Skip to Main Content

Charitable Gift Annuities

A charitable gift annuity is a popular way to make a gift to Hadassah and enjoy payments for yourself at the same time. You make a gift of cash or securities of $5,000 or more and will receive a fixed amount annually (payable quarterly, semi-annually or annually) for the rest of your life. The payout rate is fixed when you establish the annuity and remains the same for your lifetime. After your lifetime, the remainder of the annuity is used by Hadassah to support its lifesaving mission. If you yourself do not need the funds, you may establish an annuity as a gift for one or two important people in your life.

Rose Kaufman

“My charitable gift annuity with Hadassah is a wonderful way to give to Hadassah, but it's also a gift to myself.”

—Rose Kaufman

If you do not need the money today, but are planning ahead for your retirement years, consider a deferred charitable gift annuity. You establish the gift annuity now and elect to start receiving payments at least one year in the future (so long as you are at least 60 years old when the payments start). You can also establish a deferred gift annuity to benefit a loved one. The longer the deferral period, the higher the payout rate and the larger the charitable deduction.

A charitable gift annuity with Hadassah:

  • will provide you and/or a loved one with fixed payments that are partially tax-free for your life expectancy (or combined life expectancies), regardless of market conditions
  • may allow you to claim a federal income tax charitable deduction on a portion of your gift in the year you establish the annuity
  • may allow you to reduce your capital gains tax liability if you establish the annuity with appreciated securities
  • will help to secure Hadassah's future, and your own

Please provide the following information to view the brochure.

Gift Annuity Payout Rates

The payout rate is based on the age of the person or people receiving payments and the number of people receiving payments (one or two). The rate is determined when you establish the gift annuity and, because it is not tied to the stock market or interest rates, it will never change. Please use the gift illustrator to calculate the payout rate and other benefits using your actual date of birth.

One Life
Your Age Payout Rate
65 5.1%
70 5.6%
75 6.2%
80 7.3%
85 8.3%
90+ 9.5%
Two Lives
Your Ages Payout Rate
70/75 5.2%
75/75 5.5%
75/80 5.7%
80/85 6.6%
85/90 8.0%
90/95+ 9.3%

*Rates as of September 2018.

Examples of How It Works

Miriam

One-Life Annuity for Yourself Using Cash

Miriam, 70, would like to support Hadassah and generate a secure stream of payments for herself. She establishes a charitable gift annuity with a donation of $10,000 in cash to Hadassah. Based on her age, she receives an annuity payout rate of 5.6 percent. Hadassah will pay her $560 each year for the remainder of her life, of which $376 will be tax-free to her throughout her life expectancy. She may also receive a charitable income tax deduction of $4,016 in the year she makes the gift if she itemizes on her federal income tax return.

Miriam will continue to receive her annuity of $560 if she lives beyond her life expectancy, and the entire amount will then be treated as ordinary income. After Miriam's lifetime, the remaining amount will be used to support Hadassah.

Miriam

Another Option Using Cash

Miriam, 70, currently owns $10,000 in stock that is producing low dividends. She purchased the stock several years ago for $6,000 and is looking for ways to increase her current income, minimize her capital gains tax and help Hadassah. She decides to establish a $10,000 charitable gift annuity by donating her appreciated stock to Hadassah.

Miriam will continue to receive her annuity of $560 if she lives beyond her life expectancy, and the entire amount will then be treated as ordinary income. A great advantage of funding a charitable gift annuity with a donation of long-term appreciated stock is that the capital gains tax is eliminated on a portion of the gift. If Miriam had sold the securities, she would have immediately realized $4,000 in reportable capital gains. By donating the securities to Hadassah to establish an annuity, she has a total capital gain of only $2,394, reportable over her life expectancy of 15.9 years.

Susan and Esther

One-Life Annuity for a Loved One

Susan would like to provide her mother Esther, 80, with additional income, but knows that her mother does not wish to accept money from her. Instead, Susan gives $100,000 in cash to Hadassah to establish a gift annuity for her mother. Susan is eligible for an income tax charitable deduction of $49,363 if she itemizes. Her mother will receive annual payments of $7,300 for the rest of her life. Of that amount, $5,387 will be tax-free to her until she reaches her life expectancy (9.4 years). If Esther lives beyond her life expectancy, she will continue to receive her annuity of $7,300, and the entire amount will then be treated as ordinary income.

Vivian and Carol

One-Life Deferred Annuity for a Loved One

Vivian would like to supplement her daughter Carol's retirement income. Carol is 60 years old and plans to retire in 2028. Vivian contributes $50,000 in cash to Hadassah to establish a deferred gift annuity for her daughter, with payments to start on June 30, 2028. Vivian is eligible for an income tax charitable deduction of $23,875 if she itemizes. On June 30, 2028, Carol will start receiving quarterly payments totaling $4,000 each year for the rest of her life. Of that amount, $1,644 is tax-free to her until she reaches her life expectancy (15.9 years). If Carol lives beyond her life expectancy, she will continue to receive her annuity of $4,000, and the entire amount will then be treated as ordinary income.

