A 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 information. 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 firstname.lastname@example.org www.umrhgift.org 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.