In a gift annuitiy agreement, you donate assets to the Whitewater Valley Railroad Heritage Foundation in exchange for fixed, partially tax-free income payments to you for your lifetime, and optionally the lifetime of one other beneficiary. Your income payments can be begin immediately or can be deferred until a time determined by you. Your gift affords you various tax benefits over the life of the annuity. You can also purchase a life insurance policy in the Foundation's name, on which you make small yearly tax-deducatible payments so the Foundation receives a large contribution at your death. Your gift to the Whitewater Valley Railroad Heritage Foundation can be made in memorary of an individual you wish to honor.
Many corporations also match gifts made by directors, spoouses, and retirees.
The interest from the Fund supports the railroad's ongoing programs, while the principle ensures a source of long-term income stability. They are in the 31 percent tax bracket. The stock paid three percent annually. Looking ahead to retirement earnings, and wanting to contribute more than their usual, modest annual gift to the Whitewater Valley Railroad Heritage Foundation, the Franks have decided to dontate the stock to the Foundation via a Deferred Gift Annuity. They may save even more because of state tax savings.