Benefits for donor and charity

A charitable gift annuity is an arrangement that provides lifetime income to the donor. The donor gives cash or other property to the SDA charity. In exchange, the charity agrees to pay the donor a specific amount for life. WAF will analyze how the annuity can best be issued for both parties. Our goal is to help determine the most beneficial solution for all those involved.

How an annuity works

Claudia* is the director of development for a Christian charity. In talking with a local church member, she discovers that he is not completely satisfied with the rate of return on his current investments. He has actively been giving to the charity for years, so Claudia asks if he’s ever considered a charitable gift annuity. He’s heard of this giving option, but doesn’t understand how it works.

You, the donor, gift cash or other property to the charity.

You may benefit from an income tax deduction, and the charity pays you a fixed amount based on current American Council of Gift Annuity rates.

At the end of the gift annuity, the remaining principal is passed on to the charity.

*fictional name and character used for illustration purposes