The Fargo woman had inherited the stock and it had greatly appreciated. However, Crary did not want to sell it because of concerns about state and capital gains taxes. A charitable gift annuity was perfect for her. "I had read about these things, but I didn't know how they worked," she said. "It suited all our needs."

A gift annuity makes it possible to transfer cash or marketable securities such as stocks or bonds to the NDSU Development Foundation. In exchange, the person and/or someone else the person designates will receive fixed payments for life. The giver also receives part of the payments tax-free.

As an example, if a person at age 75 transfers $10,000 for a gift annuity agreement, the person is permitted to deduct over $5,000 as a charitable gift in the year the gift is made. The person receives A $770 payment each year, but only has to report $372 on his federal income tax return each year for approximately the next 12 years. At the giver's death, the foundation's obligation to make the payments ends and the gift continues to be used to benefit NDSU.

"This is a great way to give," said M. Scott Barrett, NDSU Development Foundation development associate. "You can enjoy the satisfaction of making substantial gifts while knowing you have been prudent in planning for your future economic needs and those of people who depend on you."

It's an option that Crary encourages others to consider. "NDSU has always meant a lot to me," said Crary, who majored in education. "That's where I did my growing up. Four of six children graduated from the school. I like to promote education and NDSU is a major player in North Dakota history."