Charitable Gift Annuity
A charitable gift annuity made to Bideawee can provide you with a secure source of fixed payments for life.
How a charitable gift annuity works:
1. You transfer a sum of cash or appreciated securities to Bideawee.
2. In exchange, we pay fixed payments to you for life. The payment depends on your age and a portion of each payment may even be tax-free.
3. If the gift is made in cash, you will receive a charitable income tax deduction for the gift portion of the annuity. Alternatively, if the gift is made in appreciated securities, you avoid a portion of the capital gains tax.
As an example, a 72-year-old would get an interest rate of 5.4% versus the interest rate you can currently earn in a CD, which is in the range of 1.3%. That means a $20,000 annuity would provide fixed payments in quarterly installments totaling $1,080 each year for life, a portion of which is tax-free, and a federal income tax deduction of approximately $8,500.