Donors who want to make a significant charitable gift and ensure an income stream may consider a charitable remainder trust. A charitable remainder trust (CRT) allows you to receive an income for life that may grow over time while providing a generous future gift for the causes that matter to you.
Similar to a charitable gift annuity, you will receive an income tax deduction in the year the CRT is established. However, it is necessary to select a trustee to administer the CRT. We can help you find a trustee who will understand your goals and ensure your income and charitable goals are met.
For those with appreciated assets, a CRT may be an especially attractive charitable giving technique. You may contribute such property to the trust, knowing the trust is exempt from tax when it later sells the appreciated property. By donating the assets directly to the CRT, you preserve the full fair market value of the assets, allowing more money to go to work for your income and charitable beneficiaries.
Contact us for more information on how a CRT may complement your financial and estate plans. We can provide personalized illustrations to inform your decision.