Reserve calculations are a way of computing the liabilities on your outstanding annuity agreements. Performing annuity reserve calculations can be a complex undertaking. PG Calc can help you perform reserve calculations yourself using PG Calc's GiftWrap or Gift Annuity Organizer, or we can do these calculations for you. A charity that issues gift annuities guarantees its annuity payments with its general resources. As a result, all charities that issue gift annuities should regularly review their gift annuity liabilities by calculating an annuity reserve.
Most charities do so annually.
Some states regulate gift annuities and require charities that issue gift annuities to calculate and report annually their annuity liabilities and to maintain a reserve fund. The calculation method for determining the minimum reserve varies from state to state. We can provide annuity reserve calculations using the IRS method for computing investments in contract, or using methods that meet the requirements of all the states listed above. The cost of a report will vary depending on the number of contracts at your institution. PG Calc Incorporated, all rights reserved.