Charitable Gift Annuity

What is a charitable gift annuity (CGA)?
A charitable gift annuity is a simple agreement between you and WELS Foundation. In exchange for a gift of cash or securities (stocks, bonds, mutual funds), you receive fixed quarterly payments for life. After the annuitant(s) is called home to heaven, the remainder of the gift supports the WELS ministries you designateā€”such as your congregation, school, area Lutheran high school, synod, or other WELS-affiliated ministries.

Key Features

  • Flexible: Begin payments immediately or defer to a future date when additional income may be needed.Ā 
  • Secure: Payments are backed by the assets of WELS Foundation.
  • Fixed and reliable: Once established, your payment amount does not change.
  • Accessible: Minimum gift: $10,000. No maximum limit.
  • Eligibility:
    • Immediate payment CGAs: Available to WELS members age 60 and older.
    • Deferred payment CGAs: Available to WELS members age 45 and older.
  • Irrevocable: Once established, the agreement cannot be changed or cancelled. However, you may choose to end payments early and donate the remaining balance to ministry.

Benefits of a charitable gift annuity

  • Joyful giving: Support ministries that are close to your heart.
  • Income for life: Receive regular, dependable quarterly income.
  • Tax savings:
    • Immediate income tax charitable deduction.
    • In most cases, a portion of your payments will be tax-free.
    • Additional tax advantages when funding with appreciated assets.
  • Kingdom impact: Your legacy will live on, supporting gospel ministry even after you are called home.

Charitable Gift Annuity Payout Rates

AgeCurrent Rate*
605.2%
655.7%
706.3%
757.0%
808.1%
859.1%
90+10.1%

*One-life immediate payment gift annuity. Rates for two lives will be lower.

Charitable Gift Annuity FAQs

Yes! You can choose the type of charitable gift annuity that best fits your giving goals and situation.

Immediate Gift Annuity: Quarterly payments begin right away.

  • You make a gift now
  • You receive an immediate tax deduction
  • Minimum gift amount: $10,000

Deferred Gift Annuity: Quarterly payments begin at a future date you choose, such as retirement.

  • You make a gift now
  • You receive an immediate tax deduction
  • Minimum gift amount: $10,000

Flexible Deferred Gift Annuity: Quarterly payments can begin at any time in the future that works for you.

  • You make a gift now
  • You receive an immediate tax deduction
  • Minimum gift amount: $10,000

Testamentary Gift Annuity: After you’re called home to heave, quarterly payments provide payments to your loved ones.

  • Your gift is funded when you are called home to heaven
  • Minimum gift amount: $50,000

Distributions are paid on the last day of each quarter. If you receive payments electronically, you will receive it the quarter’s final day (i.e., March 31). If you receive a paper check, it will be mailed the last business day of the month at quarter end.

Yes! To set up electronic payments, please contact us at [email protected] or 800-752-8940.

You can expect to receive your Form 1099 by January 31st each year.

No problem! Contact us at [email protected] or 800-752-8940.

Yes, you can. In doing so, you may also qualify for an additional income tax charitable deduction. Contact us at [email protected] or 800-752-8940 to learn more.

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The information contained on this website is not intended as legal advice. For legal and tax advice, WELS Foundation encourages you to consult an attorney or tax professional. The figures cited in the examples on this website are for hypothetical purposes only and are subject to change. References to estate and income tax include federal taxes only. Individual state taxes and/or state law may impact your results.