I WANT TO CREATE INCOME
For Myself
You may be able to make a charitable gift and increase your annual income, especially if you have low-interest CDs or stocks that pay low annual dividends.

A charitable gift annuity offers you a way to support Saint Mary’s and lock in a fixed, high rate of return in place of the low rates CDs and money market accounts are paying. Rates are based on age, and range from 5.5% for age 60 (the minimum age) to 10.5 % for ages 90 and above.

You can diversify your income with minimal capital gains taxes. Transferring appreciated assets to a charitable remainder trust can alleviate your capital gains tax issues and diversify your income-producing investments—all while making a charitable gift and receiving a charitable income tax deduction.

Case Study
Mary ’44 and her husband enjoyed being retired. They split their time between the Midwest and Florida.

After her husband’s death, Mary downsized to a smaller home. She continued to travel visiting family and friends and classmates. She remained close to Saint Mary’s.

Stable income is important to Mary. She found that the charitable gift annuity offered by Saint Mary’s helped her accomplish two important goals: securing a guaranteed income for life that she could count on, and making a nice gift to Saint Mary’s. At age 86, the payout rate on the charitable gift annuity is 9.2.

It is a simple process to establish a charitable gift annuity at Saint Mary’s. The annuity assets are managed professionally. Your money continues to work for you and ultimately for Saint Mary’s.

You can turn real estate into an income through a charitable remainder trust that produces income for your lifetime or for a loved one.

You can turn real estate into income. If you plan to downsize from your primary residence or have vacation property that you no longer want, these real estate assets could be used to fund a charitable remainder trust that produces income for your lifetime or for a loved one.

Case Study
If you own a vacation home that you find you no longer get to as often for a variety of reasons, you can turn that property into a meaningful charitable gift and create an income stream at the same time. Here is what you do:

  • Donate the property to a charitable remainder trust
  • Trustee sells the property and reinvests in a diverse portfolio of liquid assets
  • You claim a charitable deduction
  • After the property is sold, you or your designated income beneficiaries receive an income for life from the trust at a 5 percent payout rate

After the death of the income beneficiary, the trust principal benefits Saint Mary’s College.


For a Parent

Case Study
Peggy ’61 is a partner in a big city law firm. She attended Saint Mary’s on scholarship. Now that she has the means, she would like to give back in two ways: provide income for her aging mother and establish a scholarship at Saint Mary’s.

Peggy used the charitable gift annuity at Saint Mary’s to direct income to her mother. The annuity rate is determined by her mother’s age, which is 10.5% for age 90. Peggy can claim a charitable tax deduction in the year she makes the gift, which is helpful given her high income tax bracket. (Note: only the charitable portion of the gift is deductible.)

There may be gift tax considerations for Peggy since she made a gift to her mother of the life income stream. Saint Mary’s can help determine what size gift would keep Peggy’s gift tax obligation within her gift tax exclusion.


For a Child or Grandchild
You may wish to help fund an education for a child or grandchild. A charitable remainder trust can help reach that goal and reduce your taxable estate in the process.

Case Study
Bob and Mary Lou ’59 want to provide funds for their three-year old granddaughter’s college education. Mary Lou is celebrating her 50th Reunion and wants to make a significant gift to Saint Mary’s to mark the occasion. A charitable remainder trust can do both.

Highly appreciated stocks in which there is a large capital gain and which you have held for a long time are the asset of choice to fund a charitable remainder trust to benefit their granddaughter’s education.

Here’s how the Term-of-Years Charitable Remainder Trust works:

  • Mary Lou donates $150,000 of appreciated stock to trust
  • Mary Lou claims a charitable deduction of about $50,000
  • Trustee sells stock in the trust with no capital gains tax for Mary Lou*
  • Trustee invests for growth of principal during the first 15 years. Assuming an 8 percent growth rate over that period and a 6 percent payout during the last four years, the granddaughter will receive approximately $28,000 each year, between ages 18 and 21
  • At the end of the trust term, the remaining principal will pass to Saint Mary’s to create an endowed scholarship fund

*Note: A trust that pays income to a grandchild will involve gift and/or generation-skipping tax considerations when the trust is funded.


For My Family After My Death

Case Study
John wants to create a scholarship at Saint Mary’s in memory of his late wife, Mary. He also would very much like to leave a legacy to his brother’s two children.

