Planned Giving

Charitable Gift Annuity

The charitable gift annuity provides a gift to Claflin University and an income fund for the donor. In exchange for an acceptable gift of property, marketable securities or cash, Claflin University will contractually agree to pay you and/or another beneficiary a specified annuity for life.

Example 1:

Diana Holloway, age 78, gives $10,000 in cash to Claflin University in exchange for a gift annuity. She receives an income-tax deduction of $4,478, based on her age. She will begin receiving income checks of approximately $190 each calendar quarter for the rest of her life. When Mrs. Holloway passes away, the remaining principal will go to Claflin University.

Example 2:

Betty Wilson, 70, transfers $25,000 to Claflin University in exchange for an annuity of $1,800 a year for her life. Of this amount, about $958 will be treated as a tax-free return of principal for the next 16 years (her life expectancy), and only $842 will be taxed as ordinary income. After that, the $1,800 annuity will be treated as ordinary income. Ms. Wilson realizes a current charitable deduction of about $9,770 that, in her 30% bracket, generates a net tax savings of $2,931.

To make a gift or to request additional information about deferred charitable gift annuities, contact:

Sunya L. Young
Director of Planned Giving
Division of Institutional Advancement
400 Magnolia Street Orangeburg, SC 29115
Phone: (803)535-5704; Toll Free: (888)223-7103; Fax: (803)535-5371
E-mail: syoung@claflin.edu

The information provided on this website is for informational purposes only and is not intended as legal, tax or investment advice. Please consult your accountant, financial advisor or attorney to assist you in determining which planned giving option is most appropriate given your financial goals and objectives.