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Charitable Remainder Trusts

A Charitable Remainder Trust provides a means for using a portion of your assets to:

  • provide you with income during your life
  • make a gift of the remainder of the trust property to charity
  • enjoy significant tax benefits

A trust is simply a legal agreement that indicates how assets placed with a trustee will be managed. When a trust names a charity, such as the American Institute for Cancer Research as its beneficiary, it can offer a number of advantages.
The trust can be established as a charitable remainder unitrust that provides income payments that fluctuate depending on the value of the trust, or as a charitable annuity trust that provides fixed income payments established when the gift is made to the trust.
In either type of trust, a number of benefits are possible:

  • income for life
  • avoidance of capital gains taxes if the trust is funded with appreciated securities
  • immediate charitable income tax donation
  • possibility of reducing future estate taxes

Most important, for many people who establish charitable remainder trusts, is the satisfaction of knowing that they have made a significant contribution to the fight against cancer, while still satisfying their financial needs and security during their own lifetime.


Charitable Lead Trusts

The charitable lead trust is the reverse of the charitable remainder trust, as the charity (or charities) receives payments during the years the trust is in existence, as opposed to when the trust terminates.  It can also be established as a charitable lead unitrust that provides annual payments that fluctuate depending on the value of the trust, or as a charitable lead annuity trust that provides a fixed payment annually.
In either type of trust, a number of benefits are possible:

  • Can be a Grantor Trust where assets revert back to you when trust ends or;
  • A Non-Grantor Trust which passes to your named beneficiaries when trust ends
  • Can be a Living Lead Trust or a Testamentary Lead Trust

A Charitable Lead Trust provides a means for using a portion of your assets to:

  • Make payments to the charity(or charities)of your choice during term of trust
  • Avoid capital gains tax (non-grantor trust)
  • Immediate charitable income tax deduction
  • Stretched protection of the gift or estate tax credits or exemption for generation skipping transfer tax (non-grantor trust)

Most important, for many people who establish charitable lead trusts it is the satisfaction of knowing that they have made a significant contribution to the fight against cancer while still providing for future generations.

If you are considering a significant gift to the fight against cancer, please contact the AICR Office of Gift Planning.



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PLANNED GIVING GLOSSARY


AICR's OFFICE OF
GIFT PLANNING

We are ready to work with you or your financial advisor. Our staff can provide detailed information about the various types of planned gifts, and will work with you to help create the planned gift that works for you.

To reach an AICR Gift Planning staff person, send an e-mail to gifts@aicr.org or call:

1-800-843-8114
9 a.m. to 5 p.m. ET, Monday to Friday

 

Questions: Ask Our Staff

Talk to us!

Our planned giving staff is
here to help you!

Richard Ensminger

Richard K. Ensminger

Director of Planned Giving

Ann Wrenshall Worley

Ann Wrenshall Worley

Assistant Director of Planned Giving

Call Us: (800) 843-8114

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