An annuity is a series of payments for a fixed number of years, even lifetime. When the income ends a balance remains called the “remainder”. That balance has a value. It goes to Bais Menachem Chabad when the income ends.
Bais Menachem Chabad is a charity. So, you can deduct the current value of the remainder from your income taxes. Also, only a portion of the income payments add to your gross income for tax purposes.
We are happy to work with your attorney can tax advisor to design the best gift annuity to serve your needs.