Charitable Gift Annuities
A Catholic Relief Services Charitable Gift Annuity (CGA) is a way for you to make a charitable gift that helps CRS serve poor and vulnerable people overseas, and guarantees a fixed lifetime income for you and/or someone you designate part of which is tax free.
How Does It Work?
- You donate cash, stocks, bonds or mutual funds to CRS and ask us to establish a gift annuity.
- You may choose from three types of Charitable Gift Annuity: Immediate Pay, Deferred Pay, or Flexible Deferred Pay
- You may choose your preferred payment schedule. Calcluations provide and annual (annuity) amount, but you may choose to have that annual amount distributed monthly/quarterly/semi-annually/annually.
- Once we finalize the gift annuity agreement, CRS will begin paying a fixed, guaranteed amount of lifetime income to you and/or anyone you name based on your selected schedule.
- After your lifetime and/or that of your selected beneficiary, CRS will use the remaining principal from your gift to continue our lifesaving work overseas.
What Are the Benefits?
- Donor pays no management fees for the life of the annuity.
- A charitable gift annuity immediately provides you with a fixed income, part of which is tax free.
- Annuity payments are guaranteed by CRS for life.
- You are entitled to a charitable tax deduction when you itemize your federal income taxes.
- Your gift will help you now—and make a difference in the lives of poor and vulnerable people for generations to come.
Do Charitable Gift Annuities Have a Place in Retirement Planning?
Absolutely! A gift annuity can add income, diversification and reliability to a retirement plan.
- Guaranteed lifetime income reduces risk.
- The combination of high-yield, tax-free income, a charitable income tax deduction and, in some cases, a reduction in capital gains taxes can markedly improve the performance of a retirement plan.
- Remember, a gift annuity is not a traditional investment instrument. A distinct difference is the irrevocable nature of a gift annuity. Once established, you cannot change or reinvest a charitable gift annuity in another way.