Charitable Gift Annuities

Of all the gifts that pay you back with a life income, the charitable gift annuity may be the simplest and most affordable.

Unlike a trust, you contribute your gift directly to Kanuga and Kanuga agrees to pay you a fixed life income. Charitable gift annuities provide several benefits: simplicity, a modest minimum, fixed income for life, security and lower taxable income.

A charitable gift annuity is simple and easy to create. The agreement is two pages in length, and we can tell you exactly how much annual income you will receive in exchange for your gift.

A charitable gift annuity with Kanuga may be funded with $10,000 or more. A gift annuity brings the benefits of a life income gift into reach for many donors.

Your income is set when you establish a gift annuity. If your income is to be 7 percent of a $20,000 gift, you will receive $1,400 every year for the rest of your life. Income may be paid to one or two beneficiaries.

Vespers in Kanuga's Lakeside Chapel

Your annual income is secured by all the assets of Kanuga, not just by the principal amount of the gift. Kanuga commits itself to make your income payments.

Finally, part of each income payment to you from the gift annuity will be treated as the tax-free return of principal. In addition, if you fund your gift annuity with appreciated securities, a further portion of your income will be taxed at capital gains rates (20 percent). These tax reductions increase the effective yield of the gift annuity, and they are not available with other types of life-income gifts.

PLEASE NOTE: The IRS provides that these benefits are in effect during your life expectancy. If you live longer, the entire gift annuity payment will be taxed to you as ordinary income.


For information and assistance with any form of giving to Kanuga, please contact Randy Boone, Kanuga’s director of development, at 828-692-0077, ext. 240, or . Persons considering a sizeable donation to Kanuga or interested in providing for Kanuga in their estate plan should seek the advice of a financial advisor and/or attorney.