Charitable Gift Annuity

Income for Today, a Gift for Tomorrow

Giving through a charitable gift annuity allows you to arrange a generous gift to your community, while providing yourself a new income source you can count on for the rest of your life.

Income from your charitable gift annuity may add up to more than the interest and dividends you earned from holding the assets. You can use this income to supplement your own lifestyle or that of someone else: a sibling, a dependent parent, a friend, or a former employee. You or a loved one can start receiving annuity payments immediately, or defer them to increase your charitable income tax deduction. A portion of the income may be a tax-free return of principal, while some is taxed as ordinary income or capital gains. The amount of annuity paid and the tax deduction received depends on the age of the recipient and the current annuity rate (as established by the American Council of Gift Annuities).

A charitable gift annuity reduces estate assets and may reduce estate taxes. Plus, it's easier to set up than a charitable trust and it is backed by the general assets of the Grand Island Community Foundation.

Example Story

A Caring, Careful Gift

Angela was always active in her community - generous with both her time and money. After she retired and began living on a fixed income, she worried that continuing to give would sacrifice her financial security. There are some causes she wished she could still support, that mostly focused on women and girls in the community. But her investments were paying less than she had planned. Angela's friend Carmen, a CPA, suggested she establish a charitable gift annuity through the Grand Island Community Foundation. By giving through the Foundation, Angela now receives a fixed annuity payment that adds up to more than her former investment income. Plus, upon her death, her gift will create the Angela Doe Fund for Women and Girls.

Learn More

There is so much more we'd like you to know. For more information and ideas on ways to integrate charitable giving with your financial plan, ask your financial advisor or contact the Grand Island Community Foundation at (308) 381-7767 or online. We will be happy to work with you and/or your advisor to determine the most effective ways to accomplish your charitable goals.