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Home > Planned Giving > Unlock Your Income Power With a Unitrust Unlock Your Income Power With a UnitrustAre you worried about future inflation?A charitable remainder unitrust can provide you with payments that can potentially increase over time if the trust assets increase in value.] Susan, 60, wants to make a gift to Sisters Hospital Foundation but is worried about having enough money to pay her bills and cover unexpected expenses. Gift: Susan creates a charitable remainder unitrust with annual lifetime payouts to her equal to 6 percent of the fair market value of the trust assets. She funds the trust with $100,000 in stock, which she originally bought for $30,000. The stock paid her annual dividends of $2,000. Benefits to giver: Susan receives $6,000 the first
year from the trust, tripling her previous investment income.
Subsequent payout amounts vary each year depending on the annual
valuations of the trust assets. She is eligible for a federal income
tax charitable deduction of $32,831* in the year she creates and funds
the trust. This deduction saves Susan $8,208 in her 25 percent tax
bracket. Benefits to Sisters Hospital Foundation: At the end of the trust term (in this case, after Susan?s lifetime), we will receive a projected $126,973 to continue our charitable work, based on 7 percent growth of the trust?s assets. *Based on annual payments and a 3.4 percent charitable midterm federal rate Read how [DONOR] arranged a charitable remainder trust to benefit Sisters Hospital Foundation. < Please call Julie Snyder at 716-862-1992, or e-mail us at jsnyder@chsbuffalo.org, for more information. Copyright © The Stelter Company, All rights reserved.
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legal advice, please consult an attorney. Figures cited in examples are
for hypothetical purposes only and are subject to change. References to
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