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Suggested Maximum Gift Annuity Rates, Quality Training Opportunties, and Consumer Protection Advocacy

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  • Comments on Proposed Regulations on the Substantiation and Reporting Requirements for Cash and Noncash Charitable Contribution Deductions

    ACGA and the Partnership for Philanthropic Planning (PPP) comment on Proposed Regulations on the Substantiation and Reporting Requirements for Cash and Noncash Charitable Contribution Deductions.

    CGA and NCPG have asked for guidance regarding IRS Regulation 140029-07, Notice of Proposed Rulemaking Substantiation and Reporting Requirements for Cash and Noncash Charitable Contribution Deductions (http://www.irs.gov/irb/2008-40_IRB/ar13.html).

  • Comment on the Proposed Charitable Lead Trust Regulation

    ACGA and PPP comment on the proposed charitable lead trust regulation that requires the payments to the charity beneficiary consist of different classes of income determined on a pro rata basis.

    Treasury and the IRS have proposed a regulation that disregards "income-ordering" provisions in charitable lead trusts and imposes a deemed pro rata share of each type of trust income requirement. An income-ordering provision will be respected by the Service only if it has an economic effect independent of income tax consequences.

  • Revenue Procedure 2005-24

    Letter to Treasury Department officials regarding Revenue Procedure 2005-24 ACGA Chair Frank Minton and Conrad Teitell sent this letter to various officials at the Department of the Treasury and the IRS on behalf of ACGA.

  • ACGA Charitable Gift Annuities Survey - Help Us Reach our Goal

    We are more than halfway to our goal of 500 responses to the 2018 American Council on Gift Annuity Survey on Charitable Gift Annuities. There is still time for you to take part in the most significant multi-year study on charitable gift annuities. Help us reach our goal!

    Your responses are extremely valuable to the ACGA in providing suggested annuity rates, and to charitable organizations in refining gift annuity policies and practices. We count on your participation to make this unique survey report comprehensive and useful.

    You should have received a copy of the survey by mail. We want to encourage you to complete the survey and mail it back to ACGA. The ACGA is also administering this survey online. You can access the survey here.

    If you have questions or need assistance with completing the survey, please contact Kristen Schultz Jaarda, Chair of the ACGA Research Committee at This email address is being protected from spambots. You need JavaScript enabled to view it..

    A special thank you to BNY Mellon Wealth Management for serving as the sponsor of this survey.

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    Kristen Schultz Jaarda
    Chair, ACGA Research Committee

  • H.R. 4853 Sec. 725 IRA/Charitable Rollover

    ACGA’s Response Letter to H.R. 4853 Sec. 725 IRA/Charitable Rollover.

    Honorable Congressional Leaders and Exhausted Staff:

    As volunteer legal counsel to the American Council on Gift Annuities (ACGA), I write this letter requesting an addition to Sec. 725 of H.R. 4853 of the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010.

    Since 1987, ACGA — with over 1200 sponsoring charitable organizations — has been dedicated to both protecting donors and assuring that charities at the end of the day will have gifts to further their missions.

  • Annuity Disclosure Model Regulation Draft

    (To be adopted by State Legislatures)

    ANNUITY DISCLOSURE MODEL REGULATION
    Draft: 10/18/10

    Revisions to Model 245, as adopted by the Annuity Disclosure (A) Working Group, Oct. 18, 2010
    Underlining and overstrikes show the changes from the existing model. Comments are being requested on this draft.
    Comments should be submitted by email only by Nov. 19, 2010, to Jolie Matthews at This email address is being protected from spambots. You need JavaScript enabled to view it..

    Click here to view a current copy of the draft on the NAIC website.

