University of Wisconsin - Stout

Charitable Remainder Trust

A charitable remainder trust is a gift plan defined by federal tax law that allows you to provide income to yourself or others while making a generous gift to the Stout University Foundation. The income may continue for the lifetimes of the beneficiaries you name, a fixed term of not more than 20 years, or a combination of the two.

How It Works

You transfer cash, securities or other property to a trust
   

You receive an income tax deduction and pay no capital gains tax.

During its term, the trust pays an income each year to you or to anyone you name. A charitable remainder unitrust pays a percentage of its value each year. A charitable remainder annuity trust pays a fixed amount each year.
   
When the trust ends, its remaining principal passes to the Stout University Foundation to support the program of your choice.
   

Benefits Include:

  1. You will qualify for a federal income tax deduction.
  2. The income beneficiaries you name will receive annual income for life, or for the period you designate.
  3. If you fund the trust with an appreciated asset and the trust sells it, there will be no immediate tax on the capital gain. If you were to sell such an asset yourself, you would owe tax on all the capital gain realized in the sale.
  4. Your estate may enjoy reduced probate costs and estate taxes.
  5. You will provide generous support of the Stout University Foundation.
  6. Your gift will benefit from expert asset management, provided by the same professionals who manage the Stout University Foundation's endowment.
  7. Membership in the Bowman Society

This is not intended to render legal, accounting or other professional advice. If legal advice or other expert assistance is required, the services of a competent professional in the respective field should be sought.

Other Types: