Charitable Gift Annuities Through the American Baptist Foundation

Gifts to MMBB support the financial well-being of pastoral leaders and, by extension, the congregations, church ministries, and the communities they serve.

With $40,000 in cash, Rev. Otto Nallinger established a two-life charitable gift annuity (CGA) through the American Baptist Foundation in 1994. Annual payments would be made to him and then, upon his death, to his daughter, Jean McQueen.

According to calculations based on the gift annuity and IRS discount rates at the time, as well as the life expectancies of Rev. Nallinger and his daughter, a fixed, annual distribution of $2,200 was set for the CGA. Rev. Nalinger, and subsequently, his daughter, would receive these lifetime annual payments, which would remain partially tax-free throughout their life expectancies.

The initial gift was invested in a pooled fund at the American Baptist Foundation. When the CGA matured, upon the death of both Rev. Nallinger and his daughter, the remainder of the gift would go to MMBB. In Rev. Nallinger’s own words, the gift would provide for “needy ABC ministers, including salary support.”

Over the years, the Nallinger CGA grew sizably. Upon the death of Jean McQueen, the gift remainder totaled $75,378. “We are so grateful to collaborate with the American Baptist Foundation to offer this tax-advantaged gift vehicle to MMBB members,” says Louis Barbarin, CEO of MMBB. “Rev. Nallinger’s gift will be used as he wished to augment our ongoing support of pastors and their pressing needs.”

For more information about establishing a CGA through the American Baptist Foundation, contact Lisa Marie Gerondeau at (212) 870-8007 or lisa.gerondeau@mmbb.org.