“You have to give some to get some.” Whether it was your mother’s wise counsel or your own life experience, this old saying affirms the importance of reciprocity: we must be willing to give a little of ourselves in order to experience the full richness of life.

With a "life income gift", when you give to MUSC you receive a lifetime income in return. Depending upon the plan you choose, the amount of income can be fixed or variable and can be paid to you or others you choose.
Here are two examples of life income gifts that might be interesting to you:

Charitable Gift Annuity

In exchange for your contribution, MUSC promises to pay you a certain amount of money each year. The amount depends upon your age at the time of the gift, but does not change for the rest of your life.

For example, Alan, who is age 78, was surprised when his bank notified him that his $10,000 certificate of deposit would be renewing at a rate of just 1%. After consulting with his advisors, Alan chose to contribute the money to MUSC in exchange for a charitable gift annuity. Based upon his age, the annuity will pay him 6% for life, most of it tax-free for the first ten years. Alan also received an income tax deduction of more than $4,600 for his contribution.

Charitable Remainder Unitrust

A charitable remainder unitrust pays you a certain percentage each year and, at the end of your lifetime, distributes whatever is left to MUSC. These trusts work particularly well with gifts of securities, real estate, or other property that has increased in value because the trust pays no capital gains tax when it sells the contributed property.

For example, Tami, who is age 76, has shares of stock now worth $200,000 which cost her $50,000 several years ago. Although the stock has increased in value, it pays a modest dividend of only $4,000 per year. Tami is concerned about the capital gains tax she would pay if she sold the stock. Instead, working with her advisors, Tami contributes the stock to a charitable remainder unitrust paying her 5% of the trust value each year. In the first year her trust will pay her $10,000. In addition, she will enjoy an income tax deduction of more than $122,000 for her contribution to the trust.