Income for Life for You…Benefit for Future Generations
A charitable gift annuity is an extraordinary way to make a gift, increase your income and slice your tax bill – all in one! Our charitable gift annuity program was created as a service to our many friends who have expressed a desire to make a gift of significance, while still retaining income from the gift property during their lives.
A charitable gift annuity is a contract in which you exchange a gift of cash or securities for a guaranteed, fixed income each year for the rest of your life. Your gift annuity offers five distinct advantages:
- Income for Life – at attractive payout rates for one or two lives
- Tax Deduction Savings – a large part of what you transfer is a deductible charitable gift
- Tax-Free Income – a large part of your annual payment is tax-free return of principal
- Capital Gains Tax Savings – when you contribute securities for a gift annuity, you minimize any taxes on your “paper profit”
- Personal Satisfaction – from making a gift of lasting significance
Income for Life and Generosity to MCH
The Methodist Children’s Home gift annuity program is backed by resources from our permanent endowment fund. Since its creation more than 25 years ago, MCH has never missed an on-time payment to our annuitants. MCH can provide you with references of those who participate in this program upon request.
Annuity gifts are placed into our permanent endowment fund. MCH receives the benefit of an immediate boost to this important fund and the opportunity to produce earnings that will positively impact MCH for years to come.
Payments and Participation
Payments are made quarterly; one-life or two-life annuities; cash or securities to fund your gift. Cash gifts allow maximum tax-free income; gifts of securities allow you to minimize capital gains taxes.
Methodist Children’s Home Board policy states that an individual wanting to participate in the gift annuity program must be at least 55 years of age and make a minimim donation of $5,000.
MCH does not accept real estate or property to fund a gift annuity.
How Much Income Will I Receive
Gift annuity rates are determined by the age of the person or persons who receive the income payments. The following chart shows that rates are higher for older donors. We can provide you with payout rates for two-life annuitants, which are lower than rates for a single-life annuitants but offer the assurance that payments continue until both annuitants are deceased.
These examples are taken from IRS data provided to MCH for its gift annuity program. Rates are subject to change and are for illustration purposes only.
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