After working for decades as a pediatrician in a small rural town, Patricia was ready to retire.
Patricia: I bought some stock a number of years ago, and overall, this was a good investment for me. However, I was uncertain about leaving my savings in the market where I knew it could go up or down.
I was also looking for security for my retirement years. Ideally, I wanted to know I would have the income I needed and that it would not change with the markets.
Patricia talked to a friend who had found a good solution for these same goals through a Charitable Gift Annuity (CGA) with her favorite charity. Through her CGA, Patricia's friend is receiving fixed payments for the rest of her life, many tax benefits and the joy of furthering the good work of the charity. Patricia thought that perhaps a CGA would be helpful for her too.
Patricia: I called the charity and asked about a Charitable Gift Annuity. I was very pleased to discover I would receive a good lifetime payout based on my age. Plus, there would be a charitable tax deduction and part of the income would be tax free.
I transferred my stock to fund a CGA. I was delighted with the fixed payment I began receiving quarterly. The capital gains tax on the appreciation of my stock shares was decreased significantly, and my CPA was pleased that my charitable deduction will reduce my income taxes this year. With my tax savings and increased income, I plan to spend more on my grandchildren this year!
Please note: The story, names and image above represent an example of the benefits of this type of estate-planning tool. They do not represent actual donors to GFA.
You may want to click here to calculate your CGA benefits based on your age and wishes, or contact us to request a personalized CGA illustration.
GFA's Charitable Gift Annuities are administered by National Christian Foundation and can be funded with cash or securities with a minimum value of $10,000. Income payments from a CGA can be received quarterly or annually.