Charitable Gift Annuities allows you to make a
donation to the Alzheimer
Society Niagara Foundation, while
also receiving a guaranteed, predetermined income
for life. Charitable gift annuities appeal to
individuals who are age 65 plus who would like to
maximize their current after-tax income and who
would like to make a current gift to a charity but
prefer not to surrender present income.
How
it works
You donate a lump sum to the Alzheimer
Society Niagara Foundation, who uses 70-75% of it to purchase a
commercial annuity from a reputable financial
services firm. This annuity pays out regular
payments to you for the rest of your life. The
remaining 25-30% flows directly to supporting the
mission of the Alzheimer
Society Niagara Foundation and is
tax-receipted. In addition, any residual amount in
the annuity after your death passes to the Alzheimer
Society Niagara Foundation.
Types
Self Insured Annuity: The charity invests the funds,
making payments to the donor that are backed by a
guarantee on the charity’s assets.
Reinsured
or Gift Plus Annuity: The charity retains a portion
of the funds for its own use and uses the rest to
purchase an annuity from a life insurance agent.
Advantages:
You
are guaranteed regular payments for life
Portions of the payment are tax-free
It
enables you to give a lump sum gift to the
Alzheimer
Society Niagara Foundation for immediate use
in support of our mission
Often, annuities have a higher rate of return
than GICs or savings bonds
You
can choose the payment structure that bests
suits you (i.e. monthly, quarterly)
The
gift passes outside of the estate and is not
subject to probate fees
It is
easy to do by contacting your financial planner