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Charitable Remainder Annuity Trusts
(Gift example*)
You are holding appreciated stock valued at $100,000 from
which you receive a $1,000 dividend annually. You would like to reinvest for
more income; however, you will owe a capital gains tax on $90,000 of profit
if you do. Instead, you contribute the stock to a charitable annuity trust
paying you and your spouse (ages 70 and 68) $5,000 annually.
What are the benefits?
Amount
contributed |
$100,000 |
Cost
basis |
$10,000 |
Capital
gains tax avoided (90,000 x 15%) |
$13,500 |
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Annual
income (fixed) |
$5,000 |
Charitable
deduction * |
$40,328 |
Tax
savings @ 33% |
$13,308 |
| Click here to calculate the
benefits a Charitable Remainder Annuity Trust would give you.
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Note:
The Annuity Trust is not the only gift plan that pays you lifetime income. Compare its
benefits with those of the unitrust and the gift annuity. |
* This example is based on a factor that changes monthly. Contact our
office for a personal illustration based on the latest rates.
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For more information
Email us, complete the personal illustration form, or call us at 1.877.TO.RILEY so that we can assist you through every step of the process.
Riley Children's Foundation
30 South Meridian St. Suite 200
Indianapolis, IN 46204-3509
1.877.TO.RILEY | Fax: 317.634.4478
E-mail: plannedgiving@rileykids.org |
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