Life Income Gifts
Charitable Gift Annuities
Charitable Gift Annuity Rates Are Going Down
The Board of the American Council on Gift Annuities recently announced a reduction in the recommended maximum gift annuity rates, effective July 1, 2008. The reduction varies from 0.2% to 0.8%, depending on the age(s) of the beneficiary(ies).
Gift annuities are a great way to support Earthjustice while receiving fixed income for life as well as a substantial income tax deduction and other tax benefits. If you have been considering a gift annuity you may wish to act quickly to take advantage of higher rates.
To learn more about charitable gift annuities to benefit you and/or loved ones, please contact the Planned Gifts program via our web form, phone at (800) 584-6460, or via email at legacy@earthjustice.org
Charitable Gift Annuities are our most popular planned gift. Gift annuities are safe and easy to arrange. Also, your income rate is locked in at the date of your gift. Annuities may be funded with cash or appreciated securities and may be set up to provide life income for you and/or another beneficiary.
Benefits of a charitable gift annuity include:
- Guaranteed fixed income for life
- Part of your income is tax-free
- An immediate income tax deduction
- Partial avoidance of capital gain tax if funded with appreciated securities
Example:
If you were to donate $10,000 of appreciated securities, with a cost basis of $4,000, at age 65, to establish a charitable gift annuity, you would:
- Receive $600 a year, for life (6.0% annuity rate)
- Be able to take an immediate income tax deduction of over $3,000
- Avoid capital gain tax on almost $2,000 of the appreciation
- Receive part of your annuity tax-free for your actuarial life expectancy
- This example uses rates effective through June 30, 2008
- Receive a higher annuity rate by deferring payments with a deferred gift annuity
Every gift is unique. Your benefits will vary with the timing of your gift.
For further information on planned gifts, please contact the planned giving program using our web form, email Legacy@earthjustice.org, or call 1-800-584-6460.
This information is for informational purposes only. Earthjustice is not in a position to offer financial or estate planning advice. We recommend reviewing any gift plan with your personal advisors.



