed, stable payments
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A charitable gift annuity can provide tax benefits now and a life-time income for the donor and a beneficiary if desired. The minimum age for a standard charitable gift annuity with McLeod is 55 years old.

A deferred gift annuity is a variation on a gift annuity. A gift is made and the charitable organization promises in return to pay you an income stream that begins on a future date you specify. The annuity rate is calculated based on your age when the payments begin and will be greater than an immediate annuity based on your current age. The charitable deduction, which you get to take in the year of the gift (subject to your tax circumstances), will also be based on when the payments begin and will also be greater than if it was an immediate annuity. The minimum age for a deferred charitable gift annuity with McLeod is 45 years old.

A flexible deferred gift annuity allows you to pick a range of dates when the annuity payments will begin. For example, you might choose to begin quarterly payments on March 31st of any year not earlier than 2013 or later than 2018. The payment amount will be based on the year you choose in the future to have payments begin. The charitable gift deduction is based on the earliest possible beginning date (2013 in this case) and is taken in the year of the gift, subject to your tax circumstances.

An attractive benefit of deferred gift annuities is that they enable a donor to make a gift now and take a charitable income tax deduction now while in a high tax bracket. Income may be deferred, for instance, until after retirement, when the rate of tax will presumably be lower. Deferred gift annuities are creative ways to delay income to pay for children's or grandchildren's college expenses, supplement your retirement income, or assist with assisted-care living arrangements that may be inevitable.

A part of each payment, as in any gift annuity, may be tax-free for a period of years. However, the precise amount of each payment will depend on the tax rules in effect when the payments start.

Charitable gift annuities are the gifts that keep on giving. Rates on charitable gift annuities are based on age and whether the contract is immediate or deferred. If you would like an illustration of this life income to address your particular situation, please click here and fill out the response form and send us the appropriate information. To look at some specific rates on current gift annuities, click here. A generic example of a charitable gift annuity is available as well as a graphic example.

 

Jill Lewis
To live, to love, to laugh
Jill Lewis
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Mary Jane Holland
"We've seen what McLeod has achieved in the past, and we want to be part of what they do in the future."
Evans and Mary Jane Holland
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Children's Playground
Children's Playground at Hospice House
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For more information or a confidential discussion of your charitable options, please email or call the Development Officer, Roxanna Tinsley, at (843) 777-2694.

Please note, individual financial circumstances will vary. The information on this site does not constitute legal or tax advice. Donor stories and photographs are for purposes of illustration only. As with all tax and estate planning, please consult your attorney or estate specialist. You may also contact a member of the Professional Advisory Council. All material is copyrighted and is for viewing purposes only. Use of this site signifies your agreement with the terms of use. The content in this Legacy Giving section has been developed for McLeod Health Foundation and is owned by Future Focus. Please report any problems to section webmaster.