A deferred gift annuity works the same way as a charitable gift annuity, except the payments begin at a future date of your choice. Due to the deferral of the payments, you receive a higher immediate income tax deduction as well as higher income payments. This is a wonderful tool to maximize current tax deductions while postponing income to supplement your retirement income.

Edward and Noreen B.’s deferred gift annuity

Edward and Noreen B. were thinking ahead 15 years to retirement. They had $100,000 invested in Certificates of Deposit (CDs) that were about to mature. Edward and Noreen felt a special attachment to Suffolk University. Edward received his Bachelor of Science in Journalism degree from the College of Arts and Sciences, and Noreen received her Juris Doctor.

Instead of reinvesting the CDs, they decided to transfer the proceeds to Suffolk University in exchange for a deferred payment gift annuity that would provide them with a fixed income for life when they turn 66. Edward and Noreen will receive annual payments of $11,600 based on the annuity rate of 11.6 percent.

The deferred gift annuity to Suffolk allowed Edward and Noreen to:

• Secure a future guaranteed income for life
• Receive an income tax deduction today
• Make a meaningful gift to Suffolk University

Please contact the Office of Advancement to learn more about deferred gift annuities.