Your Federal Quarterly Tax Payments are due April 15th Get Help Now >>

A Guide to Gift Annuities by mmcsx


What Are Annuities

More Info
                                                                                               Guide To
What are Gift Annuities?                    I HAVE REVIEWED YOUR
                                            BROCHURE AND:
Are you looking for secure sources
                                            □ I would like to speak with someone
of fixed income for now or future

                                                                                             Gift Annuities
                                              who can provide additional annuity
retirement? If you are like many
individuals who own appreciated
assets, you are tired of living at the      □ I would like to receive information on
mercy of the fluctuating stock and real       other charitable tax planning options.
estate markets. You recognize that if
you sold your appreciated assets you        Name ___________________________
would face a high capital gains tax.        Street ___________________________
There is a solution, a plan that provides                                                              Cash
                                            City ____________________________
you with fixed income for life, avoids                                                         Appreciated Securities
capital gains tax and leaves a lasting      State/Zip ________________________                      Real Estate
gift to our organization. This plan is
                                            Home Phone _____________________
called a charitable gift annuity.
A charitable gift annuity is a contract     Work Phone______________________
between you and us. You transfer your       Email ___________________________
appreciated assets to us in exchange        (Please complete and return. All inquiries are
for our promise to pay you fixed income     treated with complete confidentiality.)
for your life. The income can be quite
high depending on your age, and a
portion of your income stream may
even be tax free. Best of all, you will
receive a charitable deduction for the
value of your future gift to us and the
satisfaction of contributing to a worthy              UMRH Foundation
cause.                                      2600 Croasdaile Farm Pkwy., Suite A-500
                                                      Durham, NC 27705
                                                     Phone 919-384-3004
Gift Annuity Options
There are excellent options for                                                   Current Gift Annuity Donor
establishing a charitable gift annuity.                                              Elizabeth purchased stock many years ago.
For current income, you may transfer                                                 The stock has appreciated substantially.
property for a fixed income beginning as                                             Because of the fluctuating markets, Elizabeth
early as this year. Or you can establish a      desired to sell her stock. However, she wanted to avoid paying high capital
deferred gift annuity, take your charitable     gains tax. Elizabeth called our organization and discovered that she could
deduction now and receive payments at           transfer her stock in exchange for a charitable gift annuity. She could begin
a designated future date. A deferred gift       receiving income now, take a current charitable deduction and avoid capital
annuity also offers the option to establish     gains tax on the gift. Best of all, a portion of her income would be tax free.
the gift annuity now and take a current         Elizabeth decided to transfer her appreciated stock in exchange for the gift
deduction while maintaining a flexible          annuity and was delighted with the resulting fixed lifetime payments.
future retirement date.

                                                                                  Deferred Gift Annuity Donor
How to Make a Gift Annuity                                                         David was an executive in property
Several types of assets may be gifted in                                           management. He recently sold a rental
exchange for a charitable gift annuity.                                            property and was looking to invest the
                                                                                   proceeds from the sale. He enjoyed the
CASH                                                                               challenge and responsibility of his job and
A cash gift is an excellent way to fund                                            was not ready to retire, but was interested
a gift annuity. A large portion of the                                             in investment options that would provide
annuity income will be tax free.                income for the future. David was on the board of our organization and wanted
APPRECIATED SECURITIES                          to help us further our work. Our gift planner told David that a deferred gift
Capital gains tax may be bypassed on a          annuity would meet his goals. David could fund a deferred gift annuity
gift of appreciated securities to fund a gift   and receive an immediate charitable tax deduction. He could begin taking
annuity. A portion of the income stream         payments at a fixed date in the future or be flexible with his retirement date.
will be taxed at the lower capital gains        David decided to set up the deferred gift annuity and received an immediate
rate and another portion may be tax free.       charitable tax deduction.

To top