Charitable Gift Annuities
You can increase your income, reduce your taxes paid and ensure the Boys & Girls Aid programming and services you value will be there for generations to come with the Boys & Girls Aid charitable gift annuity.
A charitable gift annuity involves a simple contract between you and Boys & Girls Aid where you agree to make a gift to Boys & Girls Aid and we, in return, agree to pay you (and someone else, if you choose) a fixed amount each year for the rest of your life.
The charitable gift annuity is a good way to make great things happen.
If you are 65 years or older and make a gift of $10,000 more, you’ll receive a fixed lifetime income and a charitable tax deduction in the year you make the gift. Your annual payment is also partially tax-free. You can fund the gift annuity with cash or appreciated securities. More importantly, your gift ultimately benefits the work of Boys & Girls Aid.
How It Works
Brad, 66, and Joli, 65, want to make a contribution to Boys & Girls Aid that will support the work for generations to come, but they also want to ensure that they have dependable income during their retirement years. They establish a $20,000 charitable gift annuity with Boys & Girls Aid. Based on their ages, they will receive a payment rate of 4.3 percent, which means that they will receive $860 each year for the remainder of their lives. They're also eligible for a federal income tax charitable deduction of $5,544* when they itemize. Finally, they know that after their lifetimes, the remaining amount will be used to support Boys & Girls Aid.
*Based on annual payments and a 2.4 percent charitable midterm federal rate. Deductions vary based on income earned.
How to Fund It
You can use the following assets to fund a charitable gift annuity:
Securities and mutual funds that have increased in value and been held for more than one year are one of the most popular assets to use when making a planned gift. Making a gift of securities or mutual funds offers you the chance to support a charity while realizing important benefits for yourself.
When you donate appreciated securities or mutual funds you have held more than one year, you can reduce or even eliminate federal capital gains taxes on the transfer. You are also entitled to a federal income tax charitable deduction based on the fair market value of the securities at the time of the transfer.
Tangible Personal Property
Your treasures like valuable antiques, stamp and coin collections, works of art, cars, boats, and other personal property can make suitable charitable gifts today or after your lifetime. The financial benefits of the gift depend on whether the charity can use the property in a way that is related to the mission.
If the federal income tax charitable deduction claimed for a gift of tangible personal property exceeds $5,000, you must obtain an appraisal from a qualified appraiser and submit a special IRS form with the tax return on which the deduction is claimed.
Contact Suzan Huntington at 503.542.2304 or email@example.com for additional information on beneficiary designations and how they can help support Boys & Girls Aid.
Talk to your financial or legal advisor to learn which assets will or will not trigger taxable income when paid to a beneficiary.
If you name Boys & Girls Aid in your plans, please use our legal name and federal tax ID.
Legal Name: Boys & Girls Aid
Address: 9320 SW Barbur Blvd #200, Portland, OR 97219
Federal Tax ID Number: 93-0386791