Charitable Remainder Unitrust

Rewarding Your Love of America

The charitable remainder trust is a remarkably versatile planned giving vehicle that can accomplish many objectives, whether it’s providing for several loved ones or making use of a tangible asset such as real estate. Since a charitable trust is governed by its own legal document, a trust can be finely tailored to your individual needs. It’s a wonderful gift that can provide you lifetime income, a charitable income tax deduction, estate tax savings, and even capital gains tax savings on appreciated assets.

A trust’s payout rate is determined by you at the time the trust is set up. While the payout percentage remains the same for life, the rate will be multiplied against the trust’s value every year in order to determine your annual income. As a result, your income will fluctuate from one year to the next, and the hope is that your principal will grow over time. However, since trust investments are more closely tied to market fluctuations than a fixed income gift like a charitable gift annuity, for example, it is not possible to predict future income.

If you choose to name additional beneficiaries, the trust will continue to pay income in the same manner to the surviving beneficiaries for the remainder of their lives.

When there are no longer any income beneficiaries, your remaining trust principal becomes a gift to Heritage. The minimum gift required to set up a charitable trust with The Heritage Foundation is $100,000, although you may also name Heritage the charitable beneficiary of a trust managed by your own financial institution.