Charitable Gift Annuities
More and more people are discovering the benefits of making charitable gifts in the form of gift annuities. By making a gift of cash or securities to the Xavier Foundation, your gift provides you with a fixed annual income for the rest of your life.
The concept of a gift annuity is simple and has been around for more than a century. By purchasing an annuity with the Foundation as beneficiary, you will be making an irrevocable gift to support Catholic education, and at the same time you will be providing yourself security through annuity payments. In addition to a portion of the gift being tax deductible, the annuity payments are also only partly taxed. The transaction is partly a charitable gift and partly the purchase of the income interest. The obligation to pay is backed by the assets of the Xavier Foundation and the Archdiocese of Dubuque.
Advantages to the Donor:
- Income for Life – Lifelong payments with attractive payout rates (see chart)
- Tax Deduction Savings – a large part of what you transfer is a deductible charitable gift
- Tax-free Income – a large part of your annual payments are tax-free return of principal
- Capital Gains Tax Savings – when you contribute securities for a gift annuity, you minimize
any taxes on
your “paper profit”
- Heritage Society Membership – join more than 150 Heritage members with your annuity agreement
- Enormous Satisfaction – enjoy the satisfaction of making a truly significant gift that helps to change
and
enrich the lives of our young people at Xavier High School
How Much Will the Donor Receive?
Gift annuity rates are determined at the time of the gift by the age of the person or persons who receive the annuity payments. The following chart shows that rates are higher for older donors. Click here for a brief summary chart of single-life gift annuity rates. We can provide you with payout rates for two-life arrangements and deferred annuities.
Examples of Single-Life Gift Annuity Rates
| Age | Rate | Age | Rate | Age | Rate |
| 60 | 5.0% | 70 | 5.7% | 80 | 7.1% |
| 61 | 5.1% | 71 | 5.8% | 81 | 7.3% |
| 62 | 5.1% | 72 | 5.9% | 82 | 7.5% |
| 63 | 5.2% | 73 | 6.0% | 83 | 7.7% |
| 64 | 5.2% | 74 | 6.1% | 84 | 7.9% |
| 65 | 5.3% | 75 | 6.3% | 85 | 8.1% |
| 66 | 5.4% | 76 | 6.4% | 86 | 8.3% |
| 67 | 5.4% | 77 | 6.6% | 87 | 8.6% |
| 68 | 5.5% | 78 | 6.7% | 88 | 8.9% |
| 69 | 5.6% | 79 | 6.9% | 89 | 9.2% |
*Rates effective February 1, 2009
Rates on deferred annuities and two lives may vary. Rates listed above were approved by the American Council on Gift Annuities
effective July 1, 2004 and are subject to change.
*In times of lower interest rates, gift annuity payments can be a way to significantly enhance your financial situation
and generate more useable income than you now receive from investments.
For detailed, no obligation information about the Foundation’s Charitable Gift Annuity program, consider providing us with some information needed to prepare a personal illustration of how a gift annuity could return benefits to you. Click here to complete an annuity reply form and mail to: Xavier Foundation P.O. Box 10956 Cedar Rapids, IA 52410-0956 Or, if you prefer, contact Jody Ruff at (319) 378-4571.
