Charitable Remainder Annuity Trust
A charitable remainder annuity trust provides a way to earn a fixed income (for life or a number of years), while also helping you to save on the high cost of capital gains tax associated with the sale of an appreciated asset. This solution provides a way for you to save on taxes from property you intend to sell, as well as helps you continue to plan for retirement.
Benefits of a Charitable Remainder Annuity Trust
- You will receive a fixed income for a lifetime or a term up to 20 years
- Avoid capital gains tax on the sale of appreciated assets
- Receive an immediate charitable income tax deduction for the charitable remainder portion of your gift
How a Charitable Remainder Annuity Trust works
- You transfer cash or assets to fund a charitable remainder annuity trust.
- In the case of a trust funded with appreciated assets, the trust will then sell the assets tax-free.
- The trust is invested providing a fixed income paid out to you or any other trust beneficiaries you select based on a life, lives, or a term up to 20 years.
- You receive an income tax deduction in the year you transfer assets to the trust.
- Christian ministries continue to benefit from the remainder of the trust (after all the trust payments have been made).
Addition Information on a Charitable Remainder Annuity Trust
The unpredictability of a fluid stock market can be a source of unnecessary stress. A charitable remainder annuity trust alleviates this stress and adds peace of mind by providing fixed payments to you. This yearly fixed payment amount is based on the value of the property at the time the trust is funded.
Contact us
Our goal is to offer you the best, God-honoring solution for your financial legacy. If you have any questions about this or any other giving solution, please feel free to contact us. It would be our privilege to assist you and answer any questions you may have.
