Charitable Gift Annuities

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Charitable Gift Annuities

Charitable Gift Annuities

Under this program, a donor makes a contribution of cash or securities to NCCF and, in return, receives an income guaranteed for his or her life.

A Charitable Gift Annuity provides a powerful tool by which donors can support a charitable organization, while providing themselves a guaranteed income for life—usually at above market rates.

A Charitable Gift Annuity is a contract between a donor and National Catholic Community Foundation that provides a lifetime of annuity payments to the donor (and survivor or other beneficiary) in exchange for an irrevocable gift of cash, securities or other assets. Generally, the rate of return is enticing, and the payments are guaranteed for life. The Charitable Gift Annuity, as with any planned gift, can be used to create a donor-advised fund at NCCF to benefit a specific charity or charities.

Under this program, a donor makes a contribution of cash or securities to NCCF and, in return, receives an income guaranteed for his or her life (and another beneficiary, if desired). The donor also enjoys certain tax advantages associated with the contribution and the income derived from the annuity.

Upon the death of the annuitant(s), the remainder will be distributed as advised by the donor.

A charitable gift annuity could be right for you if:

  • You want to provide income for yourself or others.
  • You want the security of fixed, dependable payments for life.
  • You want to minimize income taxes or capital gains taxes.
  • You would like income that may be partially tax-free.
  • You are considering a gift amount of $10,000 or more.
  • You are at least 50 years old for a deferred or 60 for an immediate annuity.
Fixed Payments for Life
In exchange for  your irrevocable gift of cash, securities, or other assets, NCCF will pay you a fixed amount each year for life.  The amount of the payment depends on the amount donated and the age of the payment recipient.
  1. Payments last for your lifetime, You cannot outlive your payments.
  2. Payments are predictable.  Your payments will not be affected by investment performance or market conditions.  You will get the same amount each year.
  3. Payments are secure.  They are backed by the general resources of NCCF, not just by the assets you donate.
Tax-advantaged Payments

Part of each payment typically will be tax-free for many years.  This tax-free portion makes the payments more valuable than an equal amount of fully taxable income.


Payout Rate Depends on Age

The older you are when you make your gift, the greater the payment rate you will receive.  If you choose other people to receive the payments from your annuity, their ages at the time of your gift will determine their payment rate.  Our minimum age is 50 for a deferred annuity and 60 for an immediate annuity.


Assets to Consider

Cash currently held in a savings account, bank CD, or money-market fund makes an excellent funding asset.  Usually, a gift annuity will provide you with larger payments than any of these investments.

Securities, especially highly-appreciated securities that you have owned for one year or more, are also an excellent funding asset.  Giving them to us in exchange for a gift annuity will allow you to unlock their value to increase your cash flow and avoid substantial capital gains tax at the same time.

Additional Program Information

NCCF partners with PG Calc for charitable gift annuity administration and legal compliance.

For more information about PG Calc, visit www.pgcalc.com

NCCF  can administer Charitable Gift Annuities in all states except Hawaii.

Gift annuities are charged an administrative fee of 1% per year of the value of the CGA (charged on a monthly basis – 1/12th of 1% per month)