John consults with his advisors and learns he can do both. Upon John’s death, his bequest to Saint Mary’s will initially be used to fund charitable gift annuities for his niece and nephew. After their deaths, the principal of John’s bequest will be used to establish the endowed scholarship fund at Saint Mary’s in memory of his wife, Mary.

For Retirement
As you plan for retirement, consider whether these long-term goals are important to you:

  • A high rate of retirement income
  • An immediate federal income tax deduction
  • A meaningful gift to Saint Mary’s

One of the most useful life income gift arrangements for retirement planning is the deferred payment gift annuity. In the illustrations that follow, you can see how an alumna from the Class of ’67 used a deferred payment gift annuity to make her 35th reunion gift, and the creative way a member of the Class of ’65 set up a laddered gift annuity plan to create a fixed income component of her retirement portfolio and memorialize her favorite Saint Mary’s professor.

Case Studies
When planning to leave her position of many years as a senior vice president for a major financial company, Anne ’67 reviewed her financial plans. She wanted to downsize from her large home to a condo in the city and needed a tax deduction to help balance her capital gains. Upon further review, she felt she should add a fixed income component to her retirement portfolio. Finally, she felt now was the time to provide for Saint Mary’s in her long-term plans.

Anne learned she could accomplish all of the above through a gift to Saint Mary’s of a deferred payment gift annuity. She was able to claim an immediate charitable income tax deduction and lock in a high fixed annuity payment which would begin when she was age 65. She was very pleased to be recognized as a generous benefactor to Saint Mary’s.

Sample Rates for Deferred Payment Gift Annuities

Current Age

Deferring to Age

Rate

50

60

9.2%

55

65

9.7%

50

65

12.6%

60

65

7.5%

Note: Payments may not begin before age 60. Minimum gift amount is $25,000.

Can your valuable artwork* or antique finance your retirement? Yes, if you donate the item to a charitable remainder trust. The trustee will sell the asset and invest the proceeds in order to generate income for you (or the beneficiary you choose). After the beneficiary’s death, the remaining principal will go to the charity or charities you specified.

* Note that you cannot donate a work of art to Saint Mary’s and derive income from it. Either it will hang on the wall at Saint Mary’s or it will be sold in a trust to produce income for you. It cannot do both.

To Help Someone
You may want to offer financial assistance to a family friend or someone important in your life. You can provide a pension for a long-time housekeeper or groundskeeper, or offer assistance to a friend who has been less fortunate. Saint Mary’s life income gift arrangements offer a tax-effective and private way to help.

Through a life income arrangement, you provide an income stream for your family friend or other important person in your life while ensuring that the principal will ultimately benefit Saint Mary’s.

Case Studies
Louise ’45 wanted to add to the retirement income of her long-time housekeeper who was in her 70’s. Using charitable gift annuities, Louise locked in a high fixed rate of return for her housekeeper for her lifetime.


The income beneficiary, in this case Louise’s housekeeper, receives income based on her date of birth. Louise claimed a charitable tax deduction for the gift. Saint Mary’s worked with Louise’s financial advisors to determine the size gift that would keep Louise within the annual gift tax exclusion. Louise is considering repeating her gift in future years.

Susan ’69 wants to express her gratitude to the caregiver who devoted 15 years to Susan’s children when they were small. The caregiver is not yet retirement age. Susan learned she could accomplish this through a charitable remainder trust at Saint Mary’s which would initially be invested for growth and pay little income now. The trust will “flip” to produce more income with the caregiver reaches age 65. The trust principal will go into the Saint Mary’s endowment at the caregiver’s death.

Jessica ’45 wished to augment the retirement income of two long-time housekeepers who were both in their 70s. Using charitable gift annuities, Jessica was able to lock in a high fixed rate of return for each of these friends for their lifetimes.

“It feels good to help people who have meant a lot to my family, and to know that ultimately my gifts will support the mission of Saint Mary’s College.”

Each income beneficiary receives income based on her date of birth. Jessica claimed a charitable tax deduction for each gift. (Note: only a portion of the gift is deductible, since it is only partially charitable). Saint Mary’s helped Jessica determine what size gift for each housekeeper would keep her within the $11,000 annual gift tax exclusion. She repeated her gifts the next year.

Elaine ’69 wanted to provide a “pension” of sorts to the nanny who devoted ten years to Elaine’s boys when they were small. Because the nanny is not yet retirement age, Elaine used a charitable remainder trust invested initially for growth which pays little income now. The trust will “flip” to produce more income when the nanny reaches age 65.

