Does a Providence Fixed Gift Annuity Make Sense for You?
Your favorite Providence ministry is a prime candidate for you to invest in at age 60 and older. The lifetime return on your investment is age-sensitive for one or two persons.
Consider an investment of $10,000.00 or more, if:
- You are OK with consuming a portion of your principal during retirement; you would also like to leave a remainder gift to a Providence ministry.
- Your health is good.
- The risk of the consumer inflation rate exceeding 3% a year is low in your opinion.
- You have appreciated assets that would be taxed upon your outright sale.
Funding a Providence Gift Annuity offers significant tax benefits – along with fixed and guaranteed income beginning at 4.4% a year (single person at age 60) and capping at 9.0% a year at age 90.
The tax benefits are:
If you would like to learn more please contact:
- Partially tax-free income derived from your previously taxed cash or earlier investment in appreciated property.
- An immediate income tax charitable deduction for the charitable element of the annuity contract.
- In the year of the gift you do not report any long-term capital gain, when Providence sells the asset. Some of this unrealized gain is paid out over the term of the annuity.
Ron Bitzer, CFP
Director of Planned Giving
Office: (818) 847-4673 or
Cell: (310) 415-2796
Disclaimer: Please consult with your own tax and legal advisors, who can review any formal proposal for a Providence Gift Annuity submitted to you by Providence Foundations Los Angeles Region.