The rewards of giving actually begins with the desire to make a gift. Seeing firsthand how a gift changes lives and brings joy to others can also change the lives of those that give. Strategies like a charitable gift annuity, provide many reasons to give.
A charitable gift annuity (CGA) is a type of planned-giving arrangement between a donor and a nonprofit organization that can have many benefits. To create a CGA, the donor can transfer a variety of assets, such as cash or securities, to a charity or nonprofit. In return, the donor receives a regular income stream, which is usually paid out quarterly.
Consider the following benefits of annuities when you give to NC Wesleyan:
- Donors receive a regular payment for life based on the value of assets transferred to NCWU
- Tax deductions for you, both on the original lump sum gift and the ensuing annuity payouts
- Upon death, NCWU would retain the remaining assets as a gift
Gift Annuity from Stock
While a gift annuity can be funded in a number of ways, let’s examine the benefits of transferring an appreciated block of stock to charity.
The gift annuity graphic below shows the highlights. Not only is there an immediate charitable income tax deduction but it is possible to bypass a portion of the capital gains tax. For example, stock valued at $200,000 with an original cost of $40,000 transferred to a gift annuity may save more than $24,000 in taxes!
Many donors appreciate the fixed payments of a gift annuity. A portion of the payment may be tax free. To find out your current rate, contact The Office of Advancement at 252.985.5266.
The gift annuity adds a tangible benefit in the form of attractive payments. The specific rate is based on the age of the donor. See the table provided or contact us for your personal rate.
To request a FREE North Carolina Wesleyan Planning Guide or receive more information about giving a life income gift to NCWU, contact our Office of Advancement by calling 252.985.5266 or email donorrelations@ncwu.edu.
This information is not intended as tax, legal or financial advice. Gift results may vary. Consult your personal financial advisor for information specific to your situation.
Gifts from a Will or Trust
Designating NC Wesleyan as a beneficiary in your will or trust is a simple way to commit to our cause and it does not affect your cash flow during your lifetime. In addition, it’s easy to revoke this type of gift if your situation or goals change.
