Planned Giving

Charitable Remainder Trusts

A Giving Scenario

Fred and Susan truly appreciated the quality programming of Community broadcasting. Their trust gift represents the single largest estate gift his station has received. This generous contribution will help ensure quality program offerings for years to come. The funds will be used to accommodate both their wishes.

Lizz Straight

Fred studied electrical and mechanical engineering at a Midwest university and was successful in the corporate world. He recently retired, selling the business he had worked so hard to build up.

"During a conversation with two of his longtime friends, we learned that he was particularly fond of our news programs, especially Democracy Now!," said a representative of their local community radio station. "His friends believed his work ethic and constant efforts for perfection were no doubt why he enjoyed such a hard-hitting news program. And one of the joys of his last several years was that he could keep up-to-date on the world while he and his wife spent time at their summer home."

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.

We know Susan and Fred were happy that they could make a difference; a difference that will have a profound impact on the lives of others.

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Please note, individual financial circumstances will vary. The information on this site does not constitute legal or tax advice. Donor stories and photographs are for purposes of illustration only. As with all tax and estate planning, please consult your attorney or estate specialist. All material is copyrighted and is for viewing purposes only. Use of this site signifies your agreement with the terms of use. The content in this Planned Giving section has been developed for WMNF by Future Focus under an exclusive licensing arrangement with MajorGiving.com, LLC. Please report any problems to webmaster. Revised: May 16, 2005 15:34.