How can you enjoy a higher rate of return while making secure plans for the things you care about most?
A gift annuity helps ministries further their work while you receive the security of fixed cash payments for your lifetime. When you establish a gift annuity through The LCMS Foundation, you may designate your gift to the LCMS ministry that is closest to your heart. Generally, about half of your gift annuity’s original amount will become a gift to the ministry. The remaining amount helps provide your lifetime annuity payments.
Why Choose a Gift Annuity?
- Receive regular, fixed payments for life
- Save on taxes
- Make a future gift to ministry
- Earn a higher rate of return
Six Ways to Save on Taxes
- A portion of your payments is tax-free. A larger percentage will be tax-free if you transfer cash to your gift annuity; a lesser percentage if you transfer securities.
- A portion of your gift is a charitable contribution. You can claim this deduction the year you establish your annuity.
- Your estate will incur no additional estate taxes if you are the sole recipient of your gift annuity payments.
- Assets in your gift annuity bypass probate court.
- If you transfer appreciated securities to establish your gift annuity, you will pay less capital gains tax than if you sold your stock. The capital gains tax is deferred and paid over your life expectancy as you receive annuity payments.
- You can choose either the highest tax deduction for the year you establish your gift annuity or the greatest amount of tax-free income as you receive your payments. You note your preference on your gift annuity application.
Can establishing a gift annuity benefit you? This brochure, available for free download, describes how a gift annuity works and how this form of planned giving can yield advantageous results.
The LCMS Foundation encourages you to consult your tax or legal advisor if you have questions before establishing a charitable gift annuity or any irrevocable charitable gift. Call us today to begin your Lifetime Plan for Giving™. 800-325-7912.