CGA.org

 

Charitable Gift Annuity

A Charitable Gift Annuity is a contractual agreement between you and your Kendal Community. In exchange for your gift of cash, securities, or other property (min. $10K), the Community provides you and/or another designated person with a guaranteed, lifelong annuity payments, of which is fixed and based on a variety of factors including age at the time of the gift and amount of gift.

Here are the current rates for a Single Life or Two lives CGA:

EXAMPLE OF A SINGLE LIFE CHARITABLE GIFT ANNUITY:

Gene is 85 and invested heavily in CDs, several of which are about to mature. With the low rates on CDs, he will see a substantial decrease in income. Instead, he makes a gift of $25,000 to his Kendal Community to create a charitable gift annuity.

• Gene’s Rate: 7.8%

• Charitable deduction: $14,149

• Annual income: $1,950 ($487.50)

• Annual amount tax-free: $1,595

*Upon death remaining principal will benefit his Kendal Community.


EXAMPLE OF TWO COVERED LIVES CHARITABLE GIFT ANNUITY:

Joan and Ed, ages 87 and 84, have been married for more than 60 years. They currently hold Apple stock worth $50,000, which they bought several years ago for $5,000. They would like to liquidate the stock and move the proceeds into something that pays them a higher income, but they don’t want to pay capital gains tax on their $45,000 gain. After talking with their advisers, they use the stock to fund a $50,000 CGA with their Kendal Community.

• Joan and Ed’s Rate: 6.8%

• Charitable deduction: $24,546

• Annual income: $3,400 ($850)

• Annual amount tax-free: $2,740

*Upon death remaining principal will benefit his Kendal Community.

For more information regarding GIVING OPTIONS and the advantage of planning a special gift
please contact your Kendal Community’s Chief Financial Officer, or Beverly Grove, Director for Philanthropy
at KENDAL: CLICK HERE