Charitable Remainder Unitrust
Concerned about the high cost of capital gains tax with the sale of an appreciated asset? Already sold property at a gain and looking for a way to save on taxes this year while planning for retirement? If so, a charitable remainder unitrust might be right for you.
Benefits of a charitable remainder unitrust
- Receive income for life, for a term of up to 20 years, or life plus a term of up to 20 years
- Avoid capital gains on the sale of your appreciated assets
- Receive an immediate charitable income tax deduction for the charitable portion of the trust
- Establish a future legacy gift to our organization
How a charitable remainder unitrust works
- You transfer cash or assets to fund a charitable remainder unitrust.
- In the case of a trust funded with appreciated assets, the trust will then sell the assets free of capital gains tax.
- The trust is invested to pay income to you or any other trust beneficiaries you select based on a life, lives, a term of up to 20 years, or a life plus a term of up to 20 years.
- You receive an income tax deduction in the year you transfer assets to the trust.
- Legacy Deo (either outright or to an endowment we manage) or another charitable organization of your choosing benefits from what remains in the trust after all the trust payments have been made.
If you have any questions about a charitable remainder unitrust, please contact us. We are happy to assist you and answer your questions.
Charitable remainder unitrust for income. A charitable remainder unitrust pays you income that reflects the value of the trust's assets. Your income has the potential to increase over time as the trust grows in value.
How to select the right unitrust payout. There are several unitrust payout options to meet your needs. The best payout option may depend on the nature of the asset used to fund the trust. We would be happy to work with you and your tax advisor to determine which payout option is best for you.