Charitable Remainder Trusts
Are you looking for ways to give the Monterey Bay Aquarium a significant gift? If you have built a sizeable estate, you may want to learn about the advantages of setting up a charitable trust. There are several trust options that allow you to customize your gift to meet your personal, charitable and financial goals.
The charitable remainder annuity trust and charitable remainder unitrust let you or other named individuals receive income each year for life or a term of years from assets you give to the trust. After the life of the named individuals or set period of years, the balance in the trust goes to the Monterey Bay Aquarium.
The charitable lead trust pays a set amount each year to the Aquarium for a term of years. At the end of the term, the balance of the trust goes back to the donor or named individuals.
A charitable remainder annuity trust and charitable lead annuity trust pay a fixed amount each year and are more attractive when interest rates are low. A charitable remainder unitrust and a charitable lead unitrust pay a variable amount each year based on the value of the assets in the trust.
Check Out This Potential Scenario
Roger and Theresa own $500,000 in stock that is worth 10 times today what they paid for it a decade ago. Roger and Theresa had considered selling the stock, but did not like the idea of paying capital gains tax. Instead, they saw a smart way to help themselves and the Monterey Bay Aquarium at the same time. They transferred all of the stock to a tax-exempt charitable remainder annuity trust and received an immediate federal income tax charitable deduction. The trust sold the stock and invested the proceeds. Because the trust is tax-exempt, it does not have to pay taxes on the $450,000 capital gain Roger and Theresa earned from the stock. The trust is set up to pay Roger and Theresa a fixed amount of $25,000 for 20 years (5 percent of the initial donation). At the end of the 20-year term, the remaining assets in the trust will pass to the Monterey Bay Aquarium to inspire conservation of the ocean.
Calculate Your Benefits
Submit a few details and see how a charitable remainder trust can benefit you.
- Contact Mary Mullen at 831-648-4913 or email@example.com to talk about supporting the Aquarium by setting up a charitable remainder trust.
- Seek the advice of your financial or legal advisor.
- If you include the Aquarium in your plans, please use our legal name and Federal Tax ID.
Legal Name: Monterey Bay Aquarium
Address: 886 Cannery Row, Monterey, CA 93940
Federal Tax ID Number: 94-2487469
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 examples are for hypothetical purposes only and are subject to change. References to estate and income taxes include federal taxes only. State income/estate taxes or state law may impact your 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.