For Charity
You can create a current stream of income for Saint Mary’s and/or other charities for a period of years, after which the remaining trust principal passes to the parties you designate—usually children or grandchildren. Saint Mary’s benefits immediately through annual payments from the trust, and trust assets can continue to grow before they pass to the next generation.

A charitable lead trust can effectively transfer assets from one generation to another at significantly reduced gift and estate taxes, preserving more of your assets for the purposes you choose.

Because an amount has been distributed to charity, the gift or estate taxes due on the transfer to heirs can be greatly reduced. If such a trust is created during the donor’s lifetime, gift tax may be due when the trust is established, depending upon how much income will go to charity. Any appreciation in the trust passes to heirs with no additional tax due. Assets donated to the trust may be sold or held intact if they can produce the required income stream. Donors sometimes use businesses or closely held stock to fund these trusts.

Case Study
Tom and Sarah ’63 own a business worth $1 million that their children would like to operate in the future. Both of their schools have launched major campaigns and contacted them for a gift. They would like to do something significant for both institutions.

They fund a charitable lead trust with the business, designating that Saint Mary’s and Tom’s school split 5% of the initial value ($50,000) each year for ten years. At the end of 10 years, the business will pass to their children with no additional tax due.

Since the business produces $50,000 in income, it does not have to be sold for reinvestment. No gift tax was due at the time the trust was created because the future gift to their children is less than the gift tax exemption level.

When the trust terminates in 10 years, each school will have received $250,000, and the business, expected to increase in value over that time, goes to their children with no additional tax liability.

 

 

I WANT TO USE THESE ASSETS
Cash
The simplest gift to Saint Mary’s is a check made payable to “Saint Mary’s College.” It is also easy to use a credit card via Saint Mary’s secure Web site. Go to ------- to make a gift.

CDs coming due? In the current low interest rate environment, it may be advantageous to convert the cash in your low interest CDs into a higher-rate charitable gift annuity.

  • The minimum gift is $25,000.
  • Rates are based on the beneficiary’s age and range from 5.5% for age 60 to 10.5% for ages 90 and above.
  • Rates are fixed and guaranteed, and payments continue for the beneficiary’s lifetime.
  • Younger donors can fund deferred payment gift annuities that will start returning income at age 60 or older.
  • Annuities based on two lives are also available, but the rates are generally lower.

 

Securities and Mutual Funds
Why use appreciated securities or mutual fund shares to make a gift? The key term is “appreciated.” Donating long-term appreciated securities allows you to give away all (or at least some) of your capital gain, rather than pay taxes on it and you get a charitable tax deduction besides.

Be sure you have owned the shares at least 12 months and one day (the IRS definition of “long-term”). If you have a loss in your shares, you should sell them, claim the loss on your federal taxes, and donate cash to charity.

You may be able to make a charitable gift and increase your annual income, especially if you have low-interest CDs or stocks that pay low annual dividends. A gift annuity offers you a way to support Saint Mary’s and lock in a fixed, high rate of return in lieu of the low rates that CDs and money market accounts are paying. Rates are based on age.

Are you reluctant to make changes in your investment portfolio because of capital gains? Do you hold a large position in family stock? Have you been given stock with a low basis? Many donors are amazed at the diversification they can achieve (without capital gains tax pain) when they fund a charitable remainder trust that returns lifetime income to them and passes to charity at their death. Transferring appreciated assets to a charitable remainder trust can alleviate your capital gains tax issues and provide a way to diversify your income-producing investments—all while making a charitable gift and receiving a charitable income tax deduction.

Case Study

Pat ’48 and her husband enjoyed an active life together summering in the Midwest and wintering in Florida. After her husband’s death, Pat sold their Florida home and settled closer to family. She had always been close to her Saint Mary’s friends and decided the time was right to consider a gift to her alma mater. Stable income was important to Pat. After thoughtful review, she established a charitable gift annuity with Saint Mary’s as part of her 60th reunion gift. The annuity assets are professionally managed with the college’s endowment, and Pat knows her assets are now working for both her and Saint Mary’s.

Margaret ’65 enjoyed a successful career in marketing. Approaching retirement and looking forward to her 50th reunion at Saint Mary’s, she outlined three financial planning objectives:

  • Increase her retirement income
  • Diversify her portfolio with minimal capital gains tax
  • Make a significant gift to Saint Mary’s in honor of her 50th reunion

Margaret opted for a charitable remainder trust to achieve her goals that she funded with a low-cost, low-yield security. When the trust sells the security, Margaret will enjoy increased substantial tax benefits and immediate diversification through reinvestment. The expectation is that the trust principal will increase over time. When Margaret no longer needs the income, the principal goes to Saint Mary’s for the benefit of student financial aid.

