It was Will Rogers who once said, "I'm not as interested in return on my principal as I am return of my principal. In this case study, Mr. Braun, an 82-year-old widower who is worried about market volatility, learns how he can transfer appreciated stock from his portfolio to a charity in exchange for a charitable gift annuity that will provide him with a substantial income tax deduction and fixed annual payments that will provide for his future health care and other needs for the balance of his life. In addition, Mr. Braun will make a meaningful contribution to his community.

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The Partnership for Philanthropic Planning and American Council on Gift Annuities have released statements taking strong issue with a May 12 article from the Wall Street Journal entitled “Donors Find Gift Annuities Can Stop Giving” as a "distorted view of the role gift annuities play in philanthropy and is  potentially damaging to Americans and the charities they support."  MORE »

The Wall Street Journal continues to report on the collapse of the National Heritage Foundation and its effect on its gift annuity donors. The message is donors and their advisers should scrutinize the financial strength of issuing organizations just as they would any other investment.  MORE »

In these tumultuous economic times, no gift vehicle has come under greater investment pressure than the charitable gift annuity. In this exclusive article, PGDC contributing author Bryan K. Clontz, CFP discusses 10 creative applications of how commercial reinsurance can be used to mitigate these challenges.   MORE »

On January 24, 2009, the National Heritage Foundation filed for Chapter 11 bankruptcy in federal court citing a $6.2 million court judgment in connection with a charitable split-dollar life insurance case as its largest single outstanding debt and numerous charitable gift annuitants as creditors.
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The Board of Directors of the American Council on Gift Annuities (ACGA), at a called meeting on December 29, 2008, approved a recommendation from the Rates Committee to reduce the expected return assumption from 5.75% to 5.25%. A new rate schedule has been developed reflecting this change and is now available for annuities issued on February 1, 2009 through June 30, 2009.  MORE »

According to an online report by the Chronicle on Philanthropy, the American Council on Gift Annuities on December 29th voted to urge charities that issue charitable gift annuities to lower both the annuity rates they pay annuitants and the amount of interest that assets in gift annuities are expected to earn annually.  MORE »

Writing on behalf of the American Council on Gift Annuities, Lindsay Lapole and Frank Minton have announced the State of New York has issued new reserve requirements for charities that issue charitable gift annuities in New York.  MORE »

At its April 2, 2008 meeting, the ACGA Rates Committee has recommended and the ACGA board approved a new, lower schedule of gift annuity rates for immediate gift annuities, effective on July 1, 2008. In addition, the deferred gift annuity rates which became effective on July 1, 2006 will also be lower.  MORE »

A charitable gift annuity is described generally as a transaction in which an individual transfers cash or property to a charitable organization in exchange for the charity's promise to make fixed annuity payments to one or two life annuitants. This comprehensive report discusses the origin of gift annuities, how they are designed and regulated, how charitable contribution deductions are determined, taxation of distributions to annuitants, taxation of gift annuities to issuing organizations, and creative planning opportunities for donors.

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