Gloria and Melvin

Two-Life Annuity for Spouses

Gloria, 77, and her husband Melvin, 79, wish to establish an annuity that will continue at the same level for both of their lifetimes. They donate $50,000 in cash to Hadassah to establish a two-life charitable gift annuity. Based on their ages, they will receive a payout rate of 5.9 percent ($2,950 each year for life) and are also eligible for a charitable deduction of $20,260 if they itemize. Of the $2,950, $2,095 will be tax-free for their joint life expectancy of 14.2 years. The annuity will continue after the first spouse passes away. After the second spouse passes away, the remaining amount will be used to support Hadassah's mission.

Herman and Barbara

Two-Life Deferred Annuity for Spouses

Herman, 70, and his wife, Barbara, 65, decide to contribute $250,000 in cash for a deferred gift annuity that will begin making payments when Barbara retires on June 30, 2023. Their gift generates a charitable deduction of $97,2535 in the year they establish the annuity, and they will receive a payout rate of 6.1 percent ($15,250 each year in quarterly payments beginning June 30, 2023). Of the $15,250, $8,174 will be tax-free for their joint life expectancy of 18.7 years. The $15,250 annuity will continue after the first spouse passes away. After the second spouse passes away, the remaining amount will support Hadassah's mission.

Calculate Your Benefits

Submit a few details and see how a charitable gift annuity can benefit you.

See My Benefits

Download Your Free Guide

Learn more about the many benefits of a charitable gift annuity in our free guide The Gift That Gives Back.

Download My Guide

Action Steps

  1. Contact us at 800-428-8884 or giving@hadassah.org for a personalized illustration.
  2. Seek the advice of your financial or legal advisor.
  3. Complete Hadassah's gift annuity application and return it to us with your check (if using cash) or information about transferring securities (if using stock).

California residents: Annuities are subject to regulation by the State of California. Payments under this agreement, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. Oklahoma residents: A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department.

South Dakota residents: Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.

A charitable bequest is one or two sentences in your will or living trust that leave to Hadassah a specific item, an amount of money, a gift contingent upon certain events or a percentage of your estate.

an individual or organization designated to receive benefits or funds under a will or other contract, such as an insurance policy, trust or retirement plan

"I give to Hadassah, a nonprofit corporation currently located at (LegalAddress), or its successor thereto, ______________* [written amount or percentage of the estate or description of property] for its unrestricted use and purpose."

able to be changed or cancelled

A revocable living trust is set up during your lifetime and can be revoked at any time before death. They allow assets held in the trust to pass directly to beneficiaries without probate court proceedings and can also reduce federal estate taxes.

cannot be changed or cancelled

tax on gifts generally paid by the person making the gift rather than the recipient

the original value of an asset, such as stock, before its appreciation or depreciation

the growth in value of an asset like stock or real estate since the original purchase

the price a willing buyer and willing seller can agree on

The person receiving the gift annuity payments.

the part of an estate left after debts, taxes and specific bequests have been paid

a written and properly witnessed legal change to a will

the person named in a will to manage the estate, collect the property, pay any debt, and distribute property according to the will

A donor advised fund is an account that you set up but which is managed by a nonprofit organization. You contribute to the account, which grows tax-free. You can recommend how much (and how often) you want to distribute money from that fund to Hadassah or other charities. You cannot direct the gifts.

An endowed gift can create a new endowment or add to an existing endowment. The principal of the endowment is invested and a portion of the principal’s earnings are used each year to support our mission.

Tax on the growth in value of an asset—such as real estate or stock—since its original purchase.

Securities, real estate or any other property having a fair market value greater than its original purchase price.

Real estate can be a personal residence, vacation home, timeshare property, farm, commercial property or undeveloped land.

A charitable remainder trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create.

You give assets to a trust that pays our organization set payments for a number of years, which you choose. The longer the length of time, the better the potential tax savings to you. When the term is up, the remaining trust assets go to you, your family or other beneficiaries you select. This is an excellent way to transfer property to family members at a minimal cost.

You fund this type of trust with cash or appreciated assets—and may qualify for a federal income tax charitable deduction when you itemize. You can also make additional gifts; each one also qualifies for a tax deduction. The trust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. When the trust terminates, the remaining principal goes to Hadassah as a lump sum.

You fund this trust with cash or appreciated assets—and may qualify for a federal income tax charitable deduction when you itemize. Each year the trust pays you or another named individual the same dollar amount you choose at the start. When the trust terminates, the remaining principal goes to Hadassah as a lump sum.

A beneficiary designation clearly identifies how specific assets will be distributed after your death.

A charitable gift annuity involves a simple contract between you and Hadassah where you agree to make a gift to Hadassah and we, in return, agree to pay you (and someone else, if you choose) a fixed amount each year for the rest of your life.

eBrochure Request Form

Please provide the following information to view the brochure.

Please choose the brochure(s) you would like to view:


A comprehensive guide to all of Hadassah's planned giving options


How to make a gift for Hadassah through a charitable gift annuity


Deferred charitable gift annuities


Using retirement assets to make a gift to Hadassah


Using life insurance to make a gift to Hadassah


Favorite ways to make a gift to Hadassah

Click here to download the selected brochures.
Click here to have the selected brochures mailed to you.