Deferred Charitable Gift Annuity Illustrations



Compare the benefits of deferring charitable gift annuity income payments for five to ten years.

Some donors fund deferred charitable gift annuities to provide a stream of retirement income in later years. The following chart illustrates how funding a deferred charitable gift annuity with $10,000 every year for five years results in increasing retirement income. The income beneficiary will:

  • Receive a higher payout rate for each newly funded deferred gift annuity;
  • Benefit from an additional charitable deduction; and
  • Build retirement income.


    • Year Deferred Gift Annuity Funded*
    Age
    Charitable Deduction in Year Gift Funded*
    Age When Income Payments Begin
    Payout Rate
    Annual Income From New Gift
    Total Annual Income from Deferred Gift Annuities
    2010
    68
    $4,530
    73
    7.5%
    $750
    $750
    2011
    69
    $4,607
    74
    7.8%
    $780
    $1,530
    2012
    70
    $4,867
    75
    7.9%
    $790
    $2,320
    2013
    71
    $5,071
    76
    8.0%
    $800
    $3,120
    2014
    72
    $5,195
    77
    8.3%
    $830
    $3,950

    * Table shows benefits for gifts of $10,000 each year. Based on gift annuity rates effective as of 7/1/10, which may change in the future. The charitable deductions may differ based on the effective IRS discount rate. Rates may vary based on state of residence.

    Elderhostel charitable gift annuities are available in most states and follow the rates recommended by the American Council on Gift Annuities. No legal advice is provided and individuals should seek the advice of their own legal counsel.
    CONTACT US

    Please contact our office for information on gifts that can help you support Elderhostel and lifelong learning and provide significant benefits to you.
    Elderhostel Planned Giving
    11 Ave de Lafayette
    Boston, MA 02111
    Phone: 877-737-0664 (toll free)
    Email: PlannedGiving@roadscholar.org
    LEARN MORE

    Use our Planned Giving Calculator to calculate your income and tax benefits.