“It’s a gift that benefits me and also the good work of Fort Sanders Regional Medical Center” – John Moxham, gift annuitant John Moxham is an enthusiastic supporter of the charitable gift annuity. One reason has to do with his loyalty and love of Fort Sanders Regional Medical Center. He is a proud retiree having served 18 years directing the Fort Sanders Foundation. The other reason, according to Moxham, is, "It just makes good sense to know that you can roll over some CDs or T-bills that may be paying you around 3% and you can effectively double your income while knowing you’re supporting a great cause." Another good reason has to do with the charitable gift annuity’s fixed payment rate which lets you know exactly how much you will be receiving each year. As with all charitable gifts supporting Fort Sanders Foundation, you can designate the area of need which will receive the future benefit of your generosity.

The earliest recorded gift annuity was in the 1700’s in England when a farmer agreed to donate his land to the church in return for a fixed income for the rest of his life. Gift annuities have been offered in the United States for over 80 years.

Just what is a gift annuity? Basically it’s a way to donate cash or appreciated stock to one of Covenant Health's Philanthropic Foundations and receive a fixed amount of money (not a variable percentage) for the rest of your life, and, if you choose, the life of your spouse. Our organization invests these assets with others and provides you with this income. Upon your passing, the value of the principle is released from the investment pool and designated to the charitable purpose chosen by you upon creation of the gift annuity.

As an example, Jane Johnson is 68 years old. She has $15,000 invested in certificates of deposit paying her 2.7%. Jane can donate these CDs to a Foundation and increase her income from $405 (2.7%) per year to $945 (6.3%) annually. This is an increase of $540, and Jane also receives an income tax deduction of $5,281. Best of all, Jane has the satisfaction of knowing she has created a lasting legacy supporting the Foundation.

The payment rates for gift annuities are set in accordance with a national organization that serves to coordinate all charitable organizations offering gift annuities. These rates are in full compliance with the Internal Revenue Service.