As she approached retirement from her career in banking, Kara ’51 had three objectives:

  • Increase her retirement income
  • Diversify her portfolio—overweighted with one stock—with minimal capital gains tax
  • Support Saint Mary’s College

A charitable remainder trust helped her achieve those goals.

“I created a charitable remainder trust for Saint Mary’s benefit, funded by one low-cost security. This move provided instant diversification, higher yield, and substantial tax benefits. Over time, growth of principal should increase my income and leave greater capital for Saint Mary’s. I’m particularly pleased that these gifts will ultimately benefit the students of Saint Mary’s College.”

Real Estate
There are many ways to structure a gift of real property for a charitable organization. Whether your objective is to dispose of property that you no longer want or need, downsize from a primary residence, live in your house and achieve an income tax deduction, or even receive a stream of income in exchange for the property, chances are there is an arrangement that might work for you. Read on for illustrations of gifts using real property.


AN OUTRIGHT GIFT
You may deed Saint Mary’s your property with no strings attached, gain an income tax deduction for the appraised value of the home, and designate how you would like your contribution to be used to further Saint Mary’s mission.

Case Study

Frances ’55 could no longer make the journey to her vacation home, and her children were not interested in it either. For a long time she had considered establishing a scholarship at Saint Mary’s in honor of her parents. After discussion her intention with Saint Mary’s, she decided to gift her vacation home. Frances got an appraisal for the property and was able to claim an immediate tax deduction for the value of her home. She avoided capital gains tax and Saint Mary’s was able to sell the property and use the proceeds to establish Frances’s scholarship honoring her parents memory.


A GIFT AT A BARGAIN PRICE
If you’d like to make a gift to charity but you need some of the proceeds from the sale of your home, you can agree to sell Saint Mary’s your home at a bargain price. This is called a bargain sale.

Case Study

Alice ’44 was moving from her home to an independent living community. Saint Mary’s was already named as a beneficiary in her will but she wanted to make an outright gift in honor of her family. She did not need all of the proceeds from the sale of her home which was valued at $500,000, but she did need $200,000 for her new condo. Alice sold her home to Saint Mary’s for the bargain price of $200,000 and claimed a charitable income tax deduction of $300,000. Saint Mary’s then sold the property to fund her gift.

Alice was responsible for the capital gains tax on the sale portion of the home ($200,000 or 40% of the actual capital gain) which fell below the $250,000 individual’s exemption resulting in no capital gains due.

A GIFT SUBJECT TO A LIFE ESTATE
It’s possible to continue to live in your home during your lifetime and irrevocably deed it to charity at your death. The gift arrangement is called a retained life estate. A donor can claim a federal income tax deduction for a portion of the value of the property, and remains responsible for all the taxes, maintenance and insurance while she is alive. If at any time the donor decides to move from the property, the gift can be accelerated and an additional income tax deduction may be taken.

Case Study

Marilyn ’52 lives in South Bend, Indiana. When her husband died and with her children living on both coasts, Marilyn explored a gift to Saint Mary’s using her home. She wanted to continue living there as long as possible. After careful consideration, Marilyn entered into an agreement with Saint Mary’s formally donating her house but keeping the right to live in it for her lifetime. This is a “retained life estate”. In the year the agreement is made, Marilyn could claim a charitable income tax deduction for a portion of the value of her home. She continues to live in her house as usual. Upon her death, Saint Mary’s can sell the house to fund Marilyn’s gift.

If Marilyn decides to move sooner, she can accelerate her gift to Saint Mary’s and would be entitled to an additional charitable income tax deduction.

A GIFT WITH AN INCOME STREAM
If you don’t mind moving from your home, and don’t need the proceeds to purchase another residence, but you do want to secure an income stream, here is a gift arrangement that might meet your objectives.

Case Studies

Jim and Carol ’62 have owned homes in Hilton Head and Chicago for years. When they retired, they decided to sell their house in Chicago and move permanently to Hilton Head. This presented them with an opportunity to consider a larger gift to Saint Mary’s. They do not need the proceeds from the sale to purchase another home, but they would like an income stream for retirement and a tax deduction.

