Discover a Gift That Is Truly Win-Win
Charitable Remainder Trusts
Looking for a way to give the University a significant gift? If you have built up a sizeable estate and are also looking for ways to receive reliable payments, you may want to check out the advantages of setting up a charitable remainder trust.
Benefits of a charitable remainder trust include:
- Potential for a partial charitable income tax deduction
- Potential for increased income
- Up-front capital gains tax avoidance
There are two ways to receive payments with charitable remainder trusts:
The annuity trust pays you, each year, the same dollar amount you choose at the start. Your payments stay the same, regardless of fluctuations in trust investments.
The unitrust pays you, each year, a variable amount based on a fixed percentage of the fair market value of the trust assets. The amount of your payments is redetermined annually. If the value of the trust increases, so do your payments. If the value decreases, however, so will your payments.
An Example of a Charitable Remainder Trust
The University of Denver's intensified focus on science, technology, engineering and math (STEM) education makes perfect sense to Robby Robb, a DU alumnus and former engineer who is also the founding chairman of the board of the Denver School of Science and Technology (DSST).
"If I look at where the United States is, one of the things we are able to do is to create and develop technology and innovation," Robby says. "Engineering, science, medical—all of these areas require the basis you will have with a STEM education."
This year, Robby and his wife, Barbara, did their part to help University of Denver students achieve success in the sciences: They donated appreciated real estate valued at almost $2 million to support scholarships for STEM students at DU.
The gift, which gives special consideration to graduates of DSST, was made in the form of a charitable remainder unitrust that provides the Robbs' with valuable tax benefits and an income stream for life.
The Robbs' gift was partially matched by the University, which will enable their endowed scholarship to be awarded to students in the fall of 2015.
Robby says his own passion for STEM was nurtured at the University of Denver.
"My education from DU was the foundation that allowed me to have a very successful career in a number of areas," Robby explains. "When I go into something new and different, I find that I draw from the basic education from DU."
Gifts That Pay
Your payments depend on your age at the time of the donation. If you are younger than 60, we recommend that you learn more about your options and download this FREE guide Deferred Gift Annuities: Plan Now, Benefit Later.
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Discover which type of charitable trust best fits your estate plan with the FREE guide Trusts: Choose From Two Ways to Donate.
View My Free BrochureInformation contained herein was accurate at the time of posting. The information on this website is not intended as legal or tax advice. For such advice, please consult an attorney or tax advisor. Figures cited in any examples are for illustrative purposes only. References to tax rates include federal taxes only and are subject to change. State law may further impact your individual results. Annuities are subject to regulation by the State of California. Payments under such agreements, however, are not protected or otherwise guaranteed by any government agency or the California Life and Health Insurance Guarantee Association. A charitable gift annuity is not regulated by the Oklahoma Insurance Department and is not protected by a guaranty association affiliated with the Oklahoma Insurance Department. Charitable gift annuities are not regulated by and are not under the jurisdiction of the South Dakota Division of Insurance.