Charitable Remainder Trusts
Goal: Secure payments for life while reducing market risks
Benefit: Potential increased income and tax benefits
Susan and Fred know what hard work is all about. And now they have some time to relax a bit.
Susan: "When I was a young girl, it was my grandmother. A few years ago it was my mother and just before her my father."
Fred: "We know how important it is when you are dealing with a huge emotional issue and trying to take care of someone who is failing."
Susan: "We have benefited from exemplary care for those we love and we were comforted knowing the transition was made easier for them."
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 other people and the local community as a whole."
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.
Additional information on charitable remainder trusts is available. Charitable remainder trusts provide a good degree of flexibility that is valuable in charitable gift planning, especially when dealing with appreciated assets. For example, a variation on remainder trusts can be an effective way to make gifts of real estate.
Susan and Fred are happy that they have made a difference; a difference that will have a profound impact on the lives of others.
We would like to help make certain your intentions are executed accordingly. For more information about the importance of having a will, please email or call the Vice President of Development, Sharon A. Jones, at 352 379-6226. We are happy to answer questions and offer suggestions confidentially based on your personal circumstances.