SOLUTIONS FOR LARGE DONATIONS - CHARITABLE REMAINDER TRUST

If you have built a sizable estate and are also looking for ways to receive reliable payments, consider a charitable remainder trust. This type of trust provides you or other named individuals income each year for life or a period not exceeding 20 years from assets you give to the trust you create. At the end of the trust term, the balance in the trust goes to the YMCA of South Hampton Roads.

These types of gifts may offer you tax benefits and the option for income. There are two ways to receive payments and each has its benefits:

• The annuity trust pays you the dollar you choose at the start, each year. Your payments stay the same, regardless of fluctuations in trust investments.
• Each year, the unitrust pays you 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.

The information provided is not intended as legal or tax advice. For such advice about your particular situation, please consult an attorney or tax advisor.