Bob and Carol turned their home into a meaningful gift to Saint Mary’s and an income for the rest of their life. Here is what they chose to do:

  • They donated the home to a charitable remainder trust
  • Trustee of the trust sold the house and reinvested in a diverse portfolio of liquid assets
  • They claimed a charitable income tax deduction for a portion of the home’s value the year the gift was made
  • After the property was sold in the trust, they received an income for life at a 5% rate

After the death of both Bob and Carol, Saint Mary’s will receive the trust principal to fund a gift in the area of their choice.


Life Insurance
Do you own paid-up life insurance that is no longer needed for its original purpose? Are your children self-supporting? Have you sold your business? Consider your insurance policy an asset that is easy to give away to charity! You would be allowed a charitable income tax deduction for the cash surrender value of the policy.

Other assets to consider are real estate, works of art or your existing life income gift. It is possible to surrender your life income interest in your pooled income fund, charitable remainder trust or gift annuity and gain gift recognition and an additional tax deduction for the future income stream that you have given up.

Case Study

Linda ’61 owned a paid up life insurance policy that was no longer needed for its original purpose. She decided to donate the policy to Saint Mary’s as her gift in honor of her 50th reunion. The process is simple. Linda named Saint Mary’s College, Notre Dame as the owner and beneficiary of her policy. Saint Mary’s immediately turned in the policy to realize the funds. Linda claimed a charitable income tax deduction for the surrender value of her policy. Linda was responsible for getting an independent qualified appraisal of the policy.


Retirement Funds

Is a tax-deferred retirement account a good asset to pass on to your heirs? In many cases the answer is no. At your death, any unused retirement assets are subject to two potential tax liabilities:

  • Income taxes at the beneficiaries’ own tax rates
  • Estate taxes

Total taxes on the IRA assets can be extremely high -- even up to 80 percent. You can avoid this depletion by naming Saint Mary’s College (or another charity) as beneficiary of your IRA and directing other, less tax-encumbered assets to heirs. This strategy can result in more assets reaching your heirs.

Tangible Personal Property
Your antique furniture or valuable artwork could make a wonderful charitable gift. In fact, donating a valuable item to charity can help reduce your taxable estate.

If your gift of tangible personal property is for a purpose related to Saint Mary’s educational mission, we will be happy to talk with you about it. Books, artwork and equipment can be highly welcome additions to Saint Mary’s academic offerings and physical resources.


If the college is willing to accept the item you propose to donate, you can claim a full fair market value deduction on your federal taxes. The IRS requires that you obtain a qualified appraisal of the donated item if it is worth more than $5,000, and the rules are quite specific. See IRS Publication 561, Determining the Value of Donated Property. (Please call the Office of Planned and Special Gifts for more information.)

Your charitable deduction is limited to 30 percent of your adjusted gross income in the year of the gift. Any excess deduction that cannot be claimed in the year the gift is made can be carried over for up to five additional years.

What about personal property that Saint Mary’s cannot use? What would the college do with your antique car? Your 20-foot boat? Your grandmother’s broach? There may be charitable organizations that can accept those gifts in furtherance of their missions, but Saint Mary’s cannot. If Saint Mary’s accepts a gift that it cannot use, it will sell the item. That will limit the charitable deduction that the donor can claim to his or her cost basis in the donated item.


Existing Life-income Gift
If you currently receive payments from a life income gift that you no longer need, you can renounce your remaining life interest in that gift and receive an immediate income tax deduction for the present value of the income you’re giving up. Saint Mary’s will also give you gift credit, which counts toward your class goal and toward the campaign.

Case Study

Irene returned to Saint Mary’s to celebrate her 70th reunion. In honor of this momentous occasion, she wanted to make a special gift to Saint Mary’s. Irene and her late husband funded a charitable remainder trust in the 80’s. The trust had been generating annual income payments for Irene over the past 25 years. She found that she did not need the income anymore.

Irene gave Saint Mary’s the principal in her charitable remainder trust now instead of at her death. She was able to see the principal, which had appreciated over the years, provide funds to Saint Mary’s during a time of growth and intellectual excitement. And Irene received an additional income tax deduction for accelerating her gift.

 

 

I WANT TO LEAVE A BEQUEST
You may make a bequest using a will, trust, retirement assets, or life insurance.

Whatever way you choose to include Saint Mary’s in your estate plans, please let the college know you have done it, so you can become a member of The Mother Pauline Society.

