Planned Giving: Gift Annuity

A charitable gift annuity is a contract between you and The Scripps Research Institute. You irrevocably transfer an asset to the institute — often cash or stocks — and the Institute agrees to make fixed annual payments to you for the rest of your life.

The advantages to you are many. You can take an immediate charitable contribution deduction for a portion of the gift's value, and part of each annual payment may be tax-free. You may also be able to lower your estate taxes. If your asset is property that has appreciated, you may be able to avoid capital gains taxes.

Annual payments from the annuity are a set percentage of the value of your asset, and the guaranteed rate you are paid is determined by your age when the gift is made. The older you are when you make the gift, the higher your percentage and your payment. If you choose payments to benefit two people, the rate is lowered, reflecting the payout for a longer span of time. The remaining value of your asset at your death or the death of your loved one is the resulting gift to Scripps Research.

As an option often used in retirement planning, you might choose to make your gift now and receive an immediate income at a later date tax deduction, then defer your payments until you determine you will want supplemental income. By deferring payments, you will qualify for a higher annual payout.

Donor Spotlight — Izetta and Sheldon Magazine

For more information about charitable gift annuities, please contact Geoff Graham, Director, Planned Giving and Estates, at (858) 784-9365 or gcgraham@scripps.edu.