The American Council on Gift Annuities (ACGA) 2025 Survey of Charitable Gift Annuities (CGAs) provides one of the most comprehensive sources of data on charitable gift annuity programs available in the nonprofit sector. We received completed surveys from 106 charitable organizations, representing approximately $1.8 billion in CGA reserves and more than $185 million in new CGAs issued during the prior fiscal year. Their responses, highlighted in the report, show the continued financial strength, donor value, and strategic importance of charitable gift annuity programs across a broad range of nonprofit organizations.

The survey confirms that CGAs remain a stable and effective planned giving vehicle for organizations of varying sizes and missions. Respondents included universities, religious organizations, healthcare institutions, foundations, and social service organizations. The majority of responding organizations operate mature programs, with 70 percent reporting that they have offered gift annuities for more than 30 years.

One of the report’s most significant findings is the continued financial strength of charitable gift annuity programs. Respondents reported an average residuum—the amount ultimately retained by the charity at the termination of the annuity obligations—over the last five years of 65 percent, well above the 50 percent target historically used in the development of ACGA suggested rates. This sustained performance reflects a combination of disciplined adherence to ACGA suggested maximum rates, prudent reserve management, favorable long-term investment returns, and implementing best practices in program administration.

The survey also demonstrates positive trends in donor engagement and program sustainability. New CGAs represented 6.3 percent of existing annuity pools, indicating healthy donor replenishment and supporting the long-term stability of CGA programs by diversifying longevity risk. In addition, 60 percent of newly issued annuities came from first-time CGA donors, while repeat annuity donors and prior planned giving donors continued to represent a substantial share of new activity.

A major emerging trend identified in the survey is the increasing use of Qualified Charitable Distributions (QCDs) under SECURE 2.0 Act to fund charitable gift annuities. Nearly three-quarters of respondents reported establishing at least one QCD-funded CGA during the past year, and these gifts represented 27 percent of all new CGA agreements reported by participating organizations. The findings suggest that QCD-funded CGAs may become an increasingly important component of charitable fundraising and retirement planning strategies in the years ahead.

The donor demographics reflected in the survey remained highly consistent with prior surveys. Immediate-payment annuitants averaged 79 years of age at the time of the gift, while deferred annuitants averaged 68 years of age. The survey also reinforces the role of CGAs within broader donor engagement and stewardship strategies. Respondents indicated that donors who establish CGAs are often more likely to increase annual giving and include charitable organizations in their estate plans.

Operationally, organizations continue to emphasize conservative financial management and regulatory compliance. Ninety-five percent of respondents reported offering annuities at or below ACGA suggested maximum rates, and 87 percent retain 100 percent of the contributed assets when setting up the CGA reserve. Most participating organizations also reported strong compliance with state filing and reserve requirements, including organizations operating across multiple states.

Investment performance remained favorable across responding organizations. Participants reported average annualized returns of 5.8 percent over the past 10 years, exceeding the benchmark assumptions used in the development of ACGA suggested payout rates. The results were derived from generally diversified reserve portfolios, with organizations maintaining meaningful allocations to equities, bonds, cash, and other investments.

Overall, the 2025 Survey demonstrates that charitable gift annuities continue to serve as a financially sound, donor-centered, and strategically valuable component of nonprofit planned giving programs. The findings reflect both the resilience of long-established CGA programs, and the evolving opportunities presented by changing donor demographics, retirement planning priorities, and recent legislative developments. For nonprofit organizations seeking sustainable fundraising tools that strengthen donor relationships while supporting long-term mission impact, charitable gift annuities remain a proven and responsible solution.