We have a new charitable gift annuity in relation to our endownment account. The total gift is $15,000. A donor wrote us a check for $10,000 and donor will receive $147.50 or $590 per year. Donor said check was for two years and I don't know if he will pay the final $5,000 next year or the following year if he skips a year. The donor is in their 80's and our organization will be the beneficiary once they pass. So with this information, what do we do on our books.
Do we record the $10,000 as an asset under Endowment account as some sort of liablity?
Please advise, thank you