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Gift Annuity

What is a Gift Annuity?

When you establish a Charitable Gift Annuity you make a gift to Hadassah and in return Hadassah will pay you a stream of payments for your life at a guaranteed payout rate. A portion of each payment will be a tax-free return of principal. You will be able to claim an income tax deduction on a portion of your gift, and also reduce your taxable estate. Ultimately, the residuum of your gift will help support the people and the land of Israel.

How does it work?

It works in three easy steps like this.

Step (1) - you make a charitable gift to Hadassah;
Step (2) - we hold the money in a specific fundand you receive a stream of payments;
Step (3) – at your death, whatever is left in the fund from your gift is transferred to Hadassah.

It’s that simple!

Charitable Gift Annunity Disclosure Statement

What are the details?

  • The minimum amount required to set up a gift annuity is $5,000.
  • The minimum age for the gift annuity is 60 years.
  • Once made, the gift is irrevocable, meaning that you cannot get the principal back.
  • The amount of the annual annuity payment to you is based on the annuity rate.
  • The annuity rate is based on the recipient's age at the time the gift is made. (The older the recipient, the higher the annuity rate.)
  • If you itemize deductions on your tax return, you will be able to claim a charitable deduction for a portion of the gift to Hadassah.
  • A portion of each annual annuity payment is tax-free. The rest is taxable as ordinary income.
  • If you contribute appreciated stock or another appreciated capital asset instead of cash, a portion of each annual annuity payment will be taxed at your capital gain tax rate.
  • If you charge your donation on a major credit card you might get airline mileage or membership rewards.
  • And, a gift annuity does not work just for you. You may set up a gift annuity to benefit another person who is at least 60 years old.
  • A gift annuity may also be written for two lives so that two people share in the annuity payment. This means that a husband and wife can ensure that the surviving spouse receives the same amount of income after the first spouse’s death as the two received before that death.

DEFERRED GIFT ANNUITY


What is a deferred gift annuity?

A deferred gift annuity is simply what it sounds like: a gift annuity that one can establish now but start receiving the annuity payment at a later date. Normally a deferred gift annuity is established while a donor is not yet 60 years old and is established to go into effect when the donor reaches 60 (or beyond).

What are the details?

Everything works just a like a gift annuity except that you make the gift to Hadassah before you reach 60 and begin to receive the annual annuity payments at a specified age after age 60.

IS ONE OF OUR GIFT ANNUITIES RIGHT FOR YOU?

If you want to combine a gift to Hadassah with a secure lifetime income, plus receive a significant tax advantage, a gift annuity (standard or deferred) may be right for you.

How could a gift annuity benefit you specifically? Call us at 800-428-8884 or giving@hadassah.org

The information, content and calculations contained herein are intended for educational purposes only and are not intended to provide legal, tax or other professional advice to be relied upon. We encourage you to consult with an attorney, tax advisor or accountant. Figures cited in examples are for hypothetical purpose only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.

The information, content and calculations contained herein are intended for educational purposes only and are not intended to provide legal, tax or other professional advice to be relied upon. We encourage you to consult with an attorney, tax advisor or accountant. Figures cited in examples are for hypothetical purpose only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your results.

Hadassah is committed to strengthening the unity of the Jewish people. In Israel, we accomplish this through progressive healthcare, education, youth institutions, volunteerism, and land reclamation. In the U.S. we reach our goals through Jewish and Zionist education programs, Zionist Youth programs, and health awareness programs, as well as by advocating for issues of importance to women and to the American Jewish community.



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