Charitable Remainder Trusts: Planning for Now and Leaving a Legacy

May 24

No question – planning for a time when you’re no longer around is hard. If you’re like most people, the most important thing is being able to continue to protect the people you love. And for many people that have made philanthropy part of their mission, leaving a legacy ranks high as well. According to a recent survey, the top reasons for creating an estate plan are: 1) to provide for family financially (76.3%), 2) to streamline the inheritance process (65.5%), and 3) to leave a lasting legacy (36.8%).¹

There’s an estate planning tool that can accomplish all three objectives—and also provide tax advantages. Charitable remainder trusts (CRTs) can help transfer appreciated assets in a tax-efficient way with the ability to provide for a charitable cause.

The Structure and the Advantages

A CRT is a tax-exempt trust that allows you to donate to the charity of your choice, while provisioning for a noncharitable beneficiary,... ...