Do you own a bank CD?
- Are you satisfied with your current CD rate?
- Would you like to generate a higher tax-advantaged income?
- Do you want to save money on your taxes?
Our CD Transfer Program provides these benefits:
- Immediate income tax deduction
- Fixed tax-favored income for life or a specified number of years
- Immediate or deferred income payments
- Reduction or elimination of applicable estate tax
- Reinsurance on most transactions
- The ability to support your favorite charities and other charitable causes worldwide
Example:
Charles and Helen Barker, ages 75 and 74, are unhappy with their CD earnings. Their CD is valued at $100,000 and is currently earning 3% – all of which is taxable each year. Charles and Helen can transfer all or a portion of their CD to a Charitable Gift Annuity (CGA).
They would earn more income by transferring $50,000 of their CD to a CGA than they were previously earning from the entire $100,000 in their CD. By transferring only half of their CD to a CGA, they also have the comfort of retaining $50,000 in their current CD.
| Bank CD | CGA | |
| Asset Value | $100,000 | $50,000 |
| Annual Rate | 3% interest rate | 6.3% payout rate |
| Annual Payout | $3,000 | $3,150 |
| After Tax Net Payout | $2,250 | $2,883 |
| Income Tax Deduction | $0 | $14,827 |
| Tax Savings | $0 | $3,707 |
| Principal | Remains in estate | Removed from taxable estate |
