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Glenmary Annuity Fund Provides Stability, Security

Glenmary Annuity Fund Provides Stability, Security
Tricia Sarvak

In her years as a planned giving officer, Susan Lambert has collected many stories. She has traveled the country meeting donors, learning about their lives. Some have hidden talents or fascinating jobs, some live in big cities while others live in remote areas. But they all have one thing in common - a special connection to the home missions.

For over 60 years, planned giving donors have enriched Glenmary's work through their support. By naming Glenmary in their will or trust, as a beneficiary of their insurance policy or IRA or by creating a charitable gift annuity, these donors have ensured the longevity of Glenmary's work and left a legacy of generosity.

However, the need for planned giving donors is more critical than ever. The Father Bishop Legacy Society, a group of donors who have pledged a planned gift to Glenmary, continues to dwindle in size, Susan said.

Just considering annuities, Glenmary has experienced a 22.6 percent decline in the last 10 years in annuity commitments. Currently, Glenmary has 387 annuities and 233 annuitants. In 2007, Glenmary had more than 500 annuities and almost 300 annuitants.

Also, many donors have more than one annuity. Almost 30 percent have multiple annuities, which means the loss is especially dramatic when they die. Glenmary needs to replenish its legacy society to sustain the steady stream of income and to support Glenmary's growing missions.

"Glenmary's planned giving donors are among our most generous," Susan said. "They respond to annual appeals, support special initiatives and make planned gifts. They are invested in the work Glenmary does. When they pass away, we have not only lost friends, we have lost some of our biggest supporters. It is imperative that we continue to find new members of the society to help minimize that impact."

Luckily, Glenmary donors can rely on the stability and security of their gift. Glenmary has structured its charitable gift annuity fund - in accordance with American Council on Gift Annuities' best practices - so that it provides dependable income for its annuitants.

The Glenmary annuity fund is a separate account specifically for charitable gift annuities, said Michael Schneider, Glenmary's treasurer and chief administrator. The total charitable gift goes into the annuity fund and remains in the fund until the donor dies. All annuity payments are paid out of that fund. Therefore, the annuity fund never mixes with the general operating fund and is unaffected by other Glenmary business.

"Glenmary's annuity fund is completely self-contained, which lends stability to the fund," Michael said. "Glenmary's donors can have confidence that their gift is safe and being used for its intended purpose. They never have to worry about whether they will receive their annuity payment."

As of June 30, 2016, the Glenmary charitable annuity fund contained more than $5 million, all of which was invested in stocks, bonds, money market funds and federal government instruments to grow the fund.

Annuity donors can specify whether they want their annuity payment dispersed monthly, quarterly, semiannually or annually and whether they want it direct deposited or sent as a check, Michael said. Donors also can choose whether they want to receive the payment or direct it to a beneficiary.

To qualify for a charitable gift annuity, donors must be at least 55 years old and contribute at least $5,000. All charitable gift donors may be eligible for a tax deduction as well as income from the annuity.

For other planned giving options, including information about including Glenmary in a will, trust, IRA or insurance policy, please contact the planned giving office at 800-935-0975.


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