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PARKS &
WILDLIFE
FOUNDATION Phone:
605-773-4503
About the Foundation |
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DEFERRED GIFT ANNUITY
A deferred gift annuity is a simple contract between you and SD Parks and Wildlife Foundation.
In exchange for your irrevocable gift of cash, securities, or other assets, SD Parks and Wildlife Foundation agrees to pay one or two annuitants you name a fixed sum each year for life, with payments starting at least one year after your gift. The older your designated annuitants are at the time of gift and the longer payments are deferred, the greater the fixed income SD Parks and Wildlife Foundation can agree to pay. In most cases, part of each payment is tax-free, increasing each payment's after-tax value.
Payments are usually made annually, semiannually, or quarterly.
EXAMPLE:
If you irrevocably transfer $50,000 in cash to SD Parks and Wildlife Foundation in exchange for a $3,950 annuity for an annuitant, age 72, starting at age 73,
BENEFITS INCLUDE:
1) You will qualify for a federal income tax deduction of approximately $16,938. Your deduction may vary modestly depending on the timing of your gift. Note that deductions for this and other gifts of cash and non-appreciated property will be limited to 50% of your adjusted gross income. You may, if necessary, take unused deductions of this kind over the next five years, subject to the same 50% limitation.
2) Your designated annuitant will receive fixed payments in quarterly installments totaling $3,950 each year, starting at age 73, for life. In addition, $2,397.65 of each year's payments will be tax-free for the first 13.8 years.
3) Your estate may enjoy reduced probate costs and estate taxes.
4) You will provide generous support of SD Parks and Wildlife Foundation.
November 26, 2002
These calculations are for illustration purposes only and should not be considered legal, accounting, or other professional advice. Your actual benefits may vary depending on the timing of the gift.
For more information see our Policy Manual.