Life Income Gifts
Life income gifts serve a dual purpose: They provide philanthropic support for Duke while also providing both a charitable income tax deduction and an income stream to you and/or your loved ones.
These gift vehicles can provide income benefits comparable to—or in some cases exceeding—those that might be earned in ordinary investments. Many donors establish life income gifts with assets that are producing a very small amount of income, such as cash or appreciated stocks that do not earn dividends.
Duke offers four basic types of life income gifts:
A charitable gift annuity provides a fixed income for life. (gifts of $10,000+)
A charitable remainder unitrust makes payments that fluctuate with the market and therefore may provide a hedge against inflation. (gifts of $100,000+)
A charitable remainder annuity trust provides a fixed income like a gift annuity, but the tax treatment of the payout may be preferable for donors giving highly appreciated assets. (gifts of $100,000+)
A pooled income fund combines gifts from many donors into a common investment pool with income distributed on a pro-rata basis. (gifts of $5,000 < $10,000)
The first two options are by far the most common types of life income gifts. Some donors establish life income gifts through their wills as a means of providing a life income to a loved one.