A long-time California resident, Richard Paegelow had not stepped inside a Smithsonian museum in years. It was not until he began managing his mother’s retirement funds that he reconnected with the institution he had visited as a high school student.
“My mom subscribed to the Smithsonian Magazine, and an ad about charitable gift annuities caught our attention,” recalled Richard. That same ad prompted him to explore charitable gift annuities for himself and become personally engaged in the work and future of the Smithsonian, joining the Smithsonian Legacy Society in 2003.
Richard had the opportunity to visit the Smithsonian Tropical Research Institute in Panama and has worked to establish a research partnership between STRI and his alma mater, the University of Kansas. Since that visit, he has established additional gift annuities, designating STRI researchers as ultimate beneficiaries.
During the 2023 Annual Smithsonian Weekend in Washington, DC, Richard came across another newspaper article that sparked his interest in a new charitable gift annuity opportunity. For the first time, IRA holders 70 ½ years old or older were allowed to fund a charitable gift annuity funded through a Qualified Charitable Distribution (QCD)*. Richard worked with Smithsonian’s Gift Planning team to become the first donor to establish a charitable gift annuity using a distribution from his IRA.
As a former business owner, Richard is attracted to the flexibility and security that charitable gift annuities offer.
“Gift annuities are an important part of my retirement planning,” he said. “They worked extremely well for my mother, who benefitted from immediate annuities for over 10 years. In my case, a combination of deferred annuities with flexible start dates and immediate annuities are providing a nice source of retirement income. In addition to attractive benefits and tax advantages, I am supporting a great institution and its future.”
To learn more about this charitable opportunity, contact the Office of Gift Planning at 888-419-7584 or legacy@si.edu today.
* Under certain circumstances, a donor can make a one-time tax-free Qualified Charitable Distribution (QCD) from their IRA in exchange for a life income gift. This once-in-a-lifetime election is subject to certain limitations. Please reach out to the Office of Gift Planning at 888-419-7584 for more details.