  • Suggested CGA Rates Remain Unchanged as of April 2016

    At its semiannual meeting on April 5, 2016, the Board of Directors of the American Council on Gift Annuities (ACGA) reaffirmed the existing schedule of suggested maximum rates for charitable gift annuities which was originally published on January 1, 2012.  As part of its ongoing review process, the Rates Committee of the ACGA monitors particular interest rates that underlie the investment return assumptions used to create the rate schedules.  Annuitant mortality and other investment and expense assumptions are evaluated and updated as necessary on an annual basis.  For more detailed information about our suggested gift annuity rates, please visit the gift annuity rates section of our website to obtain a copy of our latest Rates Paper.
     
    Dave Libengood
    Rates Committee

  • Letter to IRS - Corrective Action on Notice 2010-19

    Letter to IRS regarding Corrective Action on Notice 2010-19

    Dear Ms. Daly:

    This letter is written by me as counsel to the American Council on Gift Annuities. ACGA, formed in 1927, is an IRC §501(c)(3) organization described in IRC §170(b)(1) (A)(vi). ACGA's board of directors and its legal counsel are all unpaid volunteers. ACGA is sponsored by over 1200 social welfare charities, health organizations, environmental organizations, colleges, universities, religious organizations and other charities.

  • Recent Court Case Involves Marketing of Gift Annuities

    David Wheeler Newman

    A recent ruling involving charitable gift annuities by the US Court of Appeals illustrates the old lawyers’ adage that bad facts make bad law.  The case is further fallout from the melt-down of Mid-America Foundation, whose gift annuity program the Ninth Circuit characterized as a Ponzi scheme.

    The Foundation paid commissions to investment advisors who arranged for the Foundation to issue over 400 annuities in exchange for about $55 million.  The Foundation promoted the program aggressively with marketing materials stressing investment returns to annuitants, with language like “current average net-yield”, and comparing those returns to dividend yields on stocks and other investment alternatives.

  • ACGA Statement Regarding Treasury Notice 2008-99

    ACGA Statement Regarding Treasury Notice 2008-99: Potential for Avoidance of Tax Through Sale of Charitable Remainder Trust Interests

    People of the Treasury and the Internal Revenue Service:
    Comments submitted by the American Council on Gift Annuities (ACGA) (formerly the Committee on Gift Annuities). ACGA, formed in 1927, is an IRC §501(c)(3) organization described in IRC §170(b)(1)(A)(vi). ACGA’s board of directors and its legal counsel are all unpaid volunteers. ACGA is sponsored by over 1200 social welfare charities, health organizations, environmental organizations, colleges, universities, religious organizations and other charities. The Mission of ACGA is to “actively promote responsible philanthropy through actuarially sound charitable gift annuity rate recommendations, quality training opportunities and the advocacy of appropriate consumer protection.”

  • ACGA Legislative Alert - IRA/Charitable Rollover Endangered

    To: ACGA Sponsors

    From: American Council on Gift Annuities

    Several weeks ago, the Executive Committee of the American Council on Gift Annuities approved the preparation of a letter to the Senate Leadership regarding the need for making permanent the direct rollover to outright gifts and life income agreements from IRAs. This action would provide American taxpayers the opportunity to participate in the recovery of our country through the funding of reliable charities by direct rollover of IRA assets either as outright gifts or to life income agreements.

    The note below, from Conrad Teitell to you, our sponsors, provides the specifics of the action needed. Please note that emails and letters are becoming counterproductive. The suggestion is that personal contacts from the officers and board members of your institution to members of the Senate and House listed on the attached letter will be the most help.

    We are also looking for someone who can help us get the message to President-elect Obama. Should you or your organization have such a contact we would appreciate hearing from you. Please be assured that any contact would be coordinated through your leadership and would in no way compromise the relationship of your organization with the President-elect and his advisors.

  • Suggested CGA Rates Remain Unchanged as of April 2015

    At its semiannual meeting on April 13, 2015, the Board of Directors of the American Council on Gift Annuities (ACGA) reaffirmed the existing schedule of suggested maximum rates for charitable gift annuities which was originally published on January 1, 2012.  As part of its ongoing review process, the Rates Committee of the ACGA monitors interest rates that underlie the investment return assumptions used to create the rate schedules. The Committee also recently completed a study with its consulting actuaries, The Hay Group, to update its gift annuitant mortality assumptions in terms of the recently issued 2012 Individual Annuity Reserving (2012 IAR) Mortality Table. The Committee plans to reissue its Rates Paper to reflect the updated mortality assumptions later this spring.  For more detailed information about our suggested gift annuity rates, please visit the gift annuity rates section of our website.

    David Libengood
    ACGA Rates Committee

  • ACGA Maximum Suggested Rates Remain the Same as of 11/3/14

    RatesSliderAt its semi-annual meeting on November 3, 2014, the Board of Directors of the American Council on Gift Annuities (ACGA) voted to reaffirm the existing schedule (originally published on January 1, 2012) of suggested maximum rates for charitable gift annuities.

  • Suggested CGA Rates Remain Unchanged as of April 2014

    At its semiannual meeting on April 8, 2014, the Board of Directors of the American Council on Gift Annuities (ACGA) reaffirmed the existing schedule of suggested maximum rates for charitable gift annuities which was originally published on January 1, 2012. As part of its ongoing review process, the Rates Committee of the ACGA monitors particular interest rates that underlie the investment return assumptions used to create the rate schedules. Annuitant mortality and other assumptions are evaluated and updated as necessary on an annual basis. For more detailed information about our suggested maximum gift annuity rates, please visit the gift annuity rates section of our website to obtain a copy of our latest Rates Paper.

    David Libengood
    ACGA Rates Committee

  • Suggested CGA Rates Remain Unchanged as of November 4, 2013

    At its semiannual meeting on November 4, 2013, the Board of Directors of the American Council on Gift Annuities (ACGA) voted to reaffirm the existing schedule of suggested maximum rates for charitable gift annuities which was originally published on January 1, 2012.   As part of its ongoing review process, the Rates Committee of the ACGA monitors on a weekly basis certain interest rates that underlie the investment return assumptions used to create the rate schedules.  Annuitant mortality and other assumptions are evaluated and updated as necessary on an annual basis.  For more detailed information about our suggested gift annuity rates, please visit the gift annuity rates section of our website to obtain a copy of our latest Rates Paper.

    David Libengood
    ACGA Rates Committee

  • Suggested CGA Rates Remain Unchanged as of July 1, 2013

    acga-ratesAt its meeting in Baltimore in April, the ACGA Board of Directors voted to leave its schedule of suggested maximum charitable gift annuity (CGA) rates unchanged as of July 1, 2013.  The rate schedule was originally published as of January 1, 2012 and will continue in effect until further notice.  As a reminder, the primary assumptions underlying the current rate schedule include the following:

  • Rates Effective January 1, 2012 To Remain the Same as of 4/15/13

    Approved by the American Council on Gift Annuities on April 15, 2013

    IMMEDIATE AND DEFERRED GIFT ANNUITY RATES WILL REMAIN THE SAME

    The American Council on Gift Annuities (ACGA) board of directors held its semi-annual meeting on April 15. The board conducted its regular review of the assumptions underlying the rates schedule for charitable gift annuities and voted to make no changes to the suggested maximum rates that originally became effective January 1, 2012. The current rate schedule will remain in effect until further notice.  Click here for the rates effective January 1, 2012.

  • Terry L. Simmons Scholarship - Complete the Application Now!

    The American Council on Gift Annuities offers scholarships through The Terry L. Simmons Philanthropic Endowment Fund to attend the Conference on Gift Annuities for individuals who would otherwise be unable to attend the Conference without this assistance.

    Criteria considered when awarding a scholarship include, but are not limited to, the following:

    • If an individual has attended, or the organization at which the individual is employed, has been represented at an ACGA Conference in the past
    • The size of the budget of the organization at which the individual works when applying for the scholarship
    • The individual’s and employer-organization’s commitment to developing and enhancing planned giving activity as an important contributor to their long term career and fundraising efforts


    Click Here to submit an online application for the Terry L. Simmons Philanthropic Endowment Fund 2012 Scholarship

  • Rates Effective January 1, 2012 To Remain the Same as of 11/5/12

    acga-ratesThe American Council on Gift Annuities (ACGA) Board of Directors held its semi-annual meeting on November 5, 2012.   As part of an ongoing review process, the board examined the assumptions that underlie the gift annuity rate schedules and determined that it would make no changes to the suggested maximum rates originally published as of January 1, 2012.  The ACGA encourages charities to review carefully gift illustrations prepared for young annuitants (generally age 60 or below) to determine whether the suggested maximum rates need to be lowered to meet the minimum 10% residuum requirement under the Internal Revenue Code.

    For more detailed information about ACGA rates, please visit our website to obtain a copy of the 2012 Rates Paper.

    David A. Libengood
    Chair
    ACGA Rates Committe

  • Wall Street Journal Letter - “Tis the Season to Be Stupid"

    Letter to Wall Street Journal regarding the article “Tis the Season to Be Stupid" (page R5, Dec. 13)

    To the Editor of the Wall Street Journal:

    Your article "Tis the Season to Be Stupid" (page R5, Dec. 13) misses the point and the payments when you mistakenly conclude that gift annuities are unwise. The point: for over 75 years, donors in large numbers have created gift annuities to feed the hungry, shelter the homeless, educate youngsters and support numerous other charitable causes. This is foremost. As for payments: each annuity payment is a return of income and principal. Over 1200 charities nationwide follow the payment schedule recommended by the American Council on Gift Annuities (founded in 1927). An individual age 75, for example (a typical donor), receives 6.3% annually, favorable taxation on the payments and an itemized charitable deduction.

  • Promoting Responsible Philanthropy

    Alcatraz_IslandAny of you ever feel like you face the challenge of keeping your donors, their advisors, and your boss, on occasion, out of jail? The agenda of the 30th Conference of the American Council on Gift Annuities will be chock full of tips and guidelines on how to conduct our business of charitable giving in a legal and forthright way. It begins with a presentation on “Best Practices”, and continues with discussions of actuarially sound rate suggestions and the proper use of Charitable Gift Annuities and Charitable Remainder Trusts in the estate planning process. The conference is an outstanding opportunity to assist you as you guide those with whom you work in the best that charitable estate planning has to offer, both to our donors, their advisors and to our organizational leadership.

  • I Left my Heart in San Francisco

    Heart_in_Union_Square“I left my heart in San Francisco” is a popular song, written in 1954 by George Cory and Douglass Cross, and best known as the signature song of Tony Bennett. It was released as a single by Bennett on Columbia Records, as the b-side to “Once Upon a Time”. It peaked at #19 on the Billboard Hot 100, and was later issued on the album of the same name.

    On the northwest corner of San Francisco’s Union Square, just across the street from the Westin St. Francis, this red heart painted by Tony Bennett features the Golden Gate Bridge and the hills of Marin County. The purple/black silhouette ad on a building behind serves as an interesting reminder that Tony Bennett today is still part of our lives as he was decades ago.

  • ACGA Suggested Maximum Gift Annuity Rates: Announcement: November 6, 2012

    The American Council on Gift Annuities (ACGA) Board of Directors held its semi-annual meeting on November 5, 2012.   As part of an ongoing review process, the board examined the assumptions that underlie the gift annuity rate schedules and determined that it would make no changes to the suggested maximum rates originally published as of January 1, 2012.  The ACGA encourages charities to review carefully gift illustrations prepared for young annuitants (generally age 60 or below) to determine whether the suggested maximum rates need to be lowered to meet the minimum 10% residuum requirement under the Internal Revenue Code.

    For more detailed information about ACGA rates, please visit Gift Annuity Rates section of the ACGA website to obtain a copy of the 2012 Rates Paper. Click Here to visit the Gift Annuity Rates section of the ACGA website.