You may use this form to signify your bequest intention. There is also specific language you or your attorney may wish to use to make a bequest with various instruments.


Through a Will
Making a will is a wonderful way to take stock of your values and priorities. The first step is usually to ensure that your loved ones are provided for. You then have the opportunity to consider whether you might leave a legacy to your favorite charities.

Remember that your non-profits rely on you year-in and year-out. Whether you are a volunteer, an occasional donor, or an annual contributor, your charities will miss you when you are gone, and your death will leave a gap that no one else can fill. Consider leaving a portion of your estate to charity.

It is recommended that you articulate your charitable gifts as percentages of your estate, rather than specific dollar amounts. Statistical evidence indicates that most people leave larger estates than they anticipate.

You may use this form to signify your bequest intention. There is also specific language you or your attorney may wish to use to make a bequest with various instruments.


...Through Life Insurance

Life insurance that is not needed by family members can be designated for Saint Mary’s and/or other charities. Simply list Saint Mary’s College on the beneficiary designation form (a link to the document is provided below). The college’s tax I.D. number is 35-0868158 and may need to be provided to your insurance company. If you need further assistance, please contact the Office of Planned and Special Gifts.

If you are carrying an active life insurance policy that you no longer need, consider donating it outright to Saint Mary’s. You will receive gift recognition, and the college will put the proceeds from the policy to work right away.

Case Study
Jo Ann and JudeAnne, both members of the Class of '52, owned paid up life insurance policies that were no longer needed for their original purposes. They decided to donate the policies to Saint Mary’s. The process was simple: Jo Ann and JudeAnne named Saint Mary’s College as owner and beneficiary of their policies, Saint Mary’s surrendered the policies to realize the funds immediately, and Jo Ann and JudeAnne claimed charitable income tax deductions for the surrender value of their policies. (Donors are responsible for obtaining an independent qualified appraisal of the policy.)

"We no longer needed the policy for its original intention, and the money wasn't growing for us. The cash value was close to the face value, and it pleased me that I could use the policy to make a gift to Saint Mary’s. It was a simple process, and I was able to get the gift matched as well!"
-Jo Ann '52

"It was an easy decision to make. The asset was there and not needed anymore. Saint Mary’s mission is very important to me, so what better way to use the policy than to support my college? In today's world, Saint Mary’s an exciting place to be, and I was happy to complete the gift in honor of my 50th reunion."
-JudeAnne '52

 

. . .Through Retirement Funds
Retirement assets are easily designated for charity on the beneficiary designation form. You can name a charity to receive 100 percent or a portion of your retirement account upon your death.

Your asset manager may require a tax identification number in order for you to designate Saint Mary’s College as a beneficiary. The college’s tax id number is 35-0868158. Please contact the Office of Planned and Special Gifts. We will respond promptly with the information that you need.

Retirement assets have never had taxes paid on them, so they are subject to income taxes when you withdraw them. If you die before withdrawing them, your heirs must pay the income taxes on the assets at their own respective tax rates. If you have a taxable estate, the assets will also be subject to inheritance taxes.

In addition, an article by the manager of estate planning for Mellon Private Asset Management, outlines the elements of using retirement assets to fund a charitable gift.

If you name Saint Mary’s as beneficiary of your retirement assets, please send us a beneficiary designation form to let us know how you would like Saint Mary’s to use your gift when it arrives.


. . .Through a Trust
To benefit Saint Mary’s (or other charities) after your death through a trust, please consider one of the following different forms of trusts.

Testamentary charitable remainder trust
A charitable remainder trust created upon the donor’s death can provide a lifetime income stream to a family member or friend, with the principal of the trust ultimately devolving Saint Mary’s and/or other charities.

See charitable remainder trust for more information about the structure and function of these gift vehicles. Please consult an attorney for information about incorporation a testamentary charitable remainder trust into your estate plan.

Testamentary charitable lead trust
A charitable lead trust created upon a donor’s death can delay the passage of assets to family members until they are older and provide current income for charities in the meantime.

See charitable remainder lead trust for more information about these trusts, and ask your attorney whether a testamentary lead trust (or a testamentary lead trust in combination with a testamentary charitable remainder trust) may be a good planning tool for your family.

Living trust
A living trust is a document with which you direct the transfer of your assets at your death. A living trust can help assets pass outside of the probate process, can continue after your death, and is revocable at any time. Your attorney or financial advisor can discuss if this instrument may work for your individual situation.