Planned Giving

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Charitable Gift Annuities: Getting Started

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Calculate Your Benefits
If you'd like to support our mission and receive steady payments during your retirement years, a charitable gift annuity may be right for you.

How It Works
Through a simple contract, you agree to make a donation of cash, stocks or other assets to Heidelberg University. In return, you (and someone else, if you choose) receive a fixed amount each year for the rest of your lifetime.

Charitable Gift Annuity
You
You
1
Create a gift annuity.
2
Receive an income tax deduction and fixed payments for life.
Charitable Gift Annuity
3
Remainder to Heidelberg University after your lifetime.
Heidelberg University
eBrochures
Download a free guide to learn more about charitable gift annuities.

In addition to providing a gift to Heidelberg University and receiving fixed payments for life, you also receive these benefits:
  • Your initial gift is partially income tax–deductible.
  • Your charitable gift annuity payments are partially income tax–free throughout your estimated life expectancy.
  • Your payments are not affected by ups and downs in the economy.
  • The gift annuity can be for one or two people, so your spouse or another loved one can also receive payments for life.
  • If you use appreciated stock to make a gift, you can usually eliminate capital gains tax on a portion of the gift and spread the rest of the gain over your life expectancy.

Gift Calculator Calculate how a charitable gift annuity could benefit you.

Your Rate
Generally, the older you are at the start of your payments, the higher your payments.

These rates are the maximum rates recommended by the American Council on Gift Annuities and are adjusted periodically.

One Life
Your
Age
Rate of
Return
50 3.7%
55 4.0%
60 4.4%
65 4.7%
70 5.1%
75 5.8%
80 6.8%
85 7.8%
90+ 9.0%
Two Lives
Your
Ages
Rate of
Return
50/55 3.3%
55/60 3.7%
60/65 4.0%
65/70 4.4%
70/75 4.8%
75/80 5.3%
80/85 6.1%
85/90 7.3%
90/95+ 8.8%

Not all organizations offer charitable gift annuities at the above ages and rates. Contact Heidelberg University for a personalized illustration or for more information.

Example
Jill, 70, established a $20,000 charitable gift annuity. Based on her age, she was able to receive an annuity rate of 5.1 percent. This means that we will pay her $1,020 each year for the remainder of her life, of which $755 is tax-free to her throughout her life expectancy. She'll also receive a charitable deduction of $8,304 if she itemizes on her income taxes (assumes annual payments and a 2.4 percent charitable midterm federal rate—deductions vary based on income earned). After her lifetime, the remaining amount is used to support our mission.


To learn more about this way to support Heidelberg University, please contact Jim Minehart at 419-448-2060 or jminehar@heidelberg.edu.






Charitable gift annuities may not be available in all states.

Copyright © The Stelter Company, All rights reserved.

The information on this website is not intended as legal or tax advice. For legal or tax advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income taxes apply to federal taxes only. State income/estate taxes or state law may impact your results.