Gifts That Generate Income

A charitable gift annuity with Bentley University provides you with fixed payments for life in exchange for a gift of cash or appreciated securities. When the annuity ends, the remaining funds are used to support Bentley’s students, faculty and programs — creating lasting impact for future generations. 

Deferred charitable gift annuities may be established by donors age 50 and older, with payments beginning at age 60 or later. 

Benefits of a charitable gift annuity include: 

• A charitable income tax deduction for the gift portion of the annuity 
• Partial avoidance of capital gains tax when funded with appreciated securities 
• Reliable payments that may be partially tax‑free 
• You can create charitable gift annuities for loved ones over the age of 50 

* Not registered in all states. Contact our office to learn more about CGAs.

A charitable remainder trust allows you to provide income for yourself or others while making a significant future gift to Bentley University. This option can be especially attractive if you are seeking income, potential tax benefits, and a meaningful way to support Bentley’s mission. 

There are two primary types of charitable remainder trusts: 

• Charitable Remainder Annuity Trust (CRAT) 
  Each year, the trust pays you a fixed dollar amount that is determined when the trust is created. Your payments remain the same for the duration of the trust, regardless of fluctuations in trust investments. 
   
• Charitable Remainder Unitrust (CRUT) 
  Each year, the trust pays you a variable amount based on a fixed percentage of the trust’s fair market value, recalculated annually. If the value of the trust grows, your payments may increase; if the value declines, payments may decrease. 

A charitable remainder trust may be right for you if: 

• You want to provide income for yourself or others 
• You want to reduce income and/or capital gains taxes 
• You want to make a generous future gift to Bentley University, supporting students, faculty and programs 

To establish a charitable remainder unitrust, the minimum gift is $100,000. 

A Qualified Charitable Distribution — sometimes called an IRA charitable rollover — allows you to transfer funds directly from your IRA to Bentley University. If you are 70½ or older, a QCD: 

• Is excluded from your taxable income 
• Counts toward your Required Minimum Distribution (RMD) 
• Does not generate a charitable income tax deduction, but avoids tax on the RMD distribution

IRA-Funded Charitable Gift Annuity

Under current federal tax law, eligible donors may make a one-time QCD to establish a charitable gift annuity.

Key guidelines include:

• This opportunity may be used once in your lifetime
• The gift is subject to a federally defined dollar limit
• All annuity payments are treated as taxable income
• You may include your spouse as an annuitant
• There is no income tax charitable deduction — but no tax on the QCD itself

This approach allows you to turn IRA assets into reliable lifetime income while making a lasting investment in Bentley’s future.