Provides a fluctuating payment based upon a minimum percentage of 5% (by law) of the principal (valued annually) of the trust. There are three variations of this type of trust -- the standard, net income and net income with makeup. (THE) CODE: The Internal Revenue Code of 1986 as amended. This federal legislation is otherwise known as the federal "Tax Code" and deals with federal income, estate, gift and generation-skipping transfer taxes.
A charitable remainder trust in which the named beneficiaries receive payments of a fixed percentage and not less than five percent of the value of the trust assets as determined annually for a specified period after which the remainder passes to charity.
Similar to the Charitable Remainder Annuity Trust (above), except that the income is a percentage of the fair market value of the property in the trust, determined annually.
A trust with the same basic components of a charitable remainder annuity trust except that the income to the donor is a percentage of the fair market value of the property determined annually rather than a fixed amount.
The donation of assets to a Trust in which you receive a lifetime income. Sometimes a spouse or a child is also named as a lifetime recipient. The charity or charities receive the remaining assets when the lifetime recipients pass away.
A trust created by the Tax Reform Act of 1969. It is similar to the charitable remainder annuity trust in many ways, except that the income is a percentage of the fair market value of the property transferred, determined annually.
A trust commonly used to receive property that will return an income stream to you throughout your lifetime or for a specified period of time, and then pay out the property to the designated charity.
Similar to an annuity trust except that the payment to beneficiaries is determined by multiplying a fixed percentage by the fair-market value of the trust assets as revalued each year. The fixed percentage must be at least 5 percent.
A trust similar to the annuity trust, except that the unitrust pays a fixed percentage of the value of the trust funds, as re-determined annually. A unitrust may serve as a hedge against inflation. The percentage return to the income beneficiary must be stated in the trust instrument.
A trust which provides a fixed percentage, not less than five percent of net fair market value of property, valued annually, to be distributed at least annually to a noncharitable beneficiary, with remainder to a qualified charity.
a gift in the form of a trust that provides a way to obtain an income for life, which can grow as the funds invested in the trust grow. Rather than a fixed amount each year, this trust offers a fixed payout rate of return where the fund's balance is calculated yearly. Afterward, the remainder in the trust becomes the property of the Jewish community.
A trust designed to permit periodic payment of a certain percentage of the fair market value of the trust to a noncharitable beneficiary. The remainder goes to a charity.
A charitable remainder trust that provides a payment that is revalued each year (based on the payout percentage multiplied by the value of the trust). The donor may make additional contributions to the trust.
A trust that pays income to an individual for a term of years or for life. The income is a fixed percentage of the fair market value of the assets each year. The remainder is paid to a charity at the end of the term.
This is a vehicle for a donor to irrevocably transfer property into a trust. In exchange, the donor and/ or beneficiaries receive specified distributions, at least annually, for their life(s) or for a term of years. After the term of years or the life of the donor/beneficiaries, the remainder of the principal passes to the charity. The donor receives an income tax deduction, in the year of the contribution, for the fair market value of the remainder interest of the gift. The remainder interest must be at least 10% of the amount contributed.
A popular type of charitable remainder trust that pays a percentage of the fair market value of the trust, valued annually, to a maximum of two beneficiaries age 55 or older. The minimum gift to a unitrust is $100,000. Read more about charitable remainder unitrusts.
Similar to the CRAT, but the amount paid may vary as the rate of return is re-evaluated annually based on market conditions and the return on the trust. After all of the income payments have been completed, the remainder is distributed to qualified charities.
A charitable trust arrangement whereby the donor or other beneficiary is paid annually an income of a fixed percentage of at least 5% but not more than 50% of the annually revalued trust assets, for life or for a period of up to 20 years; one or more qualified charitable organizations must be named to receive the remainder interest upon the death of the donor or other income beneficiaries, and the value of the charitable remainder interest must be at least 10% of the net fair market value of all property transferred to the trust, as determined at the time of the transfer.
A contractual agreement between a charitable organization and a donor who contributes cash or appreciated securities or property to the organization which, in turns agrees to pay the donor and/or other named beneficiaries a fixed amount annually equal to at least 5% of the trust as valued annually. Remainder goes to the charitable organization upon the death of the donor and other named beneficiaries.
A fixed percentage (at least 5% of the fair market value of the assets in trust, computed each year) be paid to the beneficiary(ies) at least once a year. In a unitrust, the amount paid to the beneficiary(ies) will vary on an annual basis according to the annual reevaluation of the trust principal.