$10,000 * Charitable Gift Annuity Example

Assumptions:

  • IRS Discount Rate of 4.2%***
  • Single Life Annuity
  • 28% Federal Income Tax Rate
  • Cash Gift of $10,000

Age

Payout Rate

Guaranteed Annual Income

Tax-Free Portion

Charitable Deduction

Effective Rate of Return**

50

5.3%

$530

$255

$1,563

6.6%

55

5.5%

$550

$281

$2,007

7.0%

60

5.7%

$570

$308

$2,566

7.4%

65

6.0%

$600

$346

$3,110

8.0%

70

6.5%

$650

$403

$3,594

9%

75

7.1%

$710

$471

$4,155

10.1%

80

8.0%

$800

$564

$4,696

11.7%

 

*The $10,000 figure is merely a convenient multiple. We will be glad to provide calculations for any gift amount $5,000 or greater.

**Effective Rate of Return takes into account the donor's charitable tax savings and the benefits of tax- free income. A higher Federal Income Tax Rate would result in a higher Effective Rate of Return.

***Discount Rate available through March 2004.

 

 

 $10,000 * Deferred Charitable Gift Annuity Example

Assumptions:

  • IRS Discount Rate of 4.2%***
  • Single Life Annuity
  • 28% Federal Income Tax Rate
  • Cash Gift of $10,000

Age

Age Income Begins

Payout Rate

Guaranteed Annual Income

Tax-Free Portion

Charitable Deduction

Effective Rate of Return**

35

65

25.6%

$2,560

$356

$2,937

29.4%

40

65

20.1%

$2,010

$346

$3,120

23.5%

45

65

15.7%

$1,570

$336

$3,313

18.7%

50

65

12.3%

$1,230

$330

$3,440

15%

55

65

9.7%

$970

$329

$3,453

12.2%

60

65

7.6%

$760

$332

$3,395

9.8%

 

*The $10,000 figure is merely a convenient multiple. We will be glad to provide calculations for any gift amount $5,000 or greater.

**Effective Rate of Return takes into account the donor's charitable tax savings and the benefits of tax- free income. A higher Federal Income Tax Rate would result in a higher Effective Rate of Return.

***Discount Rate available through March 2004.