Kappa Alpha Order - Educational Foundation

Are you uncomfortable letting your future retirement dollars ride the ups and downs of the stock and bond market? Do you consider short-term money market rates too unstable and less than appealing?

You can choose a secure vehicle for your money and incorporate a gift supporting our efforts through an annuity trust.

With this plan, you will receive a fixed dollar income for life, which is an excellent way to supplement retirement income for yourself and your spouse or another beneficiary. Later, the remaining balance will be distributed to Kappa Alpha Order Educational Foundation, supporting our critical needs.

At the outset, you decide the amount to be paid to you each year from the trust, knowing this income will remain certain and unchanged. Then you give money or other assets or both to an annuity trust you create with your legal advisors.

Assuming you itemize your deductions on your federal income tax return, you can take a sizable income tax charitable deduction in the year that you establish your trust.

Example: This year, Earl, aged 80, gives $100,000 in cash to an annuity trust. He chooses a lifetime income of $6,000 annually for himself and his 80-year-old wife, if she survives him. Earl is entitled to a charitable deduction of $45,322 (assuming annual payments and a 3.4 percent charitable midterm federal rate). He uses this deduction on his federal income tax return this year, up to 50 percent of his adjusted gross income, carrying over any excess up to five years.

At the termination of the trust, Earl's trustee will distribute the balance to Kappa Alpha Order Educational Foundation.

Calculate how a charitable gift annuity can benefit you.

Calculate how a deferred charitable gift annuity can benefit you.

Please contact Erik Showalter at 540-460-1401 or 540-463-1865, or via e-mail at eshowalter@ka-order.org, for more information.


Copyright © The Stelter Company, All rights reserved.

The information in this Web site is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to estate and income tax include federal taxes only. Individual state taxes and/or state law may impact your results.

Planned Giving Home