Lewis is a 54-year-old executive at a large healthcare company. He purchased company stock during years when the stock price was low, and now the stock has grown substantially.
Lewis and his spouse, Ann, sold a vacation home earlier this year and are looking for a way to offset the capital gain tax owed on the sale. Lewis enjoys the challenge and responsibility of his job and is not quite ready to retire. But, he is looking at planning options that will provide income in the future with the flexibility to retire when he is ready.
Ann: We needed a charitable deduction to avoid paying the taxes we owed from the sale of our second home. While Lewis invested his energies at work, I spent years volunteering with ULM Foundation and wanted to find a way to make a special gift to help further its work this year.
Lewis: Ann and I were both in good health and I still enjoyed working. We were living comfortably on my current salary, but were looking for ways to plan for retirement in the future. I wasn't quite certain when I would retire, so we wanted to find an income source that would permit me to be flexible with my retirement date.
Ann: A gift planner from ULM Foundation told us that a flexible deferred gift annuity would help us meet our goals. Instead of selling our appreciated stock and paying high capital gain tax, we could give it to them and receive an immediate charitable tax deduction to offset our current tax bill. The flexible deferred gift annuity would permit us to elect to begin taking payments for life when Lewis was ready to retire.
Lewis: We decided to set up the flexible deferred gift annuity and were able to achieve all of our goals. We received a charitable tax deduction in the year that the gift was made and experienced immediate tax savings. When I am ready to retire, we will contact ULM Foundation to begin payments, giving me the flexibility to continue working as long as I would like. In addition, the flexible deferred gift annuity makes it possible for us to receive a large portion of our income tax free, and this is an attractive benefit!
*Please note: The name and image above is representative of a typical donor and may or may not be an actual donor to our organization. Since your gift annuity benefits may be different, you may want to click here to view a color example of your benefits.