Gifts That Provide Income

Charitable Gift Annuities

A charitable gift annuity is a contractual agreement between you and the University at Buffalo Foundation, Inc., whereby we agree to pay you a fixed dollar amount each year in return for your gift of cash or securities to the Foundation. The payments are absolutely guaranteed until your death. Additionally, gift annuities may be arranged to provide payments for one or two beneficiaries.

Other individuals have found that a deferred gift annuity is a great way to supplement future income. This unique arrangement allows you to make an immediate gift to the university while deferring annuity payments to some time in the future, typically upon retirement. As a donor, you are still allowed an immediate tax deduction in the year you make the gift.

The charitable gift annuity is highly flexible and can be customized to meet a wide variety of personal and financial objectives. In summary, some of the more important benefits include a guaranteed income for life, substantial income tax savings, possible savings on capital gains taxes, a greater return than currently available to you, and the pleasure of knowing that your gift will ultimately benefit a specific program of interest at UB.

Charitable Remainder Trust

With a charitable remainder trust, you would irrevocably transfer assets, such as cash or securities, to the trustee, in this case the University at Buffalo Foundation, Inc. During the term of the trust, the Foundation, as trustee, invests the assets and distributes income to you or another beneficiary for the balance of your lifetime(s) or for a term no greater than 20 years. At the end of the trust term, the remainder is distributed to UB to support a program of your choosing.

Depending on how you arrange your trust, you may receive specific benefits including: income tax deduction, reduced or eliminated capital gains tax, an increase in personal income and the removal of the assets from your taxable estate.

Charitable Lead Trust

For the donor who wishes to benefit the university in significant ways and pass substantial assets on to heirs, the charitable lead trust may be the best option. With a charitable lead trust, you would transfer assets to the University at Buffalo Foundation, Inc. and provide that payments be made to the university for a certain number of years. At the trust’s termination, the principal would be distributed to your children, grandchildren or other heirs. More importantly, the principal passes to your heirs at greatly reduced gift and estate tax rates.

To set up an income-providing account or to learn more, please contact:

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