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Charitable Gift Annuity
A charitable gift annuity (CGA) is often a gift of choice when a guaranteed income is desired. A gift of cash or securities is transferred to the Jewish Foundation of Memphis in exchange for a contractual life income paid quarterly. The income is guaranteed by the issuing charity. A portion of the gift is invested and used to provide income for life, and the remaining portion qualifies as a present-interest gift to the Foundation. Part of the annuity income may be received tax free. Any capital gains taxes due on the asset that was exchanged for the annuity are paid over the annuitant's life expectancy.
Before you begin, be sure your financial and legal advisors are part of your gift strategy team. A charitable gift annuity can have an impact on other parts of your financial and estate plan.
The Typical Donor
Needs guaranteed income for life. Wants a fixed income based on theoriginal value of assets transferred. Desires to make a "present gift" forestate planning purposes. Does not plan to make additionalgifts to the annuity. Is older than 55.0. Gift Features and Benefits
Income for life (fixed payments) Possibility of one or two income beneficiaries
Guaranteed contractual agreement issued and administrated by the
Jewish Foundation of Memphis
