Charitable Gift Annuity

You may be tired of living at the mercy of the fluctuating stock and real estate markets. A charitable gift annuity is a gift made to the University of North Carolina at Chapel Hill Foundation that can provide you with a secure source of fixed payments for life.

Benefits of a charitable gift annuity

• You will enjoy fixed payments to you and/or another annuitant you designate for life.
• You will receive a charitable income tax deduction for the charitable gift portion of the annuity.
• You will benefit from payments that may be partially tax-free.
• You will further the charitable work of The University of North Carolina at Chapel Hill with your gift.

How it works

1. You transfer cash or appreciated stock to The University of North Carolina at Chapel Hill Foundation.
2. In exchange, we promise to pay fixed payments to you for life. A portion of each payment may even be tax-free.
3. You will receive a charitable income tax deduction for the gift portion of the annuity.
4. You also receive satisfaction, knowing that you will be helping further our mission.

If you decide to fund your gift annuity with cash, a significant portion of the annuity payment will be tax-free. You may also make a gift of appreciated securities to fund a gift annuity and avoid a portion of the capital gains tax. Charitable gift annuities can also be structured in a variety of ways to allow you to take advantage of a charitable income tax deduction this year, but defer the payments until you need the income most. These types of gift annuities, known as deferred and flexible charitable gift annuities, can be excellent supplemental sources of retirement income. Contact us to learn more about how gift annuities can fit your situation.

*The University of North Carolina at Chapel Hill Foundation, Inc. requires a minimum funding level of $20,000 for Charitable Gift Annuities. The Foundation generally follows the annuity rates recommended by the American Council on Gift Annuities (ACGA). The minimum age is 50 years or higher and payout rates are capped at the current ACGA rate for an 80 year old. CGA payments are guaranteed by the unrestricted assets of the Foundation. For any large CGA with respect to which the annual payment to the beneficiary is $30,000 or greater, a risk concentration analysis shall be performed prior to accepting the CGA.

The University of North Carolina at Chapel Hill Foundation does not accept charitable gift annuities in all states due to registration requirements. Please see the chart below to determine if they are offered in your state.

Is a charitable gift annuity a viable option for you? The Office of Gift Planning can help you think through the issues & your planning options. Please contact us for a free, confidential discussion. We would be happy to assist you and answer your questions.