Charitable Gift Annuities

With a charitable gift annuity, you can make a gift to UCSF and receive guaranteed payments either for yourself or for another for life. In exchange for a gift of cash or certain other property such as publicly traded securities, your designated annuitant will receive set payments annually for as long as he or she lives. A portion of each annual payment will be considered a tax-free return of principal.

As the donor, you will be entitled to a charitable income tax deduction in the year in which you establish the gift annuity. The value of your deduction will be based on the amount of your gift and the age(s) of the designated annuitant(s). The age(s) of the annuitant(s) will also affect the amount of the annuity. Generally speaking, the older the annuitant(s), the larger the annuity will be.

The minimum amount needed to establish a charitable gift annuity with UCSF is $10,000 per annuitant, although larger principal amounts provide greater benefits to both you and UCSF. Click here for an example of how they work.

There are two basic types of charitable gift annuities:

Current Charitable Gift Annuity
With a current charitable gift annuity, annual payments to the designated annuitant(s) begin once the gift is made and can be sent out in quarterly installments. This type of annuity is often suitable for older annuitants because it will begin paying out income right away.

Deferred Charitable Gift Annuity
Payments on a deferred charitable gift annuity do not start on the date of the gift. Rather, they are deferred until a later date, coinciding, for instance, with retirement. Although payments are postponed until a later date, an income tax deduction is available on the date the deferred charitable gift annuity is established.

A deferred gift annuity can be tailored to your particular circumstances and, for example, used to complement your retirement plans. For this reason, deferred charitable gift annuities are often attractive to younger donors interested in supplementing their retirement income. In addition, because of the deferral period, a deferred gift annuity offers a higher payout rate than a current gift annuity. As with a current gift annuity, a portion of each deferred gift annuity payment is considered to be a tax-free return of principal when received.

To Learn More
Read more about this and other types of gifts in Leaving a Legacy: A Guide to Gift Planning. Ask for a copy of this brochure by using the form on the Request More Information page.

Download the Comparison Chart of Giving Plans