Planned Giving
Charitable Remainder Trusts
Susan
and Fred know what hard work is all about. And they have the
rewards as a result.
Susan: "I was one of the lucky ones. It was a very tough time
for me and my family, but they were there when we needed a
little help. Did it make a difference? Only in every aspect
of my life!
 Fred: "We know how important help is when it is needed, and we know
how difficult it is for them to maintain their facilities,
keep their equipment up-to-date, and get volunteers trained
and organized."
Susan: "We benefited because they had been supported by others before
us - but now we can give back. And what a joy it is to know
that when we no longer need it, part of it is going to someone
who does. It's awesome - we are changing lives!"
Fred: "That's why Susan and I made the decision. Not only will the trust provide income to us throughout
our lifetimes, but we have peace of mind knowing that the
remainder will benefit an organization that's doing really
good work."
There
are two different types of charitable remainder trusts.
 A
charitable remainder unitrust (see example)
is a popular way to achieve tax benefits as well as a fixed
annual percentage on the value of the assets in the trust.
The assets are revalued annually and, if the trust value changes,
the payment to the beneficiary(ies) changes.
A
charitable remainder annuity trust is set up to pay a fixed
rate of return based on the initial valuation at the time
the property is placed in the trust. The trust assets are
never revalued.
Some additional information on charitable remainder trusts is also available. Charitable
Remainder Trusts provide a good degree of flexibility that
is valuable in charitable gift planning. For example, a variation on remainder trusts can be an effective way to make gifts
of real estate. A graphic
example of a charitable remainder trust is available.
Susan and Fred are happy that they have made a difference;
a difference that will have a profound impact on the lives
of others.
Now
click here to meet Phil and Alicia. |
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