ACGA Releases New Suggested Maximum Rate Schedules

The American Council on Gift Annuities (ACGA) Board of Directors recently released new payout rate schedules for charitable gift annuities which will take effect on July 1, 2018. The rates will be rising by 0.30% to 0.50% for those ages that typically establish contracts. The chart below compares the old rates to the new rates based on age for a one-life annuity.

Age Old Rate (%) New Rate (%)
65 4.7 5.1
70 5.1 5.6
75 5.8 6.2
80 6.8 7.3
85 7.8 8.3
90+ 9.0 9.5

With the new ACGA rates, now is a great time to consider establishing a charitable gift annuity and take advantage of the new rates to further support BU's mission and prepare for year-end tax savings.

Benefits of a CGA include:

  • Receive fixed payments to you or another annuitant you designate for life
  • Receive a charitable income tax deduction for the charitable gift portion of the annuity
  • Benefit from payments that may be partially tax-free

If you have any questions about the new rates or charitable gift annuities, please contact us and we would be happy to assist you.

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