Charitable Remainder Trust

A charitable remainder trust is a gift that allows you to give today (with immediate tax savings) while retaining the use of the asset or receiving the income that the asset generates. Assets used for charitable remainder trusts can include: real estate, stocks, bonds, mutual funds, etc.) After a prescribed period of time, or upon death, the asset is transferred to the charity.

Benefits:

• Feel secure knowing that you will receive income for life or retain the use of the property for life.
• Immediate charitable income tax receipt that you can use to off-set your current income.
• Can be structured to avoid capital gains tax.
• Avoid probate fees because this type of gift is not included in the value of your estate.
• Unlike a bequest, a charitable remainder trust cannot be challenged in court.

Considerations:

• A charitable remainder trust is irrevocable and terms cannot be changed.