Gift annuity rates increased on January 1, 2024, and are the highest since 2009. If you have ever considered a gift annuity or already have one, we can now offer you an even more generous annuity payment. If you defer the start of payments for a year or more, the rate increase is even greater.

A gift annuity is a simple agreement between you and the Taft School promising to pay a certain amount of money to you or someone you choose for life. The annuity amount depends upon the age(s) when you make your gift and does not change for the rest of your lifetime(s).

You can now receive an income tax charitable deduction for the charitable value of your contribution. In addition, a part of each payment you receive can be tax-free. If you contribute appreciated investments, like stocks or mutual funds, only a portion of the capital gain will be taxed, and that portion can usually be spread over your life expectancy.

New Opportunity

Under a new law, donors over age 70½ can make a Qualified Charitable Distribution (QCD) in exchange for a charitable gift annuity. You can make this election only once in your lifetime, with a limit of $53,000. Although there is no charitable deduction for your contribution, your QCD counts toward your Required Minimum Distribution (RMD).

This is an opportunity to turn some of your IRA into a lifetime income stream without paying income tax. And, if you are concerned about RMDs, this contribution will reduce the income tax you must pay.

We would be happy to show how a charitable gift annuity could work for you. Please contact our Office of Planned Giving for more information:  

Richard Galiette
Director of Major & Planned Giving
860-945-7747
rgaliette@taftschool.org
The Taft School