Charitable gift annuities
A charitable gift annuity is a contract between you and the University. In exchange for your irrevocable gift of cash or securities, the
You can transfer cash or securities to the
In addition, a gift annuity entitles you to take a charitable tax deduction. The amount of your charitable deduction depends on the ages of the annuitants, the annuity rate, and the value of the gift. Part of each annuity payment will be taxed as ordinary income, part may be taxed as capital gains if appreciated property is used, and part may be tax-free.
You may wish to defer receiving income from your annuity for a specified term of years. Because payments are deferred, you and/or your spouse will receive annuity payments significantly higher than those associated with the immediate payment gift annuity. An effective retirement planning tool, the deferred payment charitable gift annuity still entitles you to an immediate charitable deduction at a time when your income tax bracket is likely to be higher than in retirement.
You may postpone receiving income until you retire, when your income tax bracket may be lower. The donor or the annuitant may determine the age at which income payments begin. Part of each annuity payment will be taxed as ordinary income, part may be taxed as capital gains, and part may be tax-free.
Please note: Information found on this page is intended to provide general information an is not intended as legal advice nor should be relied upon as such.
Denise Chan Gans
Office of Gift Planning
5235 South Harper Court
Chicago, IL 60615
Contact other gift planning staff.