Charitable gift annuity

{
  "id": "MLC-T-LAW-000943",
  "term": "Charitable gift annuity",
  "field": "Law",
  "definition": "A contract in which a donor transfers cash or other assets to a charity, which promises fixed annuity payments for the life of one or two named annuitants. The excess of the gift over the annuity's present value is a charitable deduction, part of each payment is tax-free return of principal, and the charity keeps what remains after the annuitant dies. Payment rates are set by the charity, often following rates suggested by the American Council on Gift Annuities.",
  "url": "https://mlchart.com/terminology/law/charitable-gift-annuity/"
}