Give and Receive with a Charitable Gift Annuity

A Charitable Gift Annuity (CGA) shines brightly amidst the market’s unpredictability and the quest for increased income. By choosing a CGA, you secure fixed payments for life while leaving a meaningful legacy for the Hartnell College Foundation and its mission.
 

How Do I Benefit from a Charitable Gift Annuity?

When you contribute a gift in exchange for a Charitable Gift Annuity, we guarantee you and/or your spouse fixed payments for life. The benefits are substantial:

• Potential charitable income tax deduction: The gift portion of your CGA may qualify for a charitable income tax deduction in the year of your gift.
• Age-based payments: Your age determines your payment, providing a tailored approach to your financial needs. You may be surprised to learn of the generous payout rates compared to other market payouts.
• Tax advantages: Some payments may be tax-free, benefiting from lower capital gains tax rates.
• Capital gains tax bypass: CGAs funded with stock or appreciated assets are based on current market value and offer an additional benefit of bypassing capital gains tax on the charitable gift portion.

A CGA can help secure your financial future and contribute significantly to the important work and legacy of the Hartnell College Foundation.
 

How Do I Fund a CGA?

A Charitable Gift Annuity is made of two parts: A gift portion and an annuity portion. A CGA is a simple written agreement between you and an affiliate of the Hartnell College Foundation. You provide the funds, and our affiliate provides annual annuity income for the remainder of one or two lives.

Fund with cash and receive an income tax deduction in the year of your gift if you itemize.

Fund with an appreciated asset, such as stock, and receive an income tax deduction in the year of your gift. Instead of selling your stock and giving from the proceeds, you may fund a CGA directly from your stock and bypass the capital gains tax with the charitable portion of your gift.

Fund from your IRA. The Secure 2.0 Act allows a once-in-a-lifetime tax-free distribution from your IRA to create a CGA. The maximum allowable distribution is $53,000 for 2024. The unique benefit is that it lowers the income tax for those otherwise required to withdraw from their IRA each year, beginning at age 73. This benefits non-itemizers as well.
 

How Do I Get Started?

If you want to increase your retirement income and leave a meaningful gift to the Hartnell College Foundation, then the charitable gift annuity may be worthwhile. If you want to see how it might benefit you, please try the Charitable Gift Annuity Calculator. With it, you can learn all your benefits without any obligation.

We Can Help!

If you have any questions about making a gift from your IRA, please contact either our Vice President of Advancement and Development/Executive Director for the Foundation, Jackie Cruz at jcruz@hartnell.edu or call (831) 444-2446, or our Director of Philanthropy, Kristine Edmunds at kedmunds@hartnell.edu or by phone at (831) 755-6903.

To make a gift in support of Hartnell students, visit our website.