TAX CONSIDERATIONS FOR CHARITABLE GIFT ANNUITIES

When you establish a charitable gift annuity, you receive an immediate charitable income tax deduction for a portion of your gift. You also benefit from favorable tax treatment of the annuity
payments you receive – a portion of each payment is tax-free.

If you donate appreciated assets (like securities), you avoid capital gains tax on the appreciation, and
you receive a charitable deduction for the gift portion. As you plan your payment strategy, you have three options:

With a Current charitable gift annuity, your payments begin within a year of the gift date. You may transfer cash or property in exchange for our promise to pay you fixed payments beginning as
early as this year. You will receive an income tax charitable deduction this year for the value of your
gift to Adoratio Foundation.

With a Deferred charitable gift annuity, your payments begin at future date, such as when you
retire. With a deferred gift annuity, you establish the gift annuity today, receive a charitable income tax deduction this year, but defer the payments (which tend to be higher) until a designated date
sometime in the future.

With a Flexible deferred charitable gift annuity, you have flexibility as to when the payments
begin.  As with a deferred gift annuity, you establish the annuity today and receive a charitable deduction this year, but the payments are deferred until such time as you elect to begin receiving the
payments.