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Charitable Gift Annuity: The Details

You can make a gift and receive guaranteed fixed payments for life.

Is this gift right for you?

A gift annuity is for you if…

  • You want to make a significant gift to us and receive lifetime payments in return.
  • You want to maximize the payments you receive from your planned gift.
  • You want the security of payment amounts that won't fluctuate during your lifetime.
  • You also appreciate the safety of your payments being a general financial obligation of Planned Parenthood.
  • You like the idea of supplemental income you can't outlive.

A deferred gift annuity is for you if…

  • You are looking for both income tax savings now and an additional source of revenue in the future.

Of all the gifts that pay you back, the charitable gift annuity is the simplest, most affordable, and most popular. You make a gift to Planned Parenthood and in return, we agree to make fixed payments to you for life. The gift agreement is a simple contract between you and Planned Parenthood. Your payments become one of our general obligations, fully backed by all our assets, and will not fluctuate.

At your death, Planned Parenthood will use the balance of the gift annuity to fund its important work.

Gift annuities offer attractive tax benefits:

  • You will receive a federal income tax deduction for a portion of your gift, based on the full value of the assets you contribute minus the present value of the life-income interest you retain.
  • If you fund your charitable gift annuity with appreciated securities, naming yourself as beneficiary, no capital gains tax is due on the transfer. Only a portion of your capital gains will be reportable, and the tax will be spread over your annuity payments.
  • Part of each annuity payment will be treated as tax-free return of your principal during your deemed life expectancy. This effectively increases the yield from your annuity over your life expectancy.

Your gift annuity payments can start once you have made your contribution (an immediate payment gift annuity), or payments can begin at a later date selected by you (a deferred payment gift annuity). Deferral entitles you to a higher annuity rate and generates a larger charitable deduction.

Donors can create a series of gift annuities over multiple years, jointly timed to supplement retirement income.

Planning Points

  • A charitable gift annuity at Planned Parenthood can be created with a gift of $10,000 or more.
  • Gift annuities bring the benefits of a life-income gift into reach for many donors.
  • Your gift annuity can make payments to a maximum of two people.
  • Planned Parenthood Federation of America, Inc. is a member of the American Council on Gift Annuities and follows its recommended rates.

Please contact us so that we can assist you through every step of the process.