1. The residuum (percentage of contribution remaining for the charity at the termination of an annuity) will be 50%.
2. Life expectancies are based on the Annuity 2000 Tables, assuming all annuitants are female and are one and one-half years younger than their actual ages.
3. Projections of increased life expectancies since the publication of the Annuity 2000 Tables are factored into rate calculations.
4. Annual expenses for investment of gift annuity reserves and administration of gift annuities are assumed to be 1% of reserves.
5. The total return on gift annuity reserves is 6.0%. However, the total return for single-life annuitants under age 51 and over age 86 is lower than 6.0%, and the total return for two-life annuitants where the younger annuitant is under age 59 is likewise lower than 6.0%. The total return, net of expenses, is 5.0% except for the ages noted where it is lower.
6. The compound interest factor for deferred gift annuities for a deferral period of any length is 5.0%.