  • ACGA Announcement - Management Change

    The Board of Directors of the American Council on Gift Annuities is announcing that the day-to-day management of ACGA is being moved to The Association Group. This transition became effective on October 1, 2010.

    This decision follows an extensive review of the management needs of ACGA and our sponsors.  We anticipate that this move and the administration will be seamless to our sponsors and those who have contact with ACGA.

    Our ACGA contact at TAG is Jennifer Westmoreland.  She may be contacted by mail or phone by clicking here.

  • Meet Me at the Clock

    Clock_WestinStFrancis“Meet me at the clock” has been the iconic invitation for all those who have passed through the doors of the Westin St. Francis Hotel for over 100 years.  It has been the invitation to dignitaries and politicians, as well as soldiers going off to WWII in the Pacific.  It has been the meeting place for socialites and the rich and famous as they came to the St. Francis to experience the elegance and history, the hospitality and warmth, of this historic hotel.

    So ACGA issues the invitation to you to “meet ‘us’ at the clock”.  The Westin St. Francis will be the site of the 30th Conference of the American Council on Gift Annuities, a Conference on Planned Giving.  Our conference takes place on April 18-20, 2012, in this beautiful hotel located on the Powell and Hyde Street cable car route.   Across the street from Union Square, it is flanked on its left by Macy’s and Neiman Marcus, and on its right by Tiffany’s, Levi’s, and Saks Fifth Avenue.  An exhilarating 25-minute ride on the cable car to Fisherman’s Wharf, the Westin St. Francis will be site of all the activities and events of the conference and the official conference hotel.

  • Gift Annuity Survey Report Unveiled at ACGA Conference

    A full report on the most comprehensive gift annuity survey ever was presented and discussed at the ACGA Conference in New Orleans on April 28-30, 2010.

    The 2009 report is particularly important.  Charities provided data concerning the impact of the recession on gift annuity marketing, investments, and internal controls.  There is more data than ever on donor demographics, annuity gift trends, state regulation, and “best practices.”

    583 charitable organizations participated in the 2009 Gift Annuity Survey.  Thank you to all who provided information.

    ACGA sponsors can now receive an electronic version of the survey report in the Sponsors' Forum.  Click here if you'd like to order a printed copy of the report.

  • A Word from the Chair (April 2011)

    The ACGA Board of Directors just completed its spring board meeting and site visit at the beautiful and historic Westin St. Francis Hotel in San Francisco, California.  This meeting was in anticipation of the upcoming 30th Conference of the American Council on Gift Annuities on April 18-20, 2012, at the same hotel.  During the board meeting, we received reports from all of our standing committees, and look forward to the impact of that work being apparent in the very near future.

  • ACGA Honors Planned Giving Champion Terry Simmons

    Click here to learn about and donate to the Terry L. Simmons Philanthropic Endowment Fund

  • Should Charities Promote Gift Annuities in 2009?

    Should Charities Promote Gift Annuities in 2009?
    Click here to find out why.

  • UPDATE: ACGA Issues Additional Statement Regarding Operating a Gift Annuity Program in the Current Economy

    Many charities are concerned about the impact of the current economy on their gift annuity programs, and they are asking what steps they might take to control risk and ensure the continued profitability of their programs. In response to these concerns and questions, the ACGA offers the following suggestions for consideration.
  • 2008 Survey of Gift Planning

    ACGA is pleased to present the results of a comprehensive national survey on charitable gift planning among U.S. charities. The report is available at no charge to ACGA sponsors in the "Sponsors' Forum." Click here for details about downloading and/or purchasing a copy of the survey.

  • Charitable Gift Annuities in Difficult Economic Times

    During trying economic times, with wide swings in the stock market, many charities look to review the risks associated with their charitable gift annuity programs. The American Council on Gift Annuities endorses regular reviews of gift annuity programs, while emphasizing the long-term nature of charitable